
Developers could get automatic planning permission to start building on disused land, while major housing projects could be fast-tracked and London’s extension rules have been relaxed.
While Treasury sources said workers were more productive when they live closer to their jobs, those hoping to see further transport plans feel electrifying the TransPennine rail line and increasing airport capacity would have a more significant impact.? The former caused much criticism of the government’s prospective establishment of a Northern Powerhouse, as electrification of the line between Manchester and Leeds has been delayed. A decision on whether the third runway at Heathrow will go ahead, as recommended by the Airports Commission, will be decided at the end of the year. Javid said that ?the UK has long been incapable of building enough homes to keep up with growing demand?. He suggested that as well as frustrating the ?ambitions of hardworking people who want to own their own home? it was also to the detriment of productivity, restricting flexibility in the labour market. Construction output was 1.3 per cent lower in May than the previous month according to ONS, and there had been a 5.8 per cent month-on-month fall in new housebuilding in May. While new work and repair and maintenance contributed to the decline, it was the underperforming housebuilding sector that was having a particularly negative impact. The business secretary announced the introduction of a new zonal system, which will essentially give automatic planning permission on ?suitable brownfield sites?, those which have previously been developed but stand vacant or derelict at present. It remains to be seen whether there is enough of such land available to meet the housing needs for the coming years. Read more about productivity:- How three UK firms upped productivity with simple investments
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