Planning and Infrastructure Bill passed, with Call for evidence launched

MPs voted 330 to 74, a majority of 256, to approve the Planning and Infrastructure Bill at its second reading on Monday 24 March.

The bill introduces changes aimed at speeding up the delivery of housing and infrastructure, such as reduction in the opportunities for legal challenges and streamlining of the decision making process. Deputy Prime Minister Angela Rayner stated that the bill:

‘begins to strip away the unnecessary consultation requirements that do nothing to improve applications, nor meaningfully engage communities, but do slow down the delivery of infrastructure that will benefit communities in the future.’

Ahead of the second reading, a group of contractors and consultants signed an open letter encouraging MPs to support the bill¹. The letter described it as a ‘once-in-a-generation opportunity to unlock growth, accelerate critical projects, and strengthen the UK’s competitiveness.’

Alongside the bill’s passage, the government has launched a call for evidence, inviting individuals and organisations with relevant expertise or a special interest in the bill to submit their views. For further guidance on how to submit evidence, visit the Government’s website.²

Building Safety Levy Rates Announced Whilst Implementation Delayed by 12 Months

Last week, we reported on calls from Home Builders Federation for the government to consider suspending the Building Safety Levy³, with an open letter signed by over 100 FMB members. Now, a ministerial statement has confirmed that while levy rates have been set, implementation will in fact be delayed by a year.

Introduced as part of the Building Safety Act 2022, the levy gives the Secretary of State the power to impose charges on residential developments requiring certain approvals, with the funds directed toward building safety improvements.

The Conservative government initially consulted on the levy in early 2022 and 2023, outlining that residential developers would be required to pay as part of their contribution to the building control process—raising an estimated £3 billion over 10 years. In response to industry feedback, the previous government clarified that developments on brownfield sites would only be required to pay 50% of the standard levy.

Despite initial expectations that the levy would take effect in autumn 2025, a written ministerial statement published on Monday, 24 March⁴ confirmed a 12-month delay. The decision aims to provide the housing sector with more time to adapt to the new requirements.

The statement also highlighted the finalised levy rates, which can be found in the response to the second technical consultation⁵:

• Rates are based on local house prices, meaning higher charges in areas with higher property values.
• Developments on brownfield land will receive a 50% discount to account for the higher costs of building on previously developed sites.
• Affordable housing, community facilities, and small developments (fewer than 10 units) will be exempt from the levy.

The government maintains that this approach will help mitigate the impact on housing supply, ensuring that essential safety improvements are funded while supporting continued development.

Greybelt Labelled 'Trojan Horse' by Shadow Secretary

Shadow Secretary Kevin Hollinrake has branded the fledgling grey belt policy a “Trojan horse” during a reading of the Planning and Infrastructure Bill in the House of Commons on 24 March.

His remarks add to the ongoing national debate surrounding the policy, which, in its early months, has facilitated notable approvals in some areas. While parts of the industry have downplayed its overall impact, Hollinrake warned it could be the “death knell for the Green Belt,” criticising the “removal of parts of the definitions and protections of villages.”

Although the grey belt concept is not directly addressed in the Planning and Infrastructure Bill, Hollinrake insisted that the Conservative Party would be pushing for “checks and balances that protect communities, rural areas, farmers, and the environment.”

Other criticisms of the bill raised during the debate focused on concerns that it could diminish local voices' power in planning decisions. Hollinrake highlighted what he described as a “potentially toxic mix” of significantly increased housing targets in rural areas, the so-called grey belt ‘Trojan horse’—which includes the removal of protections for villages—the shift towards strategic planning, and the ambition to build 1.5 million homes.

The opposition has expressed particular concern over what it views as excessive housing targets for rural areas and the introduction of strategic planning, which Hollinrake argued could compel rural authorities to accommodate urban housing demand.

As the debate around grey belt continues, read our recent blog post where we take a deeper dive into the ongoing controversy and its implications.⁶

1. https://www.pbctoday.co.uk/news/planning-construction-news/open-letter-from-tier-1-construction-professionals-urge-mps-to-back-second-reading-of-planning-and-infrastructure-bill/149709/
2. https://www.parliament.uk/business/news/2025/march/planning-and-infrastructure-bill-call-for-evidence/
3. https://www.planningportal.co.uk/services/weekly-planning-news/planning-news-20-march-2025
4. https://hansard.parliament.uk/Commons/2025-03-24/debates/25032413000013/BuildingSafetyLevy
5. https://www.gov.uk/government/consultations/building-safety-levy-technical-consultation/outcome/building-safety-levy-technical-consultation-response
6. https://www.terraquest.co.uk/news-and-insights/the-evolution-of-a-revolutionary-greybelt-policy