King’s Speech 2024 shows the built and natural environment centre of government’s plan

The King’s Speech 2024 marks the detailed start of the new government’s legislative programme.  

Among the announcements by the King included 39 new Bills, ranging from planning to English devolution, renters and leasehold reform to infrastructure and skills.

The government’s agenda for the next Parliament includes significant reforms to the built and natural environment designed to address growing challenges with housing, energy security and sustainability and deliver greater well-being for consumers.

In addition, reforms to rail and bus ownership will take place, and a new Arbitration Bill is designed to strengthen a part of the sector essential to RICS dispute resolution. Notably, this King’s Speech does not include any reforms to business rates, something the government during the General Election indicated would be a key part of their support for high-streets and businesses.

Highlights of the King’s Speech include:

Planning and Infrastructure Bill

The new government hit the ground running, announcing a series of major planning reforms just 72 hours after taking office.

The Bill will help realise the government’s ambition on the reform of planning deliver long-term improvements to the planning system and unlock economic growth.

It answers recent calls from RICS in our Delivering the Homes We Need: actions for Change report, to modernise the National Grid to meet future housing needs and place decisions on major infrastructure projects with Ministers, lifting the burden from local planning authorities.

Reforms on compulsory purchase and compensation rules will be included, specifically addressing ‘Hope Value’ in land for affordable housing. RICS will be working closely with the government as these reforms take shape given the important role valuations will play.

With the government mandating a 1.5 million new homes target, RICS will support the government in helping ensure this crucial figure is met.  RICS is calling for greater support to local planning authorities to create modern local housing plans, of which over 60% are outdated. Infrastructure strategies also need to be explored as part of the Bill – with almost £3 billion in unspent Section 106 and Community Infrastructure Levy funding sitting with councils, who collected as part of developer contributions but no clear delivery strategy.

We would like to see greater accountability be given to local planning authorities to develop, and justify, local plans, with the government and Chief Planner’s able to intervene and call in those plans failing to deliver for their communities.

National Wealth Fund Bill

The National Wealth Fund looks to be the new government’s response to the levelling up agenda developed by previous Conservative Governments. Designed to make transformative investments across every part of the country, it will utilise £7.3 billion in capital with additional private sector investment.

Funding will be prioritised for the government’s industrial strategy, economic growth, and clean energy missions. This includes an expansion of hydrogen infrastructure and advancements in carbon capture technologies.

Almost all of the previous government’s levelling-up projects failed to be completed on time or within budget according to a recent Public Accounts Committee finding, so for National Wealth Fund investments to be successful, it is essential cost, project management and carbon are at its heart – which is where RICS members can support the government with International Cost Management Standards and Whole Life Carbon Assessments.

English Devolution Bill

Devolving further powers across England on matters relating to strategic planning, transport, skills, and employment will help empower decisions to be made at a local level, reflecting local needs.

RICS is working with devolved administrations in England, including metro Mayors to help develop and deliver their visions. This includes large housing decarbonisation projects, local rental charters, and planning reform.

RICS have heard from Metro Mayors and Combined Authorities about some of the challenges delivering housing and infrastructure strategies where they cross over multiple local authority boundaries, competing with different plans and needs. As the Bill progresses, RICS members working in these regions can help to convene and ensure sufficient support exists to ensure ambitious visions are not caught up in the labyrinth of challenges associated with working across multiple planning bodies.

Great British Energy Bill

Central to Labour’s General Election campaign was their promise to create Great British Energy, a publicly owned energy production company that manages and operates clean power projects.

Ambitions for Great British Energy are high, and the government hopes that by combining private sector investment, at a minimum we will see a fourfold increase in offshore wind and solar capacity, and a doubling of onshore wind, the latter of which will be boosted by the government’s recent announcement of a lifting of moratorium on onshore wind.

The Crown Estate Bill will support the work of Great British Energy by unlocking current restrictions on marine activities and supporting the acceleration of offshore wind. Renewable energy infrastructure relies heavily on the support of RICS members to operate effectively, including in land acquisition, project, and cost management as well as adjudication.

Skills England Bill

RICS has engaged with the new government to call for the creation of a Built Environment Skills Taskforce to identify, map and plan for the skillsets to meet our future housing, infrastructure, and sustainability needs.

The Bill proposed by the government will seek to simplify the skills system across England away from its current fragmented and geographic approach, as well as the creation of Skills England to take on oversight of apprenticeship and technical education.

Renters’ Rights Bill

Creating a high-quality and affordable rental sector is essential and the Renter’s Rights Bill picks up where its predecessor, the Renters Reform Bill, failed to get over the line ahead of the General Election.

It is essential tenants can enjoy high-quality, safe homes, but reforms must also not drive landlords out of the market, which would only exasperate the already significant challenges facing renters with increasing rents.

Ending Section 21 ‘no fault’ evictions and strengthening tenants’ rights to challenge rent increases designed to force them out with help give tenants for comfort and security in their homes. Landlords, however, must be supported where anti-social tenants or those in significant rent arrears cause problems. Landlords have repeatedly told RICS how the current court system can easily be overhauled to speed up the process of repossession of a property in extreme cases by digitising the system.

The expansion of the Decent Homes Standard to the private rental sector will be welcomed news to tenants and will support driving up quality. However, in parts of England, one-third of privately rented homes would fail to meet the standard if it were introduced today. RICS have been working with the government to ensure a system of support exists for landlords to access advice and resources to upgrade their homes, reducing the risk of landlords selling whilst ensuring tenants can have, at the very least, the minimum standards expected.

We will continue to work with the Ministry for Housing, Communities and Local Government as the Bill develops.

Leasehold and Commonhold Reform Bill

With the Leasehold and Freehold Reform Act only several weeks old, the government are pushing forward with further reforms to the sector.

Among the details of the Bill includes plans to enact the remaining Law Commission recommendations on leaseholder rights to extend and buy their lease, continue reforms to ground rent (notably not giving details on any proposed cap yet that RICS has been calling for) and tackle ‘fleecehold’ private estates.

The government are also pushing forward the expansion of commonholds. Seen as a way to empower residents to have more of a say over their homes and the buildings they live in, this model has historically proven popular for many who wanted to be engaged in their block management, but for others, it has proven problematic. In recent years, many RICS managing agents working on behalf of commonholds have noted how increasing building safety, energy efficiency and cost-of-living challenges are making commonhold management more difficult for many, and in severe cases, increasing neighbour disputes. RICS recognise the benefits commonholds offer, and we will work with the government and our members who support these blocks every day to make sure a framework exists to support this transition while making those taking on management aware of their obligations.

Tina Paillet FRICS, President of RICS responded to the King’s Speech saying:

“It’s welcome that planning reforms sat at the heart of the 35 draft bills read out by King Charles today. Both housing and infrastructure are huge economic enablers; numerous studies have identified the positive correlation between GDP growth and infrastructure delivery.

“Today’s King’s Speech is yet another step in the right direction from Labour policymakers, who have pledged to “take the brakes off Britain” by introducing an ambitious legislative agenda which will get the UK building again, improve living standards, and help deliver the infrastructure to power a net-zero economy. The actions across these will need to be linked to ensure success, and as RICS professionals work across all these agendas, they will collectively provide expertise needed to progress these missions.

“The Skills England bill, which mirrors our calls for the creation of a cross-department skills taskforce responsible for identifying gaps and opportunities in the workforce, is also encouraging. Policymakers must address the skills shortage and support industry work in solving this issue, otherwise the UK will be unable to deliver on its 1.5 million homes a year target and £805 billion infrastructure pipeline.

“Underlining the need for holistic built environment policy, while we welcome the Renters Rights Bill to support tenants and drive-up standards, government needs to work with landlords to address affordability and supply. Our survey has already shown prices being pushed up due to lack of rental homes”.