Plans to scrap waterway pollution rules to boost housebuilding

Through an amendment to the Levelling Up and Regeneration Bill, currently going through the House of Lords, the proposal will see the government doing away with EU environmental protections on waterways in a bid to build more homes.

Currently, councils in protected areas of England do not allow new housing developments unless they are "nutrient-neutral" - rules in place since 2019 following a ruling by the European Court of Justice.

Under the existing regulations, for new building projects to be considered neutral, developers must show they will not cause polluting phosphates and nitrates to leak into nearby wetlands and waterways.

The government's proposed reform seeks to streamline this process, authorising local authorities to make development decisions and accelerating housebuilding, potentially commencing within months of enactment.

The government argues that the pollution contribution from new homes is minimal and can be counteracted by a £280 million investment in the Nutrient Mitigation Scheme run by Natural England.

These measures will primarily target farming and water companies to restore protected waterways, offering grants to farmers for better slurry storage and reducing nutrient runoff.

Controversial plans divide opinion

Water pollution has recently become a major political issue, and the latest government announcement has sparked anger among environmentalists.

Groups including Greenpeace UK, Wildlife Trust, and the RSPB argue it will worsen water pollution, asserting it will deepen existing environmental issues and not address the core housing problems.

Other critics highlight the financial burden to mitigate nutrient pollution for new housing will be shifted from developers to taxpayers under the proposed changes, costing the taxpayer around £140 million.

However, housebuilders and industry groups, including the Home Builders Federation, have welcomed the plans, claiming that the existing rules effectively block development. As many as 140,000 new homes are being held up by expensive and time-consuming measures, and many argue that farmland is a far bigger polluter.

The housing market has experienced record demand levels in recent years, driven by population growth, urbanisation, and shifting demographics - putting pressure on existing stock, causing shortages and unaffordability.

New builds are essential to meet this demand, but the supply is currently lower than the government's ambition of 300,000 new homes per year. Around 233,000 new homes were supplied in 2021/22.

Contact our solicitors

Our solicitors have extensive expertise across all aspects of residential property development - from land acquisition and advice through the development process to plot sales and supporting buyers on their new build conveyancing.

We advise on projects of all sizes, from small builds and single-plot developments to large-scale schemes by regional builders, and support our clients throughout the lifecycle.

We have solicitors in Brighton, London, East Sussex and Cumbria, and we assist housebuilders and homebuyers nationwide.