Date: 24 April 2007 Item 6

Report by: The Hampshire Director of Environment, Portsmouth Strategic Director for Environment and Transport and Southampton Director of Environment

Release of Structure Plan Reserve Provision

Written by: Sue Clark, tel: 01962 845890 email: [email protected]

Purpose and Summary:

To inform the Panel of the conclusions arising from the Hampshire County Structure Plan Policy H4 Monitoring Paper 2007 and the outcome of consultation on the document.

The Paper concludes that the forecast dwelling supply 2006-2011 exceeds the requirement in Regional Planning Guidance (RPG). The total supply exceeds the RPG requirement by over 16,000 dwellings. This overall figure was subject to adjustments in recognition that not all potential will ultimately be developed within the timescales expected. The results show an adjusted figure that is still 12,000 dwellings above the RPG requirement. On the basis of this year's monitoring there is no compelling justification to release any of the Structure Plan reserve housing provision.

Only 12 organisations and individuals commented on the Monitoring Paper. The Government Office for the South East (GOSE) stated that it will offer a view on housing supply in Hampshire once the Strategic Planning Joint Advisory Panel (JAP) has reached a view on the release of reserve sites. There was only one response from the development industry and no response from the Home Builders Federation. Other interested parties, such as local planning authorities and local interest groups, were generally supportive of the Paper and its findings and most supported the general conclusions of the report.

The South East Plan will supersede the Structure Plan when it is finalised - currently expected in early 2008 - bringing to an end this process of monitoring housing land supply in relation to Policy H4 of the Structure Plan.

RECOMMENDATIONS:

That the three Strategic Planning Authorities be recommended to:

(i) note the points made by consultees;

(ii) agree that no reserve sites should be released; and

(iii) write to all consultees to thank them for their comments, enclosing a copy of this report and appendices and informing them of the decisions made by this Panel.

1. Introduction/Background

1.1 The policies of the adopted Hampshire County Structure Plan 1996-2011 provide a `baseline provision' for new homes and a `reserve provision' which will be released if, and when, the strategic and local planning authorities decide it is needed. Policy H4 identifies the broad locations of the reserve provision and describes, in general terms, how decisions will be made on releasing the reserve provision. The process is explained in greater detail in the Supplementary Planning Guidance `Implementing Policy H4'.

1.2 Policy H4 states that "The strategic planning authorities will only support the release of individual greenfield allocations to meet this reserve provision where monitoring of the Structure Plan and Local Plans indicates there is a compelling justification to do so". The separate Supplementary Planning Guidance called `Implementing Policy H4', adopted by the Strategic Planning Authorities in 2004, sets out the process for annual decision-making on whether there is a need to release any of the Structure Plan's reserve provision. That process includes publication of an annual monitoring report and consultation thereon.

1.3 The Policy H4 Monitoring Paper 2007 was published on 26 January 2007 for a five week consultation period.

2. Aims and Visions of Corporate and Community Strategies

2.1 This report supports the aims and visions of the three strategic planning authorities' corporate and community strategies by helping ensure that sufficient new homes are made available whilst securing the regeneration of existing urban areas and avoiding unnecessary development on greenfield land.

3. The 2007 Monitoring Paper

3.1 The 2007 Monitoring Report shows that housebuilding between 2001-2006 did, as expected, exceed the RPG figure. Dwellings supply for the period 2006-2011 is also forecast to exceed the RPG figure.

3.2 The number of dwellings with planning consent at the start of April 2006 was 3,000 higher than the position a year earlier, despite the high level of completions during the preceding 12 months. Some 75% of all permissions (25,812) are in full, which means there are no planning obstacles to these homes being built.

3.3 The total supply potentially available from 2006 to 2011 is over 16,000 dwellings above the RPG requirement.

3.4 However, not all of this supply will actually be built in this period for a variety of reasons (eg planning, ownership and market factors). The total supply has accordingly been adjusted to take account of this. Adjustments applied were small for dwellings with planning permission, higher for local plan allocations and urban capacity sites and highest for Major Development Areas (MDAs). The forecast of completions based on these adjustments indicates that housebuilding in 2006/07 should exceed the RPG figure and remain above the RPG for the rest of the Structure Plan period.

3.5 The adjusted supply for the period 2006 to 2011 is forecast to exceed the RPG requirement by some 12,000 dwellings - some 44% in excess of what Hampshire is required to build.

4. Consultation

4.1 The 2007 Monitoring Paper was sent to 89 consultees representing a wide variety of interests (eg developers, local authorities, parish councils and conservation groups).

4.2 Comments were received from 12 respondents:

(i) 1 developer interest;

(ii) 2 environmental/conservation organisations;

(iii) 4 Hampshire District Councils/ National Park Authority;

(iv) 2 parish councils;

(v) Government Office for the South East; and

(vi) 2 others.

4.3 The number of responses this year was fewer than last year (12 this year, 20 last year), with only one of the responses from developer interests and no response from the Home Builders Federation. A summary of the main points arising from consultation responses with a response by the Strategic Planning Authorities is attached as Appendix 1. The following section summarises the key themes arising from the responses.

5. Main Points Arising from the Comments

Support for the Plan

5.1 The most frequent comment made, by the District Councils and several other respondents, was support for the Monitoring Paper's conclusions.

Officers response

5.2 Support for the Monitoring Paper's conclusion is welcomed.

Response from the Government Office for the South East

5.3 The Government Office has stated that it will offer a view on housing supply in Hampshire once JAP has reached a view on the release of reserve sites.

Officers response

5.4 The Government Office's view on housing supply will be received with interest. Last year's response was sent on 28 September 2006. It referred to the increase in housing completions and stated:

"It also appears that the RPG9 requirement could be exceeded if sites are built out as anticipated. Ministers therefore consider that it would be inappropriate for the Secretary of State to provide a formal view on the need for the release of reserve sites in the County, at this point."

The letter is attached as Appendix 2.

Future monitoring

5.5 A number of the comments mentioned the transition which is to take place, with the South East Plan replacing the Structure Plan, and expressed concern about the future of reserve sites and how housing delivery would be monitored in the future.

Officers response

5.6 The Structure Plan Authorities will continue to assist the South East England Regional Assembly (SEERA) with annual housing monitoring. The South East Plan has no policies relating to reserve sites so it will not be necessary to monitor that aspect. It will be for the Local Development Framework (LDF) process to determine whether or not the current reserve sites are allocated for housing.

Comments from developer interests

5.7 RPS for CALA Homes was the only developer interest to respond. RPS made several comments relating to the Hampshire Housing Supply Action Plan and the South East Plan. It also argues that assumptions about West of Waterlooville MDA are unrealistic and that progress in granting planning permission for the MDAs and Aldershot Urban Extension has been slower than expected.

Officers response

5.8 The South East Plan, which is still in draft, is not a material consideration in this process. The main reason for this is that when the South East Plan is finalised it will supplant all the structure plans in the Region and consequently the Hampshire Structure Plan's reserve housing provision will disappear. In any event, the draft South East Plan proposes virtually the same housebuilding rate in Hampshire from 2006 to 2026 (6,100 dwellings per annum) and so the conclusions set out in this report and the Monitoring Report would remain the same even if the assessment of land supply were undertaken in comparison to the draft South East Plan.

5.9 The Hampshire Housing Supply Action Plan was prepared in 2004; it is now out-of-date and no update has been requested by Government. It was a tool to help the Minister come to a view on the robustness of the Hampshire authorities conclusion on whether there was a need at that time to trigger the release of any of the Structure Plan's reserve provision, and to help the Minister to decide whether to intervene. It is not a material consideration in the Hampshire Authorities coming to a decision three years later.

5.10 Outline Planning Permission has now been granted (subject to a Section 106 Agreement) for the MDA at Andover and part of the MDA at West of Waterlooville. An outline planning application has been submitted on the remaining part of the west of Waterlooville MDA but has not been determined at the time of drafting this report. The assumed housing completions at West of Waterlooville are considered realistic if detailed planning applications are submitted and permission granted in the near future. However, the local planning authorities have no control over when developers submit applications. The report only envisages 1,800 dwellings being built in the MDAs by 2011; and even if these are not all completed by then, the supply will still be sufficient to meet the current RPG requirement. The report assumes that no housing will be completed at Aldershot Urban Extension by 2011 as the Ministry of Defence is not bringing the site forward as quickly as it previously expected.

6. The Future

6.1 The South East Plan will supersede the Hampshire County Structure Plan when it is finalised, which is currently expected in early 2008. With the demise of the Hampshire Structure Plan, the Plan's reserve housing provision will also disappear, and with it the need to monitor housing land supply in relation to Structure Plan reserve housing releases.

6.2 In preparing their local development frameworks, Hampshire District/Borough Councils will need to identify sites to meet the housebuilding totals in the South East Plan. As part of this, they will decide whether to include in these site allocations the sites which comprise the Structure Plan's reserve housing provision.

7. Impact Assessments

7.1 Assessment of the Race Relations (Amendment) Act has been considered in this response but no adverse impact has been identified in terms of race, creed or gender.

8. Conclusion

8.1 The Policy H4 Monitoring Paper 2007 concludes that the forecast dwelling supply 2006-2011 exceeds the requirement in RPG. The total supply exceeds the RPG requirement by over 16,000 dwellings. This overall figure was subject to adjustments in recognition that not all potential will ultimately be developed within the timescales expected. The results show an adjusted figure that is still 12,000 dwellings above the RPG requirement. On the basis of this year's monitoring there is no compelling justification to release any of the Structure Plan reserve housing provision.

1300/SC

APPENDIX 1

POLICY H4 MONITORING PAPER 2007

Summary of main points arising from consultation

List of respondents

1. Environment Agency

2. New Forest District Council

3. Natural England

4. Ms. P. D. Baker

5. Harvey Cole, Economic and Development Consultant

6. New Forest NPA

7. Old Basing and Lychpit Parish Council

8. Rowlands Castle Parish Council

9. East Hampshire District Council

10. RPS Planning for CALA Homes (South)

11. Fareham Borough Council

12. Government Office for the South East (GOSE)