Government to determine Major Housing Schemes Under New 150-Home Rule

The Housing Secretary is expected to announce a major change to the planning system.  Under the reported plans, any proposal for 150 homes or more that a council intends to refuse would instead have to be referred to central Government for determination.

This marks one of the most significant recent shifts in planning policy and reflects growing concern in Whitehall over slow housing delivery, stalled local plans and chronic under-supply across much of the country.

Central Government to Take Final Control of Large Applications

Local authorities will continue to assess major schemes, but they would no longer have the power to issue a refusal. If a council believes a large scheme should not proceed, the case would be escalated to the Secretary of State or the Planning Inspectorate for the final decision.

The purpose of the change is clear:

• Prevent local bottlenecks that have led to extensive delays and refusals on sites capable of delivering meaningful housing numbers.

• Accelerate decisions on strategic-scale developments, particularly in areas where councils cannot demonstrate a five-year housing land supply.

• Strengthen delivery of national housing targets, especially in locations facing the most acute demand.

  
  

This direction aligns with recent appeal outcomes, where substantial weight has been given to unmet housing need and to the Government’s Written Ministerial Statements highlighting the national housing crisis.

Significance for the Development Sector

If implemented, the change would materially alter the planning landscape:

• More predictable decision-making for developers promoting large schemes.

• Reduced political risk, as local opposition would no longer translate into an automatic refusal.

• Enhanced role for the Planning Inspectorate, increasing consistency across decisions.

• Greater weight on evidence of need, reinforcing the importance of housing supply, self-build demand and the planning system’s expectation to boost delivery.

For authorities with extensive green belt or areas now deemed “grey belt”, this could be particularly influential. Where councils have historically refused edge-of-settlement or green-belt-related schemes, they may find their decisions overridden or deferred to the national level.

Strategic Implications for Landowners and Promoters

• Strategic land becomes more attractive, particularly in areas struggling to maintain a deliverable five-year supply.

• Schemes of 150+ homes gain an alternative route, making them more appealing to promoters.

• Councils may opt to negotiate rather than refuse, knowing a refusal simply transfers control to central Government.

• Appeal-ready submissions become essential, as large applications are more likely to end up with the Secretary of State.

For those promoting grey-belt opportunities, this creates a highly favourable environment. Recent decisions already show Inspectors accepting the principle of development where housing need, self-build shortfalls, and the Government’s latest guidance combine to form very special circumstances.

What Happens Next?

Clarity will follow once the formal announcement, guidance and transitional arrangements are

published.

Key questions include:

• Whether the rule applies universally or only in under-performing authorities.

• How it interacts with Local Plan production and Infrastructure Delivery Plans.

• Whether the Secretary of State will impose new timetables for decisions.

• How affordable housing negotiations will be handled under this new route.

Regardless of the final structure, the direction of travel is clear: the Government intends to speed up major housing decisions by limiting local discretion and prioritising national need.

Tyler Parkes will continue to monitor the details closely and support clients in assessing how this change may strengthen the prospects of strategic sites

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