English Devolution and Community Empowerment Act to allow mayors to make development orders and charge a community infrastructure levy to developers 

Local authorities with elected mayors will receive more devolved powers over housing and planning after the English Devolution and Community Empowerment Bill received royal assent yesterday (29 April).

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Source: Shutterstock

Leeds Town Hall

The act will introduce strategic authorities - larger, regional bodies designed to coordinate policy across multiple local councils - into law. Ministers believe this will make it quicker to devolve powers out of Westminster.

Strategic authorities with elected mayors will have greater influence over transport and economic regeneration as well as housing and planning.

Mayors will be given new powers to intervene in planning applications of potential strategic importance, make mayoral development orders and charge a mayoral community infrastructure levy to developers.

Meanwhile, strategic authorities will be mandated to develop local growth plans that align regional economic strategies with national policy.

Tom Arnold, policy manager for regional engagement and devolution at the Chartered Institute of Housing, said:

“The measures included within the act have potential to help both mayors and strategic authorities, in tandem with local authorities, play a bigger role in delivering much needed new homes and infrastructure.

”With the Social and Affordable Homes Programme also launched earlier this month, and Integrated Settlements that are in place in established mayoral strategic authority areas providing greater financial certainty, we look forward to mayors and strategic authorities across England playing a major role in the planning and development of high-quality new communities.

“In addition to these new planning powers, we welcome the duty – included in the act – for mayors and strategic authorities to ensure they formally consider local health and health inequalities when making policy decisions. Housing has an important role to play in improving health outcomes and preventing poor health, and local leaders now have more control over this important agenda.”

The act will also empower strategic authorities and local people to improve their communities and high streets.

A new Community Right to Buy will give local people the first right of refusal when community assets such as shops and community centres are put up for sale and gambling impact assessments will help councils prevent new gambling shops opening on high streets.

Upwards Only Rent Review clauses in new and renewal commercial leases will also be banned, which previously prevented businesses’ rents from decreasing - even if the market rate decreased - for new commercial rental agreements.

Local scrutiny committees for mayoral authorities will be established under the new law to review local public spending and decision making.