House of Lords sets out guide for new town success
Funding is “one of the most critical issues” facing the programme, according to the latest report out of the House of Lords – a report that also advises the government to create a new agency to oversee new town delivery.
“This latest attempt to create a new generation of new towns is an opportunity to get it right this time,” reads the opening of New Towns: Laying the Foundations, which was published Saturday.
Within the report, the House of Lords’ built environment committee promises to be a “critical friend” of the government in supporting its new towns programme.
Accordingly, it delivers 11 conclusions on what must be done to ensure the new towns deliver on the government’s promise to create sustainable, liveable communities with more than 10,000 homes, of which 40% will be affordable.
The government announced its shortlist of possible new town and urban extensions locations last month, with Manchester’s Victoria North, Leeds South Bank, and a new town called Adlington in Cheshire East making the cut.
If these three communities are to be a success, the Lords said that considerable funding would be required.
Provide clear funding commitments and structures
“The original post-war new towns programme received very significant public funding in the shape of long-term loans, with the Treasury acting as a patient investor, underwriting the programme for decades, from planning to construction and until maturity,” the report states.
“In the current fiscal context, the ability of the government to provide funding at this level is significantly reduced, meaning that alternative funding models will be needed to plug the gap.”
To help bolster confidence and de-risk the proposals, the Lords advised that a precise mechanism for the public funding of new towns should be announced in the upcoming budget – as well as a clear promise from the government that it would contribute financially to new town delivery.
The Lords noted that private investment would also be critical – so the government should establish institutional mechanisms and a clear legal framework for the financing of new towns early doors, perhaps bringing in potential investors from the start.
Dictate a ‘compelling national vision’
The Lords also stressed that housing targets alone cannot be the justification for the new towns programme. The government should go beyond that messaging to convey the purpose and importance of the programme, including how these communities will drive inclusive growth.
A clear warning was also given for the government to be cognisant that it focuses not just on the South East – but more broadly throughout the country to ensure that the new towns initiative does not reinforce regional inequalities.
Lord Gascoigne, chair of the House of Lords’ built environment committee, elaborated on the importance of messaging around the programme.
“Public support is fundamental to the success of the programme,” he said. “The government needs to work hard, day in and day out, to articulate a clear and ambitious vision for its programme.
“A key element of this must be to inspire developers and planning authorities to use the new towns as a model for future development,” he continued.
“But a vision alone will not be enough to get these new towns built: the government needs to show that it has the grip necessary to drive the programme forward and make it happen.”
Provide leadership resources dedicated to new towns
A dedicated cabinet-level minister was a must, according to the House of Lords. The Lords acknowledged the enthusiasm of housing minister Matthew Pennycook, but described his current portfolio as too broad and his authority too limited to give the new towns programme the attention it deserves.
The Lords also recommended creating a centralised planning agency for the programme, one that could oversee design standards for the settlements.
As for the delivery of the new towns, this should be done by a locally-led development corporation, according to the House of Lords. The group noted that development corporations have been proven to help build credibility with investors as well as to ensure the land assembly required for delivery. The government would provide central oversight to this, with an ownership stake to allow for low-cost borrowing.
Stewardship must not be forgotten, the Lords warned. They advocated for the long-term caretaking of the communities to be considered from the outset, perhaps through the formation of community land trusts.
Focus on phased, diverse masterplans
The House of Lords advised government to deliver masterplans for these new towns that can be delivered in a phased approach – with a mechanism in place from the outset for the masterplans to be reviewed every five years.
Building from lessons learned in Stockport and Denmark’s Ørestad, the Lords recommended the government focus on delivering infrastructure in new towns first. This would go beyond just roads and utilities – but also the schools, hospitals, and communities spaces required for these areas to flourish. This should be done prior to the first houses being built.
The House of Lords advocated for having a variety of size plots in the masterplans for new towns. This would allow SME developers to be part of the programme and would make it easier to bring in specialist housing, the report stated.
These are just some of the suggestions outlined in New Towns: Laying the Foundations. Read the full report
“centralised planning agency for the programme, one that could oversee design standards for the settlements”. Great, this would be a such a positive step forward for the public realm and urban design of these ‘new towns’/extensions, and takes a great deal of pressure of Councils like Manchester which may not have the capacity or expertise on delivering co-ordinated and well-designed places at this scale
By Anonymous
Mostly sensible suggestions but I do worry that people see Development Corporations as the answer to all prayers. Schemes of this scale come down to viability and cross agency working to ensure housing comes forward with the right infrastructure and amenities.
By Anonymous
They should get the park element completed first, new residents have limited amenities and the park trees and plants will take years to mature.
By Anonymous
These large scale housing projects need to done in consideration of other major developments. Heyford Park for example, 13,000 houses will be built with a 2 mile radius of a new theme park Puy di Fou with a planned 1.2 millions visitors a year, Oxfordshire Rail Frieght Interchange with 860,000 movements per anuum and 9600 employees, new warehousing with 600,000 HGV movements per annum. The cumulative impact of the bigger picture needs to be worked through with disperate authorising governments departments not operating in silos as they are.
By Paul Fennemore
People need to get real, there isn’t an infinite pot of money for schemes of this type. I suspect that public funding will be ringfenced from existing and future allocations through Homes England and the relevant devolved authorities to take forward the likes of Victoria North. Egos need to be put to one side and a collective effort at all levels of government is required for New Towns to succeed.
By Anonymous
Anon.. there may not be an infinite pot of money ..but look at how much the government are handing out.. and a lions share is going to foreign investors.. with no guarantees of what we will get in return
By Anonymous
Anonymous 9.01am, please can you elaborate on the Government giving the lions share of funding to foreign investors with no guarantees of a return? Such a statement needs backing up with facts.
By Anonymous