The Impact of Local Plan Reforms on Farmers and Rural Landowners

As the UK’s planning system undergoes significant reforms, we are beginning to see how farmers and rural landowners will be affected by changes to how local plans are managed. Here, we look at how amendments to the approval process, strategic planning, and small site allocations will impact them.

Expanded Areas
Historically, local plans were designed with a focus on urban and peri-urban areas, with rural areas often receiving less attention in the planning process. However, recent reforms require local plans to cover broader geographic areas, including rural regions. This could lead to:

Increased Scrutiny of Land Use: As local plans expand to cover wider issues like sustainability, infrastructure development, and regional growth, rural landowners may face greater scrutiny when it comes to land use. For example, areas that were previously considered agricultural or recreational could now be earmarked for housing, renewable energy projects, or other types of development.

New Land Use Categories: With a growing emphasis on climate change and sustainability, rural landowners might see new requirements imposed on their land. These could include obligations to protect biodiversity, implement carbon sequestration strategies, or integrate renewable energy installations, such as solar panels or wind turbines, into their property.

Pressure for Development: Some rural areas, particularly those near towns and cities, may face pressure for new housing or infrastructure projects. This could lead to the conversion of agricultural land for development.

While there are opportunities for rural landowners to benefit from these changes—such as leasing land for renewable energy schemes or housing development—there is also the risk of being forced to sell or repurpose land due to new planning priorities.

Changes in the System of Approving Local Plans
Reforms to the local plan approval system are designed to speed up the planning process and ensure that local plans are aligned with broader national priorities.

Under the new approval system, local plans will be subject to closer scrutiny by central government. This means national policy priorities, such as meeting housing targets or promoting sustainable development, could outweigh local concerns. Rural landowners might find that their land is allocated for development as part of a wider government strategy, even if it goes against local or traditional agricultural interests.

While the streamlined approval process is intended to speed up development, rural landowners may need help keeping up with the pace of change. Quick decisions could mean less time to consult with stakeholders or challenge planning applications that affect their land. However, this could also work in their favour if they wish to develop their land for housing or commercial use, as the process becomes less bureaucratic.

We will also see increased use of digital platforms for public consultation, meaning that rural communities and landowners must adapt to new ways of engaging with the planning processes. While digital tools can make consultations more accessible, there is a risk that rural voices may be drowned out by more vocal urban populations who may not fully understand the complexities of rural land management.

Ultimately, while faster decision-making might lead to quicker development opportunities, rural landowners may have to work harder to ensure their interests are represented in an increasingly centralised and fast-paced planning environment.

 Strategic Planning and Its Impact on Rural Land
A significant shift in planning reform is the move towards strategic planning across larger geographical areas, with multiple councils working together to coordinate regional growth. This regional approach to planning seeks to address issues such as housing supply, infrastructure needs, and environmental sustainability on a broader scale.

Changes could mean farmers and landowners with land on the edge of urban areas could face increased pressure to accommodate new housing or infrastructure projects as part of regional development plans. For example, large housing developments may be proposed for areas that were traditionally agricultural, as urban sprawl increasingly impacts rural land.

Strategic planning will increasingly focus on environmental considerations, with a push for landowners to incorporate green technologies or sustainable practices into their land use. While this can open up opportunities for landowners to diversify into renewable energy or carbon farming, it may also impose restrictions on more traditional agricultural practices.

Rural landowners with strategic parcels of land could benefit from regional planning priorities. Still, they may also have to balance these opportunities with the risks of land being repurposed for large-scale developments or infrastructure projects.

Small Site Allocations
To meet housing targets, the UK government is prioritising small site allocations—often within or near existing settlements. These sites, including infill developments, brownfield sites, and underutilised land, are seen as crucial to meeting housing needs without sprawling into the countryside.

Small site allocations could present opportunities for rural landowners to diversify their income by permitting or developing smaller-scale housing projects on their land. Farmers may be able to sell or lease smaller plots for residential development, especially on the edges of existing villages or towns.

On the other hand, for some rural landowners, small site allocations may put pressure on agricultural land. If local plans prioritise housing or commercial developments on smaller plots of rural land, landowners might need help deciding whether to develop or sell parts of their land for housing, potentially compromising their agricultural operations.

There is an increasing emphasis on affordable housing in rural areas, with some local plans encouraging the development of smaller homes for local residents. Rural landowners may be able to contribute to their communities by providing land for affordable housing projects. Still, they may also face opposition from local residents concerned about overdevelopment or changes to the rural landscape.

In general, small site allocations present opportunities and challenges for rural landowners, especially as demand for housing in rural areas grows. While these projects may be smaller than sprawling urban developments, they still require careful consideration of the rural community’s economic, environmental, and social impacts.

The changes to local plans in the UK represent a major shift in how land is allocated and managed, particularly for farmers and rural landowners. While the expanded scope of local plans, strategic regional planning, and increased emphasis on small site allocations offer opportunities for diversification and development, they also introduce new challenges. Rural landowners will need to navigate an increasingly complex and fast-paced planning system, balancing the potential for development with the need to preserve their agricultural businesses and protect the rural environment.

If you’re wondering how these changes will affect you or if you need some help or advice, please don’t hesitate to call Ray Phillips on 01522 696496 or email ray@walters-rural.com or use our contact form.