Beyond the Compact City Duncan Bowie LSE London 1 February 2016 John Claudius Loudon 1829 Lord Meath’s Green Girdle (1901) London Society Development Plan for Greater London (1913) Raymond Unwin 1929 and 1933 Abercrombie County of London Plan 1943 Abercrombie: Greater London Plan: 1944 Abercrombie’s 1944 Greater London Plan Assumed industrial dispersal, and little pop growth in 50 km city region Decentralise from congested inner to outer Adequate Open Space standards meant 600,000 overspill from London County Council (LCC) area plus 400,000 more from outer London Avoid urban sprawl with strong Greenbelt, beyond normal commuting range 400,000 to 8 New Towns, 20-35 km from London 600,000 to Expanded Towns 50-60km away No regional admin structure: LCC, shires and districts but a strong role for government and New Towns Commission Local interests made Expanded Towns initially problematic London Planning Advisory Committee (LPAC) Strategic Framework 1994 2004 London Plan Context: The Functional Urban Region Context: The 2003 Growth Areas Context: Commuting Context: London Commuting The compact city assumption Assumption since 2004 London Plan that London can meet all its future needs within existing London boundary London needs at least 62,000 more homes a year over next 20 years; South East region needs at least 40,000 homes a year For next 10 years, London capacity target of 42,000 per annum leaves a deficit of 20,000 homes a year relative to projected demand Compact City assumption no longer tenable Resistance to increased housing provision in Greater South East – the metropolitan city region Population growth 2001-2011 Existing spatial polarisation of tenure Spatial distribution of houseprices Spatial distribution of house price changes Most new homes are being provided in central London Few new affordable homes in outer London Overcrowding growing in West and Northeast London Hollowing out of inner West London The affordability crisis House prices now climbing again – average London house-price is £544,000 – above the January 2008 peak Average deposit for first time buyer was £59,221 – with Help to Buy, 5% deposit requirement = £27,200 Household income of £146,000 needed to borrow £518,000 or with HtB £116,575 to borrow £408,000 Where we now are 28,325 net completions in 2013/4 Affordable housing at 34% of total completions in 2013/4 – 4,456 social rent ; 2879 intermediate homes and 204 ‘affordable’ sub market Planning consents fallen from 84,700 in 2011/12 to 64,660 in 2013/4. Backlog of units consented but not started up is 129,136 homes (April 2014) ; New homes under construction - 133,994 50% approvals in 2013/4 at densities above appropriate density range Council estates being regenerated with reduction in social rented homes – loss of 8,000 homes in 10 years 25,790 social rented homes ‘converted’ to higher rented homes over last three years – now at rents 65%-70% of market rents. The overall record Failure to achieve numerical targets Failure to provide enough affordable homes Failure to provide enough family homes Failure to stabilise housing market Failure to hold down land costs Failure of the Sustainable Residential Quality policy Failure to ensure effective use of existing and new housing stock – increase in overcrowding and increase in under-occupation Failure to stop increased displacement of low and middle income households and social polarisation Spatial Impact of policy changes Abandonment of growth areas with development depending on local consent. Strong resistance to new housing development in most suburban boroughs and Home Counties. Neighbourhood Planning generally not helping. Duty to Cooperate between local authorities not working. No central government funding for social rented housing so collapse of social rented housing programme, especially in higher cost/value areas Planning policy changes make it very difficult for boroughs to use planning gain agreements to fund social rented homes – though some off site deals in central London. Welfare benefit cuts forcing lower income households out of higher value areas and increasing spatial social polarisation – to be cut from £26,000 pa to £23,000 (and to £20,000 pa beyond London ?) Housing benefit households moving to Outer London (and beyond) Most of London becoming unaffordable for private tenants The 2015 London Plan Estimate of housing requirements too low New capacity based target of 42,000 homes a year dependent on high density development in Opportunity Areas The push for higher density on sites of 5 hectares or with capacity for 500 homes Densification of suburban town centres could produce 7,000 more homes a year Home Counties districts resist pressure to contribute to London supply deficit Higher density and potential for higher rents/ higher values pushes up land value and housing costs The Inspector and the Minister respond EiP inspector questioned whether London could meet its requirements within London Concern at implications of intensification Mayor needs to collaborate with Local Planning Authorities in wider South East Minister responded: No need to re-establish a metropolitan region planning body Minister reinforces Green Belt protection Home Counties districts back off from Green Belt reviews London Plan Opportunity Areas Impact of recent policy changes Permitted development rights The 10 unit affordable housing threshold The vacant building credit The Starter Homes initiative – focus on sites not currently allocated for housing – ie employment sites; Homes on market for under £450,000 considered affordable and not requiring to contribute to planning obligations (s106) or Community Infrastructure Levy. The Mayor’s Housing Zones £400m recyclable 10 year investment budget for each zone. £262m already allocated of which £154m repayable Structured framework for focused engagement Planning certainty with planning performance agreements. Housing Zones map Homes targets by 2025 Abbey Wood/ South Thamesmead 1314 (591) Abbey Wood/Plumstead 1512 (663) Barking Town Centre 2295 (795) Clapham Junction 5396 (1596) Harrow 5294 (1545) Hounslow 3478 (1391) New Bermondsey 2372 (237) Southall 4345 (560) Tottenham 1956 (560) 6678/ 27962 affordable = 24% Development Constraint 1: The Flood Plain Development Constraint 2. Open Space Development Constraint 3: Access to Public Transport Development Constraint 4: Existing Neighbourhood Character Development Constraint 5: Protecting employment sites Development Constraint 6: The Green Belt Housing Density Guidance The London density matrix Densities and Sustainable Residential Quality Planning consents since Plan adopted 2004/5 2005/6 2006/7 Above range Within range Below range Above Within Below 62% 31% 8% 10/11 11/12 58% 55% 37% 40% 5% 5% 65% 28% 7% 60% 36% 4% 2007/8 55% 40% 5% 2008/9 2009/10 53% 41% 7% 56% 39% 6% Average over 8 years 12/13 13/14 58% (60.8%-55.5%) 58% 50% 36% (33.8%-39.2%) 31% 43% 6% (6%- 5.8%) 5% 7% Density of actual developments Density and family size homes 100% 90% 80% 70% 6B+ 60% 5B 4B 50% 3B 2B 40% 1B 30% 20% 10% 0% Over 435 dph 240-434 dph 150-239 dph 65-149 dph 30-64 dph Under 30 dph Space standards of new housing 500 450 400 350 300 Social 250 Intermediate Market 200 150 100 50 0 studio 1B 2B 3B 4B Penthouse Alternative development options (not mutually exclusive) Hyperdense development in city centre and city fringes Hyperdense development in Opportunity Areas Higher densities in suburban town centres Suburban intensification Planned Urban extensions A new programme of garden cities within the green belt A new programme of garden cities or garden towns beyond the green belt Residential dispersal to other parts of UK (without employment dispersal) Residential dispersal to other parts of UK supported by a regional economic policy and planned relocation of employment The wrong options Hyperdense development in all opportunity areas and town centres – outputs wont match needs ( and many units will go to international property investment market) Dispersal to rest of UK without employment growth/relocation New ‘ garden cities’ of expensive private houses with no local jobs and poor public transport : only suitable for well off commuters Preconditions for major new settlements Jobs Public transport Affordable homes for a range of income groups Social infrastructure Is this deliverable in current funding context ? Is the concept of self financing garden cities still realisable ? Dispersal across the Greater SouthEast Potential for medium densities, mix of built forms, mix of tenures and mix of levels of affordability Need to ensure access to jobs in London (travel cost issues) and in Home Counties centres Dilemma 1: land is cheap in areas which are economically weak/ and or isolated, while more expensive in economically strong centres Dilemma 2: within or beyond the Green Belt ? The further away from London, the greater the travel costs to central London. Suburban intensification Incremental intensification – from 20 dwellings per hectare to 50-75 Mix of houses and low rise flats Mix of tenures Using existing transport and social infrastructure Infill development and grabbing the larger gardens Can we achieve significant increased housing output without destroying suburbia ? Potential outputs from suburban intensification Infill development in larger gardens in London could produce 423,0001,057,000 homes at densities of 3075 dwellings per hectare Developing ‘excess’ suburban open space would provide 2.5 to 6.4 million new homes at densities of 30-75 dwellings per hectare Even greater potential from intensification/urban extensions to home counties urban areas ? The best option ? Urban extensions in the London fringe and around Home Counties centres Use browner sites within green belt Considering all components of sustainability Land is relatively cheap making low density family size affordable housing possible Possibility of houses as well as flats Access to jobs and social infrastructure is critical – so link development to transport corridors London Infrastructure Plan: Current development plans London Infrastructure Plan: Focus on areas with good public transport London Infrastructure Plan: Densification of town centres Nathaniel Lichfield Partnership (NLP) Option 1 NLP Option 2 Using radial transport links (Transport for London) Undeveloped sites near stations From Green Girdle to Green Wedges Orbital Rail and Crossrail Connecting to rest of UK A Proposed Regional Planning Framework (AECOM) Impact of Governance Structures No national spatial plan Abolition of Regional Planning outside London by Coalition Government Failure of Duty Cooperate Inadequacy of Mayoral practice in relation to duty to inform and consult neighbouring authorities No consistent assessment of housing need and capacity Outcomes Cross boundary policy conflicts: housing; employment; retail provision; parking’ waste management No linkage between spatial planning decisions and infrastructure investment decisions at national or metropolitan regional level Structures for sub regional planning Thee Regional Spatial Strategies and subregional planning frameworks – abolished 2010-2012 The Local Enterprise Partnerships as potential strategic planning agencies ? Combined authorities – the Manchester city region example The RTPI view of incentivised voluntarism TCPA - combined authorities as basis for sub-regional planning A new sub-regional planning framework ? Combined authority groupings based on travel to work areas Statutory requirement to produce a subregional plan Sub-regional Strategic Housing Market assessment (SHMA) Sub-regional Strategic Housing Land Availability Assessment (SHLAA) LPA level housing and employment targets Sub-regional transport, economic, housing, infrastructure and sustainable development strategy Where LPAs fail to agree, Inspector can impose LPA level targets based on evidence base My proposals for a new metropolitan regional planning framework Local Planning Authorities in metropolitan region need to have regard to relationship with London Mayor and Greater SouthEast need to agree basis for metropolitan region district level population and household projections Metropolitan region SHMA and SHLAA A metropolitan regional planning body; Statutory or Advisory Comprise representatives of Mayor and Rest of South East sub-regional groups Serviced by metropolitan region strategic planning team - a reconstituted SERPLAN London and South East Regional Planning Conference)? Conclusions Significant failure in metropolitan region planning Need for agreement on spatial planning across metropolitan city region including criteria for selection of locations for major new developments Need for new governance structures A new metropolitan region planning body is essential Public sector needs to take leadership