Unimplemented planning permissions

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An analysis of unimplemented planning permissions for residential dwellings 2013

October 2013

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Acknowledgements

This report was written by Liz Spratt from the Research and Information team at the Local Government Association (LGA). The author would like to thank all the participants who took part in this research.

To view more research from t he Local Government Association’s Research and Information team please visit: http://www.local.gov.uk/local-governmentintelligence i

Contents

Acknowledgements ....................................................................................... i

Glossary .............................................................................................................. 5

Executive summary ............................................................................................ 6

Introduction................................................................................................... 6

Key findings .................................................................................................. 6

Introduction ....................................................................................................... 12

Methodology...................................................................................................... 13

Planning permissions ....................................................................................... 18

Unimplemented planning permissions ........................................................... 28

Analysis of unimplemented planning permissions, level of permissions granted and developments completed ........................................................... 37

Unimplemented permissions and development phases ............................... 49

Development timescales .................................................................................. 56

Tables

Table 1: Schemes included and excluded in analysis ......................................... 17

Table 2: Proportion of schemes and units by development type ......................... 20

Table 3: Proportion of schemes obtaining planning permission by development size from 2007/08 to 2012/13 ............................................................................. 25

Table 4: Proportion of schemes obtaining planning permission by region from

2007/08 to 2012/13 ............................................................................................. 26

Table 5: Proportion of units obtaining planning permission by region from

2007/08 to 2012/13 ............................................................................................. 27

Table 6: Proportion of unimplemented schemes by development size from March

2008 to March 2013 ............................................................................................ 33

Table 7: Proportion of unimplemented schemes by region from March 2008 to

March 2013 ......................................................................................................... 35

Table 8: Proportion of unimplemented units by region from March 2008 to March

2013 .................................................................................................................... 36

Table 9: Numbers of schemes obtaining permission, schemes completed and unimplemented schemes .................................................................................... 38

Table 10: Numbers of units obtaining permission, units completed and units unimplemented from 2007/08 to 2012/13 ........................................................... 39

Table 11: Numbers of private development schemes obtaining permission, schemes completed and schemes unimplemented from 2007/08 to 2012/13 .... 41

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Table 12: Numbers of units obtaining permission, units completed and units unimplemented from 2007/08 to 2012/13 ........................................................... 43

Table 13: Numbers of schemes obtaining permission, schemes completed and schemes unimplemented from 2007/08 to 2012/13 ............................................ 45

Table 14: Numbers of units obtaining permission, units completed and units unimplemented from 2007/08 to 2012/13 ........................................................... 47

Table 15: Proportion of schemes and units by phase of development from March

2008 to March 2013 ............................................................................................ 49

Table 16: Number of unstarted permissions by schemes and units from March

2008 to March 2013 ............................................................................................ 50

Table 17: Number of permissions and units under construction from March 2008 to March 2013 ..................................................................................................... 52

Table 18: Average timescales across all types of development (months) from

2007/2008 to 2012/2013 ..................................................................................... 57

Table 19: Average timescales for private sector developments (months) from

2007/2008 to 2012/2013 ..................................................................................... 58

Table 20: Average timescales for social sector developments (months) from

2007/2008 to 2012/2013 ..................................................................................... 59

Table 21: Average time taken to progress schemes from obtaining permission to completion by number of units per scheme in 2012/13 financial year ................. 59

Table 22: Average time taken to develop schemes from obtaining permission to completion by number of units per scheme from 2007/2008 to 2012/2013 ......... 61

Table 23: Average time taken to progress schemes from obtaining permission to completion by region in 2012/13 financial year ................................................... 62

Table 24: Average time taken to develop schemes from obtaining permission to completion by region from 2007/2008 to 2012/2013 ........................................... 63

Figures

Figure 1: Index of schemes and units from 2007/08 to 2012/13 ......................... 19

Figure 2: Index of private development schemes and units from 2007/08 to

2012/13 ............................................................................................................... 21

Figure 3: Index of social development schemes and units from 2007/08 to

2012/13 ............................................................................................................... 23

Figure 4: Index of all unimplemented schemes and units from March 2008 to

March 2013 ......................................................................................................... 29

Figure 5: Index of number of schemes and units unimplemented for private developments from March 2008 to March 2013 .................................................. 31

Figure 6: Index of number of schemes and units unimplemented for social developments from March 2008 to March 2013 .................................................. 32

Figure 7: Index of all unimplemented schemes against planning permissions granted from 2007/08 to 2012/13 ........................................................................ 38

Figure 8: Index of all unimplemented units against units granted planning permissions from 2007/08 to 2012/13 ................................................................. 40

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Figure 9: Index of private unimplemented schemes against planning permissions granted and schemes completed from 2007/08 to 2012/13 ................................ 42

Figure 10: Index of all unimplemented units against planning permissions granted and units completed from 2007/08 to 2012/13 .................................................... 44

Figure 11: Index of all unimplemented schemes against planning permissions granted and schemes completed from 2007/08 to 2012/13 ................................ 46

Figure 12: Index of all unimplemented units against planning permissions granted and units completed from 2007/08 to 2012/13 .................................................... 48

Figure 13: Index of unstarted planning permissions schemes and units from

March 2008 to March 2013 ................................................................................. 51

Figure 14: Index of schemes and units with permission under construction from

March 2008 to March 2013 ................................................................................. 53

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Glossary

Key terminology used in this report is summarised below.

Planning permission

Unimplemented planning permissions

Units

A local authorisation of plans for the construction of new residential buildings. Planning permissions are granted on a scheme basis (rather than a unit basis, which is the number of dwellings). a.) sites with planning approval where schemes have yet to be started on site (unstarted permission) b.) schemes have been started, but where units remain to be completed (permissions under construction).

Number of dwellings (houses, apartments, etc.)

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Executive summary

Introduction

This report provides an update

An analysis of unimplemented planning permissions for residential dwellings ” commissioned by the Local Government

Association (LGA) and undertaken by Glenigan in September 2012.

The original report analysis examined the extent and scope of planning permissions and unimplemented planning permissions on sites in England and

Wales from the financial years 2007/08 and 2011/12, as well as examining the length of delays in developing sites.

This update provides complete data for 2011/12 and 2012/13 financial years.

Key findings

Number of planning permissions obtained

The number of planning permissions obtained in 2012/13 reached their highest point since before the recession though are still below 2007/08 levels.

The level of planning permissions for private developments has varied more over the last six years than for social developments. Planning permissions obtained for private developments are still below 2007/08 levels. Although the number of approvals for schemes has been increasing since 2008/09, there was a small decrease between 2011/12 and 2012/13.

Social developments, by contrast, have seen approval levels consistently above those for 2007/08, with the exception of the 2011/12 financial year.

Schemes of 10-49 units have consistently made up the greatest proportion of planning permissions obtained each year. Regionally most planning permissions were obtained year on year in the South East (with the exception of 2011/12 when a greater proportion of permissions were obtained in London).

Overall planning permissions:

the number of schemes obtaining permission reduced by 20 per cent from

3,828 in 2007/08 to 3,057 in 2012/13.

the number of units obtaining permission reduced by 12 per cent from

187,605 in 2007/08 to 165,903 in 2012/13.

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Planning permissions by development type:

private developments made up a greater proportion of all schemes obtaining planning permission in the 2012/13 financial year than social developments (80 per cent of schemes compared with 20 per cent for social developments).

the number of private developments obtaining planning permission decreased by 25 per cent from 3,284 in 2007/08 to 2,470 schemes in

2012/13, whilst the number of social developments increased by eight per cent from 544 in 2007/08 to 587 in 2012/13.

the number of private developments obtaining planning permission has increased from a low of 1,655 in 2008/09 to 2,628 in 2011/2, but has yet to increase to pre-recessionary levels. Indeed 2012/13 again saw a reduction in the number of permissions obtained with a six per cent decrease from

2011/12 levels (from 2,628 to 2,470).

the number of social development schemes in 2012/13 was higher than in

2007/08, but below the highest levels seen in 2009/10 (634 schemes). A

30 per cent decrease in the number of schemes obtaining planning permission was seen between 2010/11 and 2011/12, although a recovery was seen with a 32 per cent increase between 2011/12 and 2012/13.

Size of schemes obtaining planning permission:

the greatest proportion of schemes obtaining planning permission in

2012/13 were schemes of 10-49 units (62 per cent of all schemes), whilst schemes of 250 or more units were the smallest proportion (four per cent of all schemes).

over the last six financial years there has been a small rise in the proportion of small schemes (less than 10 units), increasing from four per cent in 2007/08 to 11 per cent of planning permissions in 2012/13.

there has been a corresponding decrease in the proportion of schemes of

10-49 units (decreasing from 72 per cent in 2007/08 to 62 per cent in

2012/13).

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Regional analysis of obtaining planning permission:

for schemes, the South East received the greatest proportion of planning permissions granted over the last six years (16 per cent of all planning permissions granted).

for units, the greatest proportion of permissions over the last six years has been in London (21 per cent of all planning permissions granted).

Unimplemented planning permissions

Overall, the number of unimplemented planning permissions for schemes and units has decreased since 31 March 2008; however this decrease is in line with the overall trend of a decrease in the number of planning permissions being granted and an increase in the number of schemes and units being completed.

Private developments and social developments have seen a reduction in the number of unimplemented permissions and units since 31 March 2008.

There were more unimplemented schemes in the South East than any other region, whilst London had the greatest proportion of unimplemented units.

Overall unimplemented permissions:

the number of unimplemented schemes decreased by 26 per cent from

8,813 at 31 March 2008 to 6,500 at 31 March 2013.

the number of unimplemented units decreased by 24 per cent from

499,873 at the 31 March 2008 to 381,390 at 31 March 2013.

Unimplemented permissions by development type:

the number of unimplemented private schemes reduced by 28 per cent from 7,608 at 31 March 2008 to 5,446 at 31 March 2013; the number of unimplemented units decreased by 23 per cent from 421,006 at the 31

March 2008 to 323,385 at 31 March 2013.

the number of unimplemented social schemes reduced by 12 per cent from 1,205 at 31 March 2008 to 1,054 at 31 March 2013; the number of unimplemented units reduced by 26 per cent from 78,867 at the 31 March

2008 to 58,005 at 31 March 2013.

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Unimplemented permissions by size of development:

on average, over the last six financial years, the greatest proportion of unimplemented schemes have generally consisted of 10-49 units (an average of 64 per cent of unimplemented schemes) .

proportionally this reflects the distribution of planning permissions obtained.

Unimplemented permission by region

on average, over the last six years, the greatest proportion of unimplemented schemes was found in the South East and London (an average of 16 per cent of unimplemented schemes).

proportionally this reflects the distribution of planning permissions obtained.

Unimplemented planning permissions: phase of development

More unimplemented schemes were unstarted at 31 March 2013 than were under construction; whilst slightly more units were under construction than unstarted. Over the last six financial years the proportion of schemes and units unstarted and under construction has remained broadly the same.

At 31 March 2013 both private and social development schemes were more likely to be unstarted than under construction, while units were more likely to be under construction.

Examining unimplemented permissions by development phase:

unstarted schemes made up 61 per cent (or 3,941 schemes) of all unimplemented permissions at 31 March 2013 (broadly the same as the 60 per cent or 5,283 unstarted at 31 March 2008).

schemes under construction made up 39 per cent (or 2,259 schemes) of all unimplemented permissions at 31 March 2013 (broadly the same as the 40 per cent or 3,530 schemes at 31 March 2008).

unstarted units made up 48 per cent (or 183,688 units) of all unimplemented units at 31 March 2013 compared to 47 per cent

(147,217) at 31 March 2008.

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units under construction made up 52 per cent (or 197,702 units) of all unimplemented permissions at 31 March 2013 (similar to 53 per cent or 262,758 units at 31 March 2008).

Unimplemented permissions for private developments by development phase:

at 31 March 2013 unstarted permissions made up 62 per cent (or

3,381) of all schemes where planning permission was unimplemented, with schemes where permission was under construction representing

38 per cent (or 2,065).

at 31 March 2013 unstarted units made up 48 per cent (or 155,639) of all schemes where planning permission was unimplemented, with schemes where permission was under construction representing 62 per cent (or 167,746).

Unimplemented permissions for social developments by development phase:

at 31 March 2013 unstarted permissions made up 53 per cent (or 560) of all schemes where planning permission was unimplemented, with schemes where permission was under construction representing 47 per cent (or 494).

unstarted units made up 48 per cent (28,049) of all units where planning permission was unimplemented, with units where permission was under construction representing 52 per cent (or 29,956).

Timescales for developing schemes

The time taken to progress a scheme from obtaining planning permission to the completion of the final unit, has increased in the last six financial years; both development phases have lengthened (the amount of time between obtaining planning permission and starting on site, and the time taken from starting on site to completion of the final unit).

The average time taken for private and social development to be completed has increased over the last six years.

The average time taken to progress from obtaining planning permission to completing a scheme typically increased as the number of units in a scheme increased.

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Timescales for all schemes:

over the last six years, the average time taken for a scheme to progress to completion having obtaining planning permission has lengthened from 20 months in 2007/08 to 27 months in 2012/13.

in 2012/13 the time from obtaining permission to starting on site was an average of 12 months, whilst the time taken from starting on site to completion of the final unit was 16 months.

in 2012/13 nearly two-fifths (37 per cent) of schemes took longer than the average timescale of 27 months.

Average development timescales by development type:

over the last six years, the average time taken for a private sector development to progress from obtaining planning permission to completion has lengthened from 20 months in 2007/08 to 28 months in

2012/13.

over the last six years, the average time taken for a social sector development to progress from obtaining planning permission to completion has lengthened from 22 months in 2007/08 and 27 months in

2012/13.

Average development timescales by size:

over the last six financial years the length of time for development of schemes of all units sizes has increased.

Average development timescales by region:

in 2012/13 the average time taken for a scheme to progress to completion having obtained planning permission was greatest in London, the North

East and Yorkshire and Humber (29 months) and shortest in the East, the

North West, the West Midlands and Wales (26 months)

over the last six years the average amount of time from obtaining planning permission to completion of all units within a scheme increased in all regions.

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Introduction

The Local Government Association (LGA) commissioned Glenigan to undertake an analysis of the extent and scope of unimplemented residential planning permissions in England and Wales in the 2011/12 and 2012/13 financial years.

The analysis undertaken updated work published by the LGA in September

2012, and the findings of both pieces of research have been combined in this report to examine unimplemented planning permissions over the last six financial years.

The research is part of a wider examination by the LGA of the relationship between planning permissions, available land supply and subsequent housing delivery.

The objective of this research was to examine the scope and extent of unimplemented residential planning permissions over the last six financial years.

The four key aims are identified as follows:

examine the number of unimplemented residential permissions in England and Wales

examine the change in the level of unimplemented residential permissions over the last five financial years.

appraise the number of unimplemented residential units against the flow of planning approvals to provide a context to the overall stock of available permissions

examine the average time taken from obtaining planning permission to completion of a scheme.

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Methodology

The analysis within this report covers planning permissions granted for residential developments in England and Wales (excluding the Isle of Man and the Channel Islands) for the last six financial years (2007/08 – 2012/13).

Regional analysis is by the nine former government office regions.

Glenigan’s database

The analysis was carried out using data taken from Glenigan’s database of construction projects. This data source was selected as the database records all planning applications and decisions made by local authorities with responsibility for planning from 1995 onwards.

This data is also used by other government departments, such as Communities and Local Government, to monitor planning permissions.

Glenigan’s construction database: considerations

Size of schemes

Glenigan’s construction database records details on all residential planning applications, but Glenigan researchers only track residential developments of 10 or more units. Where developments of less than 10 units are referred to in this report, it is because they are considered of high value such as the high specification luxury developments.

Data for planning permissions, unimplemented permissions and completions

Planning permissions and completions are reported for the full financial year; unimplemented planning permissions are for a specific date within each financial year (31 March from 2007/08 to 2012/13).

Regional analysis

Where regional analysis is presented in the report this is based on postcode location, rather than local authority in line with Glenigan’s reporting systems.

Parameters for analysis

The following parameters for the analysis were set, in order to produce the most robust analysis and need to be considered when looking at the findings.

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Time series data

A five financial year time period was originally selected in order that any impact of the recession could be taken into consideration

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. The original research provided estimated figures for 2011/12 as the full year’s data had yet to be finalised. This has now been updated in 2012/13 to provide full data for 2011/12 and additionally data for the 2012/13 financial year.

Where pre-recessionary levels are referred to this refers to the earliest financial year in the analysis, 2007/08.

Data for planning permissions granted and developments completed relates to a full financial year.

The data for the stock of unimplemented permissions relates to the position at the end of each financial year, 31 March.

Planning permissions

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For the purposes of this analysis the date on which a planning application for a development is deemed to have been granted is the date at which either:

detailed planning permission was granted; or

a project with outline planning consent was first granted approval of reserve matters.

Lapsed planning permissions

Work must start on planning permissions after a specified period of time or the permission will lapse, and a fresh permission will need to be sought.

The time period for lapsing was:

1

The credit crunch began to significantly impact upon the UK economy, and specifically the UK housing market, during 2008. The UK economy was in recession during the second half of 2008 and the first half of 2009.

2

The planning system is complex. A project may be initially granted outline planning permission, which is effectively an approval in principle for site to be developed. However, for work to be permissible either detailed planning permission is required or the details of the scheme may be settled through the approval of reserve matters.

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within five years for schemes with planning permission granted before

August 2005

within three year for schemes with planning permission granted from

August 2005 onwards

3

.

For the purpose of this research planning permissions where work had yet to commence on site or had been granted a time extension were deemed to have lapsed within the periods of time outlined above.

Whilst in practice local authorities can vary the life of individual planning approval and such variations are not captured in the analysed data, it is not believed that this has an impact on the findings.

Unimplemented planning permissions

For the purposes of this analysis a planning permission is deemed to be unimplemented until either all the related units on the site have been completed and are ready for occupation or the planning permission has lapsed.

Multiple planning permissions for one site

In some cases a developer will seek to obtain planning permission for different and competing options for one single site.

To avoid ‘double counting’ of such permissions, where a new permission has been granted on a development within 12 months of an earlier application being granted this has been excluded from the analysis. If the period is greater than 12 months the fresh approval is assumed to supersede the existing permission.

Types of schemes

The focus of the analysis is on unimplemented planning permissions in the context of the supply of long-term residential accommodation. Predominantly

3 The time spans outlined above are the ‘default’ periods set out in legislation that most local authorities would have applied to planning approvals during these particular timeframes. The

Planning and Compulsory Purchase Act 2004 resulted in the default period for life for permissions granted after August 2005 being reduced to three years.

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non-residential schemes with a minority residential element have been excluded from the analysis.

Schemes granted permission will involve a range of housing types and tenures.

For the purposes of the analysis, schemes (and the associated units) have been analysed by the predominant type of housing.

The table below shows the schemes that have been included and excluded in the analysis.

Table 1: Schemes included and excluded in analysis

Schemes included

Apartments and flats

Bungalows

Houses/luxury housing

Sheltered Housing and key worker accommodation

Schemes excluded

Elderly people’s homes

Hostels

Student accommodation

Holiday chalets and lodges

Private and social housing

Schemes were also identified as either social or private housing developments.

The primary identifier is the dominant type of tenure planned for the project (e.g. whether the majority of units were for social housing or for owner-occupation/ private rent). Further validation can be undertaken if required through examining:

the funding source of the project

whether the client is a private developer or social housing provider

Units and schemes

Reporting is by both schemes and units. Schemes are a single development that has obtained planning permission and consists of units (the actual number of dwellings). It is as important to examine the number of units as well as overall schemes, as units are the number of new dwellings being constructed (and so the number of dwellings available to local communities).

Analysis

Where data has been indexed, 100 points relates to the base at the 2007/08 financial year (e.g. if a number increases by 10 per cent over the year, its index will be 110 in 2008/09).

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Planning permissions

An analysis of the overall number of planning permissions granted over the last six financial years was undertaken in order to provide a context to any changes in the number of unimplemented planning permissions over the last six financial years.

Planning permissions granted

Total number of planning permissions granted in 2012/13

In the 2012/13 financial year 3,057 schemes were granted planning permission, totalling 165,903 units.

Total number of planning permissions granted over the last six financial years

The number of schemes securing planning permission decreased from 3,828 in

2007/08 to 3,057 in 2012/13 (a decrease of 20 per cent). The number of units has similarly decreased, from 187,605 in 2007/08 to 165,903 in 2012/13 (a decrease of 12 per cent).

Figure 1 presents indexed data for both schemes and units to show the trend over the last six financial years.

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Figure 1: Index of schemes and units from 2007/08 to 2012/13

Base: Schemes 2007/08 3,828; Units 2007/08 187,605; (Index = 100)

Planning permissions by development type (private and social)

Private and social developments in the 2012/13 financial year

Private developments accounted for 2,470 planning permissions obtained for

2012/13, which consisted of 137,047 units; this accounted for 81 per cent of schemes and 83 per cent of units securing planning permissions in the 2012/13 financial year.

Social development schemes totalled 587 planning permissions obtained in

2012/13, which consisted of 28,856 units; this accounted for 19 per cent of schemes and 17 per cent of units securing planning permission.

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Table 2: Proportion of schemes and units by development type

Private schemes

(%)

Social schemes

(%)

Base

(schemes)

Private units (%)

Social units

(%)

Base

(units)

2007/08 2008/09 2009/10 2010/11 2011/12 2012/13

86

14

3,828

86

77

23

2,340

76

72

28

2,289

75

77

23

2,707

78

86

14

3,073

87

81

19

3,057

83

% of all years

80

20

17,294

82

14 24 25 22 13 17 18

187,605 116,896 127,579 128,617 170,339 165,903 896,939

Private developments in the last six financial years

Over the last six financial years, private developments have secured more planning permissions than the social sector; private developments have accounted for 80 per cent of all schemes granted permission since 2007/08, and

82 per cent of all units obtaining permissions.

However, overall the number of private developments obtaining planning permission fell by 25 per cent from 3,284 in 2007/08 to 2,470 schemes in

2012/13, with a 15 per cent reduction seen in the total number of units securing permission (from 162,180 in 2007/08).

The average size of private development schemes increased from 49 units in

2007/08 to 55 units in 2012/13.

The highest level of approvals for planning permission for schemes and units was in 2007/08 (with 3,284 schemes and 162,180 units); the level of approvals has yet to recover to 2007/08 levels.

The biggest decrease in the number of schemes obtaining approval was between 2007/08 and 2008/09, when there was a 45 per cent decrease to just 1,792 schemes obtaining approval.

The number of schemes obtaining planning permission was lowest in

2009/10 with just 1,655 schemes obtaining approval.

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However, the biggest decrease in units was seen between 2007/08 and

2008/09, when there was a 45 per cent decrease to just 88,484 units obtaining approval.

Although the levels of approvals for schemes and units have been increasing since 2008/09 and 2009/10 respectively, 2012/13 saw a decrease on 2011/12 levels for both schemes and units (with drops of six per cent and eight per cent respectively).

Figure 2: Index of private development schemes and units from 2007/08 to

2012/13

Base: Private development schemes 2007/08 3,284; private development units 2007/08

162,180; (Index = 100)

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Social developments in the last six financial years

Social developments accounted for 20 per cent of all schemes granted permission since 2007/08, and 18 per cent of all units obtaining permissions.

Social developments, in contrast to private developments, have seen an increase in the number of schemes obtaining planning permission in the last six financial years, with an increase of eight per cent (from 544 in 2007/08 to 587 in 2012/13).

Similarly there has been an increase in the number of units granted permission for social developments, with an increase of 13 per cent from 25,425 in 2007/08 to 28,856 in 2012/13; this contrasts with the private sector where there was a decrease over the same time period.

The average size of social development schemes increased from 47 units in

2007/08 to 49 units in 2012/13.

The highest level of approvals for planning permission for schemes and units was in 2009/10 (with 634 schemes and 31,715 units being approved); however the number of approvals for schemes and units was higher in the 2012/13 financial year than in 2007/08.

The greatest decrease in the number of schemes and units was seen between 2010/11 and 2011/12, when there was a 30 per cent decrease for schemes and a 23 per cent decrease for units (from 632 to 445 schemes, and 28,623 to 22,097 units).

Levels of approvals were at their lowest in 2011/12, but improved in

2012/13 (increasing by 32 per cent for schemes, and 31 per cent for units).

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Figure 3: Index of social development schemes and units from 2007/08 to

2012/13

Base: Social development schemes 2007/08 544; social development units 2007/08

25,425(Index = 100)

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Schemes obtaining planning permission by number of units

Total number of planning permissions granted by unit size in 2012/13

In 2012/13 schemes that consisted of 10 – 49 units made up the majority of schemes obtaining planning permission (62 per cent of schemes).

Total number of planning permission granted over the last six financial years

Typically since 2007/08 the majority of schemes that have obtained planning permission have been schemes of between 10 – 49 units; this sized scheme represented 66 per cent (11,393 schemes) of all schemes obtaining planning permission since 2007/08.

Over the six year period the biggest changes have been:

an increase in the number of schemes with fewer than 10 units (from four per cent of all planning permissions granted in 2007/08 to 11 per cent of all planning permissions granted in 2012/13).

a decrease in the number of schemes with 10-49 units (from 72 per cent of all planning permissions granted in 2007/08 to 62 per cent of all planning permissions granted in 2012/13).

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Table 3: Proportion of schemes obtaining planning permission by development size from 2007/08 to 2012/13

Number of units

2007/08 2008/09 2009/10 2010/11 2011/12 2012/13

% of total schemes over six financial years

4 6 6 9 13 11 8

Fewer than 10 units (%)

10-49 units (%)

50-99 units (%)

100-249 units (%)

250 or more units (%)

Base

72

13

9

3

3,828

70

12

8

3

2,340

67

13

9

3

2,289

65

14

9

2

2,707

60

13

9

4

3,073

62

13

11

4

3,057

66

13

9

3

17,294

Regional analysis of planning permissions granted

Total number of planning permissions granted by region in 2012/13

In the 2012/13 financial year the greatest proportion of planning permissions were granted in the South East (17 per cent, or 514 schemes), followed by

London (14 per cent, or 421 schemes). The smallest proportion of planning permissions (four per cent, or 118 schemes) was granted in Wales.

The greatest proportion of units granted planning permissions were in London

(19 per cent, or 30,865 units), followed by the South East (14 per cent, or

24,043). The smallest proportion of units granted planning permissions (three per cent, or 5,327) was granted in Wales.

London had more units but fewer schemes granted permission than the South

East, as on average London schemes were bigger (with an average of 73 units per scheme in London compared to 47 per scheme in the South East).

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Total number of planning permissions granted by region over the last six financial years

Typically since 2007/08 the South East has received the greatest proportion of all planning permissions granted (2,786 or 16 per cent of all planning permissions granted), whilst London has seen the greatest proportion of units receiving planning permissions (185,205, or 21 per cent of all units granted permission).

Table 4: Proportion of schemes obtaining planning permission by region from 2007/08 to 2012/13

Region

East

Midlands

(%)

East of

England

(%)

London

(%)

North

East (%)

North

West (%)

South

East (%)

South

West (%)

West

Midlands

(%)

Yorkshire

& the

Humber

(%)

Wales

(%)

Base

2007/08 2008/09 2009/10 2010/11 2011/12 2012/13

% of total schemes over six financial years

8 8 8 8 7 7 8

12

11

4

13

15

12

9

10

5

3,828

11

13

4

11

17

14

8

9

5

2,340

12

14

5

11

14

14

7

10

5

2,289

11

15

3

13

17

12

8

10

3

2,707

11

20

3

10

17

12

8

8

4

3,073

10

14

5

13

17

13

9

9

4

3,057

11

8

9

5

17,294

14

4

12

16

13

Fewest planning permissions for schemes have been granted in the North East

(685, or four per cent of all planning permissions granted); whilst Wales has seen

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the smallest number of units (35,563, or four per cent) obtaining planning permission

4

.

Table 5: Proportion of units obtaining planning permission by region from

2007/08 to 2012/13

Region 2007/08 2008/09 2009/10 2010/11 2011/12 2012/13

% of total number of units over six financial years

East

Midlands

(%)

East of

England

(%)

London

(%)

North

East (%)

North

West (%)

South

East (%)

South

West (%)

West

Midlands

(%)

Yorkshire

& the

Humber

(%)

Wales

(%)

Base

8

10

17

5

14

13

11

8

10

8

10

22

3

9

18

9

8

7

7

9

25

5

9

11

11

10

10

8

10

17

3

12

16

11

8

9

7

9

25

4

8

15

12

8

8

7

9

19

6

13

14

13

8

9

7

9

21

4

11

15

11

8

9

5 4 4 4 3 3 4

187,605 116,896 127,579 128,617 170,339 165,903 896,939

4

The North East also obtained four per cent of all units obtaining planning permission. However, the absolute value was smaller with 39,627 units.

27

Unimplemented planning permissions

An analysis was undertaken to assess the extent and scope of unimplemented planning permissions at 31 March over the last six years. Analysis was also undertaken to examine unimplemented planning permission against the flow of residential planning permissions granted.

Unimplemented planning permissions are effectively private developers ’ and social housing providers’ stocks of potentially developable land and ‘work-inprogress’. Unimplemented planning permissions are schemes where planning permission has been granted that have not yet been completed and fall into two categories:

 ‘unstarted permissions’ are schemes that have yet to be started on site; and

 ‘permissions under construction’ are schemes that have been started, but where there are units that remain to be completed.

Unimplemented planning permissions are measured at a point in time (i.e. the total on a given date in a given year).

Total number of unimplemented permissions (both unstarted and permissions under construction)

Total number of unimplemented permissions at 31 March 2013

At 31 March 2013 there were 6,500 unimplemented planning permissions, totalling 381,390 units (an average of 59 units per development).

Total number of unimplemented permissions over the last six financial years

Over the last six financial years the numbers of schemes and units that were unimplemented has decreased:

the number of unimplemented schemes decreased by 26 per cent from

8,813 at 31 March 2008 to 6,500 at 31 March 2013.

the number of unimplemented units decreased by 24 per cent from

499,873 at the 31 March 2008 to 381,390 at 31 March 2013.

28

Figure 4: Index of all unimplemented schemes and units from March 2008 to March 2013

Base: Schemes 2007/08 8,813; Units 2007/08 499,873 (Index = 100)

Number of unimplemented permissions for private and social developments (both unstarted and permissions under construction)

Total number of unimplemented permissions for private and social developments at 31 March 2013

At 31 March 2013 the total number of unimplemented planning permissions for private developments was 5,446 schemes, totalling 323,385 units (an average of

59 units per development).

At 31 March 2013, the total number of unimplemented planning permissions for social developments was 1,054, totalling 58,005 units (an average of 55 units per development).

29

Total number of unimplemented permissions for private and social developments over the last six financial years

Over the last six financial years the numbers of schemes and units that were unimplemented have decreased for private developments:

the number of unimplemented schemes reduced by 28 per cent from

7,602 at 31 March 2008 to 5,446 at 31 March 2013.

the number of unimplemented units decreased by 23 per cent from

421,006 at the 31 March 2008 to 323,385 at 31 March 2013.

the greatest reduction in unimplemented schemes (of 22 per cent) occurred between 31 March 2008 and 31 March 2009 (with a reduction from 7,602 to 5,957).

The greatest reduction in unimplemented units (of 18 per cent) occurred between 31 March 2009 and 31 March 2010 (with a reduction from

360,335 to 295,499).

The number of unimplemented planning permissions was lowest at 31

March 2011 with 4,726 schemes, totalling 295,355 units.

Since the 31 March 2011 the number of unimplemented schemes has risen by 15 per cent (from 4,726 to 5,446) and the number of units by nine per cent (from 295,355 to 323,385); the number of unimplemented units is currently at the highest level since 31 March 2010.

30

Figure 5: Index of number of schemes and units unimplemented for private developments from March 2008 to March 2013

Base: Private schemes 2007/08 7,602; Units 2007/08 421,006

Over the last six financial years the number of unimplemented schemes decreased for social development for schemes, but increased in terms of the number of units:

the number of unimplemented schemes reduced by 13 per cent from

1,205 at 31 March 2008 to 1,054 at 31 March 2013.

the number of unimplemented units reduced by 26 per cent from 78,867 at the 31 March 2008 to 58,005 at 31 March 2013.

The number of unimplemented planning permissions is currently at its lowest since 2007/08.

31

Figure 6: Index of number of schemes and units unimplemented for social developments from March 2008 to March 2013

Base: Social schemes 2007/08 1,205; Units 2007/08 78,867; (Index = 100)

32

Analysis of unimplemented planning permissions by unit size

Total number of unimplemented permissions by unit size at 31 March 2013

At 31 March 2013 the greatest proportion of unimplemented planning permissions was for schemes of 10-49 units (59 per cent, or 3,847 schemes).

The smallest proportion of unimplemented schemes was for schemes of over

250 units (four per cent, or 287 schemes).

However, it should be noted that that the greatest proportion of unimplemented units were in schemes of over 250 units (with 31 per cent, or 118,741 units) being located in schemes of this size, 30 per cent (or 113,359 units) in schemes of 100-249 units and 21 per cent (or 79,059) in schemes of 10-49 units.

Total number of unimplemented permissions by unit size developments over the last six financial years

On average, over the last six years, the greatest proportion of unimplemented schemes has consisted of 10-49 units (64 per cent), with the least consisting of

250 or more units (four per cent).

Table 6: Proportion of unimplemented schemes by development size from

March 2008 to March 2013

Region

March

2008

March

2009

March

2010

March

2011

March

2012

March

2013

Average proportion of schemes over last six financial years

Fewer than 10 units (%)

10-49 units (%)

50-99 units (%)

100-249 units (%)

250 or more units (%)

Base

3

70

13

10

4

8,813

4

68

13

10

5

7,140

5

66

13

11

5

5,982

7

62

14

12

5

6,061

11

60

14

11

4

6,780

11

59

14

11

4

6,500

7

64

14

11

4

33

Analysis of unimplemented planning permissions by region

Total number of unimplemented permissions by region at 31 March 2013

At 31 March 2013 the greatest number of unimplemented planning permissions was in the London (17 per cent, or 1,104 schemes), followed by the South East

(16 per cent, or 1,059 schemes). The smallest number of unimplemented schemes (four per cent, or 244 schemes) was in the North East.

Similarly the greatest proportion of unimplemented units was in London (22 per cent, or 81,744), followed by the South East (15 per cent, or 56,001). The smallest proportion of unimplemented units was in Wales (four per cent, or

13,278).

Total number of unimplemented planning permissions by region over the last six financial years

On average, over the last six years, the greatest proportion of unimplemented schemes was found in the South East and London (16 per cent).

On average, the greatest number of unimplemented units was found in London

(23 per cent).

34

East

Midlands

(%)

East of

England

(%)

London

(%)

North

East (%)

North

West (%)

South

East (%)

South

West (%)

West

Midlands

(%)

Yorkshire

& the

Humber

(%)

Wales

(%)

Base

Table 7: Proportion of unimplemented schemes by region from March 2008 to March 2013

Region

March

2008

8

March

2009

7

March

2010

8

March

2011

8

March

2012

8

March

2013

7

Average proportion of schemes over last six financial years

8

11

13

4

12

16

12

8

10

5

8,813

11

14

4

12

16

13

8

10

5

7,140

11

15

4

11

15

13

8

9

5

5,982

11

16

4

12

15

13

8

10

4

6,061

11

18

3

11

16

12

8

9

4

6,780

10

17

4

12

16

12

9

9

4

6,500

11

16

4

12

16

13

8

6

8

On average the smallest proportion of unimplemented schemes and units over the last six years were found in the North East (four per cent for both schemes and units).

35

Table 8: Proportion of unimplemented units by region from March 2008 to

March 2013

Region

March

2008

March

2009

March

2010

March

2011

March

2012

March

2013

Average proportion of unit over last six financial years

East

Midlands

(%)

East of

England

(%)

London

(%)

North

East (%)

North

West (%)

South

East (%)

South

West (%)

West

Midlands

(%)

Yorkshire

& the

Humber

(%)

Wales

(%)

Base

7

11

18

4

15

14

9

8

4

10

7

10

21

4

13

16

9

7

4

9

7

9

25

4

11

14

9

8

4

9

7

9

25

4

10

14

10

8

4

9

8

9

25

4

10

15

11

8

9

4

7

9

22

5

11

15

12

8

9

4

499,873 435,294 378,433 382,099 373,705 368,112

7

10

23

4

12

15

10

8

6

7

36

Analysis of unimplemented planning permissions, level of permissions granted and developments completed

Planning permissions and completions are reported for the full financial year; unimplemented planning permissions are for a specific date within each financial year (31 March from 2007/08 to 2012/13).

Although it is clear from analysis that the number of unimplemented schemes and units has been decreasing (with the exception of unimplemented units for social developments), these findings have to be interpreted in relation to trends over the last six financial years for planning permissions being granted and also the number of schemes and units completed each year.

Please note:

where tables refer to a financial year (for example 2007/08), for unimplemented permissions this refers to the 31 March at the end of that financial year.

if a scheme is completed in a particular financial year, planning permission does not have to have been obtained in that financial year.

Overview of all schemes

2012/13 financial year

In the 2012/13 financial year 3,057 planning permissions were granted, with

2,462 developments completed. At the 31 March 2013 there were 6,500 schemes unimplemented. The number of unimplemented schemes was nearly three times the number of schemes completed and over two times the number of planning permissions granted.

37

Table 9: Numbers of schemes obtaining permission, schemes completed and unimplemented schemes

2012/13

2011/12

2010/11

2009/10

2008/09

2007/08

Planning permissions granted

3,057

3,073

2,707

2,289

2,340

3,828

Schemes completed

2,462

1,718

983

1,046

1,418

1,912

Schemes unimplemented

6,500

6,780

6,061

5,982

7,140

8,813

Over the last six financial years

The number of schemes obtaining planning permission has decreased by 20 per cent from 3,828 in 2007/08 to 3,057 in 2012/13, whilst the number of unimplemented schemes has reduced by 26 per cent from 8,813 to 6,500. The number of schemes completed has increased by 29 per cent from 1,912 to

2,462.

Figure 7: Index of all unimplemented schemes against planning permissions granted from 2007/08 to 2012/13

Base: Schemes where planning permission granted 2007/08 3,828; schemes completed

2007/08 1,912; unimplemented schemes 2007/08 8,813; (Index = 100)

38

Overview of units

2012/13 financial year

In the 2012/13 financial year 165,903 units were granted planning permission, with 123,931 developments completed. At the 31 March 2013 there were

381,390 units unimplemented. The number of unimplemented units was over three times the number of units completed and over two times the number of planning permissions granted.

Table 10: Numbers of units obtaining permission, units completed and units unimplemented from 2007/08 to 2012/13

2012/13

2011/12

2010/11

2009/10

2008/09

2007/08

Units obtaining permission

165,903

170,339

128,617

127,579

116,896

187,605

Units completed

123,931

67,034

48,828

66,652

74,033

105,532

Units unimplemented

381,390

387,819

382,099

378,433

435,294

499,873

Over the last six financial years

The number of units obtaining planning permission has decreased by 12 per cent from 187,605 in 2007/08 to 165,903 in 2012/13, whilst the number of unimplemented units has reduced by 24 per cent from 499,873 to 381,390. The number of units completed has increased by 17 per cent from 105,532 to

123,931.

39

Figure 8: Index of all unimplemented units against units granted planning permissions from 2007/08 to 2012/13

Base: Units where planning permission granted 2007/08 187,605; units completed 2007/08

105,532; unimplemented units 2007/08 499,873; (Index = 100)

40

Private developments: unimplemented schemes

2012/13 financial year

For private developments in the 2012/13 financial year 2,470 planning permissions were granted, with 1,905 schemes completed. At the 31 March 2013 there were 5,446 schemes unimplemented. The number of unimplemented schemes was nearly three times the number of schemes completed and more than twice the number of planning permissions granted.

Table 11: Numbers of private development schemes obtaining permission, schemes completed and schemes unimplemented from 2007/08 to 2012/13

2012/13

2011/12

2010/11

2009/10

2008/09

2007/08

Planning permissions granted

2,470

2,628

2,075

1,655

1,792

3,284

Schemes completed

1,905

1,119

601

726

1,145

1,586

Schemes unimplemented

5,446

5,659

4,726

4,754

5,957

7,602

Over the last six financial years

The number of schemes obtaining planning permission has decreased by 25 per cent from 3,284 in 2007/08 to 2,470 in 2012/13, whilst the number of unimplemented schemes has reduced by 28 per cent from 7,602 to 5,446. The number of schemes completed has increased by 20 per cent from 1,586 to

1,905.

41

Figure 9: Index of private unimplemented schemes against planning permissions granted and schemes completed from 2007/08 to 2012/13

Base: Schemes where planning permission granted 2007/08 3,284; schemes completed

2007/08 1,586; unimplemented schemes 2007/08 7,602; (Index = 100)

Private developments: unimplemented units

2012/13 financial year

For private developments in the 2012/13 financial year 137,047 units were granted planning permission, with 91,585 units completed. At 31 March 2013 there were 323,385 unimplemented units. The number of unimplemented units was 3.5 times the number of units completed and over two times the number of planning units obtaining planning permission.

42

Table 12: Numbers of units obtaining permission, units completed and units unimplemented from 2007/08 to 2012/13

2012/13

2011/12

2010/11

2009/10

2008/09

2007/08

137,047

148,242

99,994

95,864

88,484

162,180

Units obtaining permission

91,585

46,553

33,798

53,285

59,748

91,370

Units completed

Units unimplemented

323,385

318,564

295,355

295,499

360,335

421,006

Over the last six financial years

The number of units obtaining planning permission has decreased by 15 per cent from 162,180 in 2007/08 to 137,047 in 2012/13, whilst the number of unimplemented units has reduced by 23 per cent from 421,006 to 323,385. The number of units completed has increased by just under 0.2 per cent from 91,370 to 91,585.

43

Figure 10: Index of all unimplemented units against planning permissions granted and units completed from 2007/08 to 2012/13

Base: Units where planning permission granted 2007/08 162,180; units completed 2007/08

91,370; unimplemented units 2007/08 421,006; (Index = 100)

44

Social developments: unimplemented schemes

2012/13 financial year

For social developments in the 2012/13 financial year 587 planning permissions were granted, with 557 schemes completed. At 31 March 2013 there were 1,054 schemes unimplemented. The number of unimplemented schemes was about twice the number of schemes completed and twice the number of planning permissions granted.

Table 13: Numbers of schemes obtaining permission, schemes completed and schemes unimplemented from 2007/08 to 2012/13

2012/13

2011/12

2010/11

2009/10

2008/09

2007/08

Schemes obtaining permission

587

445

632

634

548

544

Schemes completed

557

599

382

320

273

326

Schemes unimplemented

1,054

1,121

1,335

1,228

1,183

1,205

Over the last six financial years

The number of schemes obtaining planning permission has increased by eight per cent from 544 in 2007/08 to 587 in 2011/13, whilst the number of unimplemented schemes has reduced by 13 per cent from 1,205 to 1,054. The number of schemes completed has increased by 71 per cent from 326 to 557.

45

Figure 11: Index of all unimplemented schemes against planning permissions granted and schemes completed from 2007/08 to 2012/13

Base: Schemes where planning permission granted 2007/08 544; schemes completed

2007/08 326; unimplemented schemes 2007/08 1,205; (Index = 100)

Social developments: unimplemented units

2012/13 financial year

For social developments in the 2012/13 financial year 28,856 units were granted planning permission, with 32,346 units completed. At the 31 March 2013 there were 58,005 unimplemented units. The number of unimplemented units was nearly double the number of units completed and double the number of units obtaining planning permission.

46

Table 14: Numbers of units obtaining permission, units completed and units unimplemented from 2007/08 to 2012/13

2012/13

2011/12

2010/11

2009/10

2008/09

2007/08

Units obtaining permission

28,856

22,097

28,623

31,715

28,412

25,425

Units completed

32,346

20,481

14,780

13,366

14,285

14,104

Units unimplemented

58,005

69,255

86,744

82,934

74,959

78,867

Over the last six financial years

The number of units obtaining planning permission has increased by 13 per cent from 25,425 in 2007/08 to 28,856 in 2012/13, whilst the number of unimplemented units decreased by 26 per cent from 78,867 to 58,005. The number of units completed has increased by 129 per cent from 14,104 to 32,346.

47

Figure 12: Index of all unimplemented units against planning permissions granted and units completed from 2007/08 to 2012/13

Base: Units where planning permission granted 2007/08 25,425; units completed 2007/08

14,104; unimplemented units 2007/08 78,867; (Index = 100)

48

Unimplemented permissions and development phases

Unimplemented permissions fall into two development phase categories:

 ‘unstarted permissions’ are schemes that have yet to be started on site

permissions under construction are schemes that have been started, but where there are units that remain to be completed.

This section examines the proportion of unimplemented planning permissions falling into each of these categories.

Unimplemented permissions: unstarted and permissions under construction as a percentage of overall unimplemented planning permissions

2012/13 financial year

In the 2012/13 financial year unstarted permissions made up 61 per cent of all unimplemented permissions, with schemes where permission was under construction representing 39 per cent.

For units unstarted permissions made up 48 per cent of all unimplemented units, with units where permission was under construction representing 52 per cent.

Table 15: Proportion of schemes and units by phase of development from

March 2008 to March 2013

Phase of development

Unstarted schemes (%)

31 March

2008

60

31 March

2009

64

31 March

2010

64

31 March

2011

58

31 March

2012

61

31 March

2013

61

Schemes under construction

(%)

Base

(schemes)

Unstarted units (%)

Units under construction

(%)

Base (units)

40

8,813

47

53

499,873

36

7,140

51

49

435,294

36

5,982

50

50

378,433

42

6,061

42

58

382,099

39

6,780

48

52

387,819

39

6,500

48

52

381,390

49

Over the last six financial years

Unstarted schemes made up 61 per cent (or 3,941 schemes) of all unimplemented permissions at 31 March 2013 (which is broadly the same as the

60 per cent or 5,283 at 31 March 2008); the proportion of schemes under construction was 39 per cent (or 2,559) at 31 March 2013 (which is broadly the same as the 40 per cent of 3,530 at 31st March 2008).

Unstarted units made up 48 per cent (or 183,688) of all unimplemented units at

31 March 2013 (which is broadly the same as the 47 per cent or 237,115 at 31

March 2008); the proportion of units under construction was 52 per cent (or

197,702) at 31 March 2013 (which is broadly the same as the 53 per cent of

262,758 at 31st March 2008).

Analysis of unstarted permissions

2012/13 financial year

On the 31 March 2013 the total number of unstarted planning permissions was

3,941 schemes, totalling 183,688 units (an average of 47 units per development).

Table 16: Number of unstarted permissions by schemes and units from

March 2008 to March 2013

Year

Unstarted permissions

(schemes)

Unstarted permissions (units)

31 March 2013

31 March 2012

31 March 2011

31 March 2010

31 March 2009

31 March 2008

3,941

4,138

3,504

3,840

4,549

5,283

183,688

187,168

158,692

188,945

220,105

237,115

Over the last six financial years

Over the last six financial years the numbers of schemes and units that were unstarted have both decreased:

the number of unstarted schemes has decreased by 25 per cent from

5,283 at 31 March 2008 to 3,941 at 31 March 2013.

the number of unimplemented units has decreased by 23 per cent from

237,115 at the 31 March 2008 to 183,688 at 31 March 2013.

50

Figure 13: Index of unstarted planning permissions schemes and units from March 2008 to March 2013

Base: Unstarted schemes 2007/08 5,283; Unstarted units 2007/08 237,155; (Index = 100)

51

Analysis of permissions under construction

2012/13 financial year

On the 31 March 2013 the total number of permissions under construction was

2,559 schemes, totalling 197,702 units (an average of 77 units per development, compared to 47 units per development for unstarted).

Table 17: Number of permissions and units under construction from March

2008 to March 2013

Year

31 March 2013

31 March 2012

31 March 2011

31 March 2010

31 March 2009

31 March 2008

Permissions under constructions

(schemes)

2,559

2,642

2,557

2,142

2,591

3,530

Permissions under construction (units)

197,702

200,651

223,407

189,488

215,189

262,758

Over the last six financial years

Over the last six financial years the numbers of schemes and units where permission was under construction have decreased:

schemes with permissions under construction have decreased by 28 per cent from 3,530 at 31 March 2008 to 2,559 at 31 March 2013.

the number of unimplemented units has decreased by 25 per cent from

262,758 at the 31 March 2008 to 197,702 at 31 March 2013.

52

Figure 14: Index of schemes and units with permission under construction from March 2008 to March 2013

Base: Schemes with permission under construction 2007/08 3,530; units with permission under construction 2007/08 262,758; (Index = 100)

53

Development type: unimplemented by development phase

2012/13 financial year

At 31 March 2013 for private developments:

for schemes: unstarted permissions made up 62 per cent (or 3,381) of all schemes where planning permission was unimplemented, with schemes where permission was under construction representing 38 per cent (or 2,065).

for units: unstarted permissions made up 48 per cent of all units (155,639) where planning permission was unimplemented, with units where permission was under construction representing 52 per cent (167,746).

At 31 March 2013 for social developments:

for schemes: unstarted permissions made up 53 per cent (or 560) of all schemes where planning permission was unimplemented, with schemes where permission was under construction representing 47 per cent (or 494).

for units: unstarted permissions made up 48 per cent (28,049) of all units where planning permission was unimplemented, with units where permission was under construction representing 52 per cent (or 29,956).

Over the last six financial years

For private development schemes and units over the last six financial years:

for schemes: the proportion of unstarted schemes at 31 March 2013 was at 62 per cent of all private unimplemented schemes, which was the same proportion as at the 31 March 2008.

for units: the proportion of unstarted units has decreased from 49 per cent of all private unimplemented units on 31 March 2008 to 48 per cent of all unimplemented units on 31 March 2013; the proportionr of units where permissions are under construction has increased from 51 per cent of all unimplemented units on 31 March 2008 to 52 per cent of all unimplemented units on 31 March 2013.

For social development schemes and units over the last six years:

54

for schemes: the proportion of unstarted schemes has increased from 48 per cent of all social unimplemented schemes on 31 March 2008 to 53 per cent of all unimplemented schemes on 31 March 2013; the proportion of schemes where permissions are under construction has decreased from

52 per cent on 31 March 2008 to 47 per cent on 31 December 2012.

for units: the proportion of unstarted units has increased from 39 per cent of all social unimplemented units on 31 March 2008 to 48 per cent of all unimplemented units on 31 March 2013; the proportion of units where permissions are under construction has decreased from 61 per cent of all unimplemented units on 31 March 2008 to 52 per cent of all unimplemented units on 31 March 2013.

55

Development timescales

An analysis of the average development timescales from obtaining planning permission to completion of all units was undertaken; development timescales consist of two phases:

obtaining planning permission to starting on site (the equivalent to an unstarted unimplemented permission).

starting on site to completion of the final unit (the equivalent of a permission under construction).

Data included in the financial year analysis relates to schemes where all units were completed in that financial year.

Average development timescales across all types of developments

Average development timescales in 2012/13

In 2012/13 2,462 schemes were completed; on mean average it took 27 months for a scheme to progress from obtaining planning permission to completion of all units. The longest development timescale was just under 11.5 years (for a scheme with between than 100-249 units).

In total 37 per cent of the completed schemes in 2012/13 took longer than the average 27 months for completion of all units to occur.

Examining completion time by the two phases of development it can be seen that:

the time from obtaining permission to starting on site was an average of

12 months; 32 per cent of schemes took longer than 12 months to start on site.

the time from starting on site to completion of the final unit was 16 months;

36 per cent of schemes took longer than 16 months to complete the final unit.

56

Average development timescales over the last six years

Over the last six years, the average time taken for a scheme to progress from obtaining planning permission to completion has lengthened from 20 months in

2007/08 to 27 months in 2012/13.

Examining completion time by the two phases of development it can be seen that:

the average amount of time to progress from obtaining planning permission to starting on site increased from 2007/08 to 2012/13 (from seven months to 12 months).

the average amount of time to progress from starting on site to completion of all units increased from 2007/08 to 2012/13 (from 13 months to 16 months).

Table 18: Average timescales across all types of development (months) from 2007/2008 to 2012/2013

Permission to start on site (average time months)

Under construction

(average time months)

From permission to completion of units

(average time months)

Base

2007/08 2008/09 2009/10 2010/11 2011/12 2012/13

7

13

20

1,912

7

13

21

1,418

9

15

24

1,046

9

14

24

983

11

14

25

1,718

12

16

27

2,462

Average development timescales for the private and social sector (development type)

Average development timescales by development type in 2012/13

On average in the 2012/13 financial year, it took broadly the same amount of time for private housing developments as social housing developments to progress from obtaining planning permission to completion of all units (28 months compared to 27 months respectively).

57

Average development timescales by development type in the last six financial years

Over the last six years, the average time taken for a private sector development to progress from obtaining planning permission to completion has lengthened from 20 months in 2007/08 to 28 months in 2012/13. Examining two key phases of this process:

the average amount of time to progress from obtaining planning permission to starting on site increased from 2007/08 to 2012/13 (from 6 months to 12 months).

the average amount of time to progress from starting on site to completion of all units significantly increased from 2007/08 to 2012/13 (from 13 months to 16 months).

Table 19: Average timescales for private sector developments (months) from 2007/2008 to 2012/2013

2008/09 2009/10 2010/11 2011/12 2012/13

Permission to start on site (average time months)

Under construction

(average time months)

From permission to completion of units(average time months)

Base

2007/08

6

13

20

1,586

7

13

20

1,145

9

16

25

726

11

15

25

601

12

14

26

1,119

12

16

28

1,905

Over the last six years, the average time taken for a social sector development to progress from obtaining planning permission to completion has lengthened, taking 22 months in 2007/08 and 27 months in 2012/13. Examining the two key phases of this process:

in 2012/13 the average amount of time to progress from obtaining planning permission to starting on site was 11 months; this has increased from eight months for projects in 2007/08.

58

the average construction phase of a project has increased from 14 months in 2007/08 to 16 months in 2012/13.

Table 20: Average timescales for social sector developments (months) from 2007/2008 to 2012/2013

Permission to start on site

Under construction

From permission to completion of units

Base

2007/08

8

14

22

326

2008/09

8

15

23

273

2009/10

8

13

22

320

2010/11

8

13

21

382

Average development timescales by unit category

2011/12

9

14

23

557

2012/13

11

16

27

599

Average development timescales by size in 2012/13

The average time taken to progress from obtaining planning permission to completing a scheme varied by the number of units, increasing with units grouped to a particular size.

Table 21: Average time taken to progress schemes from obtaining permission to completion by number of units per scheme in 2012/13 financial year

Average time from permission to start on site (months)

Average time from start on site to completion

(months)

Average time from permission to completion

(months)

Base

Fewer than 10 units

10-49 units

50-99 units

100-249 units

250 or more units

All schemes

11

12

10

12

15

12

11

13

22

26

34

16

22

25

31

38

47

27

288

1,526

351

233

64

2,462

59

Average development timescales by units over the last six financial years

Over the last six financial years the average time taken from obtaining planning permission to completion of all units has increased across schemes of all sizes.

60

Table 22: Average time taken to develop schemes from obtaining permission to completion by number of units per scheme from 2007/2008 to 2012/2013

2007/08

Number of units

Average time

(months)

Base

2008/09

Average time

(months)

Base

2009/10

Average time

(months)

Base

2010/11

Average time

(months)

Base

2011/12

Average time

(months)

Base

2012/13

Average time

(months)

Base

Fewer than 10 units

10-49 units

50-99 units

100-249 units

250 or more units

All schemes

19

32

20

18

23

26

42

1,245

332

245

48

1,912

18

18

24

28

35

21

44

964

226

147

37

1,418

21

21

25

32

41

24

57

614

178

152

45

1,046

22

21

27

34

43

23

73

659

147

75

29

983

22

23

28

37

49

25

150

1,229

199

119

21

1,718

22

25

31

38

47

27

288

1,526

351

233

64

2,462

61

Comparison of average timescales by region

Average development timescales by region in 2012/13

The average time taken from progressing from obtaining planning permission to completing all units varied by region.

In 2012/13 the average time taken from obtaining permission to completing all units within a scheme was the longest in London, the North East and Wales (at

29 months). It took least time in the East, North West, West Midlands and

Yorkshire and the Humber (26 months)

Table 23: Average time taken to progress schemes from obtaining permission to completion by region in 2012/13 financial year

Region

East Midlands

East

London

North East

North West

South East

South West

West Midlands

Yorkshire and the Humber

Wales

All Regions

Permission to start on site

11

11

12

11

12

12

11

11

13

15

12

Under construction

16

17

17

18

14

16

16

15

14

16

16

From permission to completion of units

27

26

29

29

26

28

27

26

26

29

27

Base

179

278

421

79

272

436

295

192

208

102

2,462

Average development timescales by region over the last six financial years

Typically over the last six years for all regions the average amount of time from obtaining planning permission to completion of all units within a scheme increased in each region.

62

East Midlands

East

London

North East

North West

South East

South West

West Midlands

Yorkshire and the Humber

Wales

Table 24: Average time taken to develop schemes from obtaining permission to completion by region from

2007/2008 to 2012/2013

Region

2007/08

Average

(months)

Base

2008/09

Average

(months)

Base

2009/10

Average

(months)

Base

2010/11

Average

(months)

Base

2011/12

Average

(months)

Base

2012/13

Average

(months)

Base

19

21

24

18

20

19

20

20

19

194

201

193

91

228

288

236

196

194

18

20

27

17

21

21

19

20

21

122

156

145

55

159

254

200

131

132

21

23

29

22

22

24

23

23

24

63

136

132

48

107

200

137

80

97

20

26

31

20

23

24

22

23

22

82

115

106

51

105

166

147

71

88

23

24

29

21

22

25

25

25

21

121

189

274

69

204

252

231

135

166

27

26

29

29

26

28

27

26

26

179

278

421

79

272

436

295

192

208

19 91 18 64 21 46 21 52 28 77 29 102

All Regions 20 1,912 21 1,418 24 1,046 23 983 25 1,718 27 2,462

63

For more information please contact

Research and Information Team

Local Government Association

Local Government House

Smith Square

London SW1P 3HZ

Email: research@local.gov.uk

Telephone: 020 7664 3000

Local Government Association

Local Government House

Smith Square

London SW1P 3HZ

Telephone 020 7664 3000

Fax 020 7664 3030

Email info@local.gov.uk www.local.gov.uk

© Local Government Association, September 2013

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