Agenda item

To report to the Planning Policy and Local Plan Committee:

·      The findings of the most recently updated Strategic Housing Land Availability Assessment (SHLAA) including:

o  The number of new homes built in Tendring during the 2023/24 financial year and the up-dated year-by-year ‘trajectory’ for future housebuilding; and

o  The current housing land supply position (the ‘five-year’ supply).

·      The baseline housing position for the Local Plan Review.

The Committee considered a report of the Director (Planning) (A.2), which reported:-

(a)    the findings of the most recently updated Strategic Housing Land Availability Assessment (SHLAA) including:

(i)      the number of new homes built in Tendring during the 2023/24 financial year and the up-dated year-by-year ‘trajectory’ for future housebuilding; and

(ii)     the current housing land supply position (the ‘five-year’ supply).

(b)    the baseline housing position for the Local Plan Review.

Housing Supply Position

Housing Requirement

The Committee recalled that Section 1 of the adopted Local Plan set out the ‘objectively assessed housing need’ (OAN) for Tendring of 550 homes a year, and the housing requirement for the period of the Local Plan 2013-2033 was therefore 11,000 homes. With approximately 6,700 homes already built between 2013 and 2024, the remaining requirement between now and 2033 stood at approximately 4,300 and the historic shortfall in housing delivery had now been addressed. It would be necessary to revisit the housing requirement for the District as part of the Local Plan review to assess the longer-term needs for the rolled-forward plan-period, with any new requirement taking effect from the anticipated adoption of the updated Local Plan (2026).

Housing Completions and Future Trajectory

It was reported that, in the period 1 April 2023 to 31 March 2024, a total of 838 (net) new homes had been completed in the District of Tendring. This meant that the housebuilding target of 550 homes a year had now been achieved for an eighth year in succession.

Officers had updated the Council’s SHLAA, which contained a trajectory for future housing building up to 2033. Information from developers as well as Officers’ own monitoring of building sites had informed the forecast for the coming years.

Five Year Housing Supply and Decision Making

Members were reminded that when the National Planning Policy Framework had been updated in December 2023, the requirement for Local Planning Authorities to demonstrate an ongoing ‘five-year supply’ of deliverable housing sites had been removed in certain circumstances – specifically for those authorities whose Local Plan had been adopted less than five years ago and who could identify at least a five year supply of specific, deliverable sites at the time its examination had concluded. Nevertheless, the SHLAA included a calculation of the Council’s five-year housing land supply, which demonstrated that the District of Tendring is well placed to meet future housing needs.

The Committee was informed that, taking into account the future trajectory set out in the SHLAA, the Council could demonstrate a 6.26 years’ supply of deliverable housing sites. Around 3,600 homes were expected to be built within the five years 2024/25 – 2028/29, against a five-year requirement of approximately 2,900 homes. This meant that, so long as the Local Plan was kept up to date, the Council remained in a strong position to resist speculative and unwanted housing developments that fell outside of the settlement development boundaries of the Local Plan, unless there were material benefits that might exceptionally justify a departure from Local Plan policy, or the proposals satisfied other policies within the Local Plan (e.g. rural exception sites for affordable housing).

Local Plan Review Housing Requirement

Members were aware that when the adopted Local Plan had been prepared, the Council had been required to calculate an objectively assessed housing need (OAN). This OAN had been the subject of significant scrutiny as part of the Local Plan examination, and a number of objectors had argued for a higher figure than the Council had proposed. However, because of uncertainties around the Census demographic data and un-attributable population change, the Council, with the support of demographic consultants, had been able to demonstrate to the Inspector that 550 dwellings per annum was a sound housing requirement for the District of Tendring.

It was reported that, since the submission and examination of the current Local Plan, the way in which Local Planning Authorities were required to calculate their housing need had changed. At the time of writing, national policy stated that to determine the minimum number of homes needed, strategic policies should be informed by a local housing need assessment, conducted using the standard method in the national planning guidance. The outcome of the standard method was an advisory starting-point for establishing a housing requirement for the area. Based on consideration of this topic to date, it was possible that the Council would not be able to justify a departure from the Standard Method when reviewing the longer-term housing need as part of the Local Plan review.

The Committee was advised that, based on a Standard Method calculation, the annual housing requirement for the updated Local Plan (from 2026 – 2041) would be expected to increase to around 770 dwellings per annum. Officers were keeping this matter under review, and were taking advice from demographic consultants to ensure the Local Plan review was based on the correct housing requirement for the District.

After analysing the number of new homes currently planned for (through adopted Local Plan allocations, large sites with Planning Permission, and a projection of small site and windfall development), it was believed that the Local Plan review might need to allocate sites for between 3,000 - 4,000 additional homes.

The Director (Planning) pointed out that it was unclear to what extent national planning policy might change over the coming months under the new Government, and what impact this would have on the District’s housing requirement. The Council would need to proceed with the review of the Local Plan in accordance with current policy and Officers would keep the situation and any implications for Tendring’s Local Plan under review.

Small Sites

Members were reminded that the NPPF required Local Plans to identify enough small sites (of less than 1ha) to deliver at least 10% of their Local Housing Need. If the Council was required to meet a Local Housing Need calculated using the Standard Method as part of the Local Plan review, an initial analysis suggested that 9.5% of the total amount of housing needed up to 2041 could already be met on small sites in the District that were either allocated in the adopted Local Plan, benefited from planning permission, or formed part of the windfall projection set out in the SHLAA. This position would need to be monitored, but it might become necessary to allocate land for around 100 dwellings to be delivered on small sites, as part of whichever spatial strategy the Council decided upon following the Issues and Options consultation later this year.

At the invitation of the Chairman, the Portfolio Holder for Housing and Planning (Councillor Baker) commented on the subject matter of this item.

Having duly taken all of the above information into account and having discussed the matter:-

It was moved by Councillor Fairley, seconded by Councillor Bray and unanimously:-

RESOLVED that the Planning Policy and Local Plan Committee –

(a)    endorses the content of this report, and

(b)    notes that the new Strategic Housing Land Availability Assessment  demonstrates an up-to-date housing land supply position and an April 2024 baseline housing position for the purposes of reviewing the Local Plan.