English Devolution – what it means for RICS

The English Devolution White Paper, titled "Power and Partnership: Foundations for Growth," outlines the UK Government's strategy to decentralise powers from Westminster to local regions across England – particularly through the creation of new Strategic Authorities and the expansion of Mayoral bodies.

This principle of the White Paper is to enhance local governance, drive economic growth, and improve public services by empowering communities to make decisions tailored to their unique needs.

Implications for the built environment

Starting with a new Integrated Settlement will mean that newly created Strategic Authorities will be able to have greater flexibility with budget movement than has typically been seen with existing combined and Mayoral authorities. This will include greater budgetary powers over housing, regeneration, local growth, transport, skills and retrofit and decarbonisation policies.

Housing and Planning – all areas will be required to produce a Spatial Development Strategy, with mayoral authorities having the power to introduce a new Mayoral Levy to support necessary infrastructure, new control over housing funding, regeneration and affordable homes strategies.  New authorities will also have greater powers over new development management, the ability to ‘call in’ strategically important applications and greater accountability over Homes England.

Sustainability – support the local delivery of the Warm Homes Plan by having greater control over retrofit funding allocations, the rollout of Great British Energy and heat networks. They will also take leadership in delivering the Local Nature Recovery Strategy.

Transport – mayors will now have statutory roles in the management and governance of rail, as well as the powers to take buses back into public ownership. Mayors will also have greater responsibility over the coordination of road and infrastructure development and delivery, reducing the influence of central government over decision-making.

Skills and economic growth – the new authorities will have the responsibility for fostering the relationship between industry and skills providers, leading the Local Skills Improvement Plan, which will also support the government in the expansion of its Industrial Strategy. This includes powers to oversee the participation of 18-21-year-olds in education, employment and training. Control over Growth Hub funding and the development of strategic investment campaigns will be devolved to these new authorities, allowing for a more tailored and localised approach to economic growth activity.

Localised decision-making can lead to housing and infrastructure developments that better meet community needs. Regions can implement planning policies that reflect local priorities, potentially expediting approval processes and fostering innovative development solutions – although this could lead to controversy as new Strategic Authorities and Mayors could reduce the influence of local voices and communities. Devolution will allow regions to tailor skills development programs to local economic needs, enhancing workforce capabilities and driving growth.

However, divergent regional policies could create complexities for developers and professionals operating across multiple areas, necessitating careful navigation of varying policy priorities. The proposals could create one of the biggest variances in built environment policy across England that many will have ever seen.

RICS will be working with policymakers to shape the reforms. We will advocate for a consistent set of policy frameworks, guidance and regulation to support effective delivery of housing, planning, infrastructure and economic reform whilst recognising the importance of localised policymaking.