BCSC Representing the Retail Property Industry Print Close
| 11/12/2006 |
WARY WELCOME FOR BARKER REVIEW RECOMMENDATIONS
 

While welcoming many of the positive recommendations outlined in the Barker report on Land-Use Planning (published 5th December 2006), retail property organisation BCSC has sounded several notes of caution about the implications of some of the proposals and how they might be implemented.

Support for up-to-date development plans as well as greater efficiencies and resourcing for planning authorities in order to improve the quality and speed of decision-making are all applauded by the organisation.

Barker’s recognition of the economic and social benefits that flow from development, particularly major town centre retail developments, is particularly welcomed by BCSC, as is the support Kate Barker gives to the Government’s “town centres first” policy. However, there are several aspects of the report recommendations that BCSC believes may threaten the delivery of this policy both directly and by introducing uncertainty into the system.

Research from BCSC, due to be published next week, will clearly demonstrate that the consistent application of the Government’s “town centres first” planning policy – which developers and investors have been able to rely on over 10 years – has played a major role in encouraging the retail-led regeneration that has transformed cities like Manchester, Birmingham and Plymouth and is now under way in Liverpool, Bristol and Cardiff. BCSC is concerned that the significant relaxation of retail planning or the prospect of major changes could threaten the retail property industry’s efforts to roll this kind of regeneration out to small and medium-sized towns and cities.

BCSC is particularly cautious about Barker’s proposals that:
  • Planning policy statements (including PPS6) may need to be rewritten to streamline national policy. BCSC welcomed PPS6 when it was introduced last year (2005) and would be concerned about the uncertainty that the redrafting process would cause. The policy has widespread public and political support, and is generally seen as being positive and proactive. Barker’s own interim report suggested that it needs time to bed down and BCSC would agree that it is too early to assess how well it is working and it should be given time to develop.
  • Planning for future development should not be used as a tool for delivering the “town centres first” policy. BCSC strongly supports a plan-led approach by local authorities, including the assessment of need for further retail development, identification of the centres where growth will be encouraged, identification of specific town centre sites for development and, where necessary, the use of compulsory purchase powers to assemble sites. Such plans provide confidence for the retail development industry to play a long-term role in the regeneration of towns and cities.
  • Removing the requirement for out-of-town retail developments to demonstrate that there is a need for the scale of proposed development. BCSC feels that the “needs” test has proved a useful check on whether there is room for out-of-town developments which might otherwise threaten in-town trade and therefore reduce the likelihood of significant investment in town centre development or refurbishment.
BCSC Chief Executive Michael Green says:
“The property industry is now turning its attention to the UK’s small and medium-sized towns and cities, where development and refurbishment can bring important regeneration benefits and act as positive drivers for change in local and regional economies. However, in order to make such significant investments in these town centres, we need the confidence that there will not be any dramatic relaxation of Government’s policy. While the Barker report does not overtly signal such a change, the implications of some of the recommendations will cause uncertainty and the implementation may lead to unexpected results.”

“It has taken more than 10 years for the Government’s current approach to retail property development planning (enshrined in PPG6 and reinforced by PPS6) to result in any significant shift in the proportion of new retail development taking place in town centres. With such long lead times on major development, what we need from Government is consistency if the economic benefits of town centre regeneration are to be realised.”

The BCSC research will show that after 10 years of the “town centres first” policy the proportion of new retail space in English town centres is now at 35% (50% if edge-of-centre sites within 440 metres of town centre boundaries are included), up from just 14% in 1994 – back to the levels it was 20 years ago. The research will also demonstrate that if the current development pipeline is built out, the proportion of new retail development in town centres is likely to exceed 40% over the next five years; with more and more of schemes being in smaller and medium sized town centres.

“There are circumstances when out-of-town development is appropriate” continues Green. “If, as our research shows, 35% of new retail space in England is being built in town centres, it follows that even after 10 years of the Government’s “town centres first” policy, some 65% of new space is being built on edge-of- or out-of-town sites and a significant amount of development in such locations will undoubtedly continue. Our concerns relate to the potential for policy changes that will destabilise delivery of the current development pipeline.”

“The retail property development industry will only be able to carry on in this way if developers and investors are confident that Government policy will continue with a strong political and practical commitment to the ‘town centres first’ approach. We believe this may be critical for securing investment in the next tier of towns.”
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