Nutrient neutrality laws set to be relaxed in an effort to boost homebuilding

Overhead shot of a town next to a river
Nutrient neutrality laws were estimated to have blocked the construction of 145,000 homes according to the Home Builders Federation (Image credit: Getty Images)

Nutrient neutrality laws are set to be relaxed by the government in an effort to boost homebuilding.

These laws were heavily criticised by developers, which were said to be blocking the building of 145,000 homes in 74 local authorities, according to the Home Builders Federation (HBF).

Thousands ofself buildprojects were estimated to be stuck in planning limbo due to pollution in rivers, leading to planning delays and obstacles with the HBF warning of significant consequences if the issue of nutrient neutrality was not addressed, such as new home construction being halved to around 120,000 annually.

However, the planned changes to nutrient neutrality laws could address these issues and we explain how these changes could affect your project.

What is nutrient neutrality?

Nutrient neutrality is the demonstration of zero additional nutrient contribution to rivers, estuaries and wetlands - in other words showing that a proposed development won't add to the current nutrient load, or may even reduce it.

Excess nutrients typically come from agriculture and sewage treatment works, and while they can come from private treatment plants, a January 2022 report from theEnvironmental Audit Committee(EAC) did not identify homebuilding as a major contributor.

If these nutrient levels are too high, then an area might be deemed by Natural England to be unsuitable for development because excess nutrients can cause seasonal algae bloom, which restricts the growth, distribution and variety of food and oxygen for the complex network of river ecology.

This is especially pertinent in Special Areas of Conservation (SACs), which are protected by European Habitats Directives and specificplanning conditionsrequirements will be needed to be met in order to gainplanning permission.

Couple looking at plans on building site

Homebuilding was not identified as a major contributor to river pollution in a January 2022 report from the Environmental Audit Committee (Image credit: Getty Images)

How serious is nutrient neutrality?

Growing fears over river pollution in the UK led the EAC to warn in January, 2022, that a “chemical cocktail of sewage, agricultural waste and plastic” was impacting our rivers.

Natural England first advised some councils with failing SACs in 2019 to prevent housing schemes which were not able to demonstrate nutrient neutrality. Since then housebuilding in some catchment regions has been on hold due to high nutrients in the soil and water.

And in March, 2022, Natural England advised another 42 local authorities that development in some catchments cannot go ahead unless they are nutrient neutral – meaning an estimated 145,000 homes are now being delayed across 74 local authorities because of the issue, according to theHome Builders Federation(HBF).

Reforms will 'unlock housing delivery across the country'

Industry experts have welcomed the government's decision to relax nutrient neutrality laws.

Developers previously had to demonstrate how they would prevent or counteract pollution as a condition to obtain permission for construction.

However, this requirement impeded the construction of new homes in specific regions, according to both developers and the government.

Now, the responsibility for this prevention will be removed from the property industry and transferred to taxpayers.

Housing secretary Michael Gove said: “Protecting the environment is paramount, which is why the measures we’re announcing today will allow us to go further to protect and restore our precious waterways, while still building the much-needed homes this country needs. We will work closely with environmental agencies and councils as we deliver these changes.”

Michael Gove giving a speech in London

Michael Gove said the nutrient neutrality relaxation will help in "building the much-needed homes this country needs" (Image credit: Getty)

Natural England will now handle the mitigation of the "very small amount" of pollution caused by new homes. This might involve creating wetlands in other areas or upgrading current housing infrastructure. To do so, the government is doubling existing investment to £280m by 2030 to Natural England.

Stewart Baseley, executive chair of the HBF, said: “Today’s very welcome announcement has the potential to unlock housing delivery across the country, from Cornwall to the Tees Valley, where housebuilding has been blocked despite wide acknowledgement that occupants of new homes are responsible for only a tiny fraction of the wastewater finding its ways into rivers and streams.

"New homes are a negligible contribution to the river pollution issue that is a result of agricultural practices and water company failings."

He added homebuilders are "keen to play a part in protecting rivers", but the current rules are not solving the issue, rather "exacerbating another national crisis, our shortage of homes".

How will self builders be benefitted?

The relaxation of nutrient neutrality laws will aim to simplify the homebuilding process and remove barriers in gaining planning for self builders and developers.

Concerns over nutrient neutrality previously left self builders “virtually powerless” when it comes to building their home, according to Merry Albright, creative director of Border Oak and co-chair of the Herefordshire Construction Industry Lobby Group (HCILG).

She claimed self builders who already had planning permission to build on their plots haven't been able to break ground in areas where housing development has been shut down.

“For those who’ve already bought their plots, they’re stuck - especially if the planning permission has run out, and it’s not a given that they’re going to get planning permission again," said Albright.

Wye Valley and River Wye between Herefordshire and Gloucestershire UK

Self building in Herefordshire has been restricted for more than three years due to nutrient neutrality laws (Image credit: Getty Images)

Self building in Herefordshire has been restricted for more than three years, and even some schemes with planning permission have been impacted because drainage proposals or changes to an approved scheme must show nutrient neutrality using a very tough set of criteria - or by applying a complex set of calculations and offering mitigation or betterment (which is very hard to do on small schemes).

The HCILG estimated that around half of the frozen applications are potential self andcustom buildplots.

Elsewhere, nutrient pollution in the River Solent has led to Somerset (which has around 11,000 homes delayed in a backlog), Hampshire (around 16,000) and Kent all since being placed under planning restrictions.

The recent Housing Pipeline report also highlighted the continued decline in the approval of planning permissions as in Q1 2023 the number of housing projects granted planning permission reached a historically low quarterly figure of 3,037. This reflects a 20% decrease compared to the previous year and an 11% drop from the final quarter of 2022.

Notably, the number of approved projects in 2022 was already at its lowest level since the dataset's inception in 2006.

However, with theseplanning reformsit is hoped permissions will rise and self builders will be able to get to work on their projects more easily.

Nutrient neutrality calculators also introduced

In a further attempt to address this issue of nutrient neutrality the government developed catchment-specific nutrient calculators to help homebuilders calculate the precise amount of mitigation required to meet planning conditions before they decide to build their own home.

This aimed to help self builders make informed decisions about their construction projects and ensures that they comply with environmental regulations.

Additionally, the government has increased the capacity of Natural England to provide advice and support on assessing mitigation project suitability. This support helps developers to ensure that their projects are environmentally sustainable and comply with regulations.

By hiring dedicated nutrients advisors for local planning authorities, the government is helping to share best practices and provide advice to local authorities and developers to make sure they are informed about the most effective methods of mitigating the impact of construction on local ecosystems.

政府还宣布湿地permitting guidance will be issued by the Environment Agency, and the DLUHC will clarify planning practice guidance in response to feedback from local planning authorities and developers.

All these initiatives will be rolled out by the end of May 2023. You can read thegovernment nutrient planning document on the gov.uk website here.

Joseph Mullane
News Editor

News Editor Joseph has previously written for Today’s Media and Chambers & Partners, focusing on news for conveyancers and industry professionals. Joseph has just started his own self build project, building his own home on his family’s farm with planning permission for a timber frame, three-bedroom house in a one-acre field. The foundation work has already begun and he hopes to have the home built in the next year. Prior to this he renovated his family's home as well as doing several DIY projects, including installing a shower, building sheds, and livestock fences and shelters for the farm’s animals. Outside of homebuilding, Joseph loves rugby and has written for Rugby World, the world’s largest rugby magazine.

With contributions from