Delivering 1.5 million new homes: Land Value Capture

Housing, Communities and Local Government Committee Closed Inquiry
Opened: 22 Jan 2025 Closed: 1 May 2026 Parliament page
The Housing, Communities and Local Government Committee is holding an inquiry to look at how land value capture policies - which seek to capture the value uplift on land that when it is granted planning permission - can contribute to the delivery of the Government’s house building plans and help … Read more
20 Recommendations
15 Conclusions
1 Report
3 Oral sessions
3 Letters
3 Events
Activity timeline 11 events
20 Mar
2026
Report published
28 Oct
2025
Report published
11 Sep
2025
Correspondence
3 Sep
2025
Correspondence
15 Jul
2025
Oral evidence
15 Jul
2025
Formal meeting (oral evidence session) · The Grimond Room, Portcullis House
9 Jul
2025
Correspondence
10 Jun
2025
Oral evidence
10 Jun
2025
Formal meeting (oral evidence session) · The Wilson Room, Portcullis House
23 Apr
2025
Oral evidence
23 Apr
2025
Formal meeting (oral evidence session) · The Thatcher Room, Portcullis House
Oral evidence sessions 3 sessions
15 Jul 2025
View on parliament.uk
Oral Evidence
Joanna Key · Ministry of Housing, Communities and Local Government Matthew Pennycook MP · Ministry of Housing, Communities and Local Government William Burgon · Ministry of Housing, Communities and Local Government
10 Jun 2025
View on parliament.uk
Oral Evidence
Avril Roberts · Country Land and Business Association Councillor Richard Clewer · County Councils Network Emily Williams · Savills UK Limited Melanie Leech CBE · British Property Federation (BPF) Paul Brocklehurst · Land, Planning and Development Federation Robbie Calvert · Royal Town Planning Institute Will Jeffwitz · National Housing Federation
23 Apr 2025
View on parliament.uk
Oral Evidence
Anna Hart · Transport for London Chris Whitehouse · WSP Dr Hugh Ellis · Town and Country Planning Association Dr Thomas Aubrey · London School of Economics Jeremy Aston · Royal Institution of Chartered Surveyors (RICS) John Kavanagh · BusinessLDN Maurice Lange · Centre for Cities Tom Kennedy · Northern Housing Consortium
Title HC No. Published Items Response
3rd Report - Delivering 1.5 million new homes: Land Value Capture HC 672 28 Oct 2025 35 Responded
Recommendations & Conclusions
14 results
Clear
1 Conclusion Acknowledged
3rd Report - Delivering 1.5 millio…
Developer contributions system reform needed, but radical changes risk short-term land supply.
There is scope to reform the current system of developer contributions in England to capture a greater proportion of land value uplifts from development to deliver affordable housing and public infrastructure. There is a compelling case for such reforms—especially in … Read more
Government Response
The Government has already taken important steps to strengthen the system of developer contributions to ensure new developments provide necessary affordable homes and infrastructure, and launched a consultation on further changes to the NPPF.
Ministry of Housing, Communities and Local Government
View details
2 Recommendation Acknowledged
3rd Report - Delivering 1.5 millio…
Pursue immediate reforms to Section 106/CIL and trial additional land value capture mechanisms.
Reforms to land value capture should be iterative, starting with improvements to existing mechanisms. Therefore, the Government must immediately pursue the reforms to Section 106 and CIL outlined in the chapters below. These reforms must optimise the system’s capacity to … Read more
Government Response
The Government is developing updated land value estimates for use in policy appraisal and aims to publish updated values for a range of land uses this year.
Ministry of Housing, Communities and Local Government
View details
14 Conclusion Acknowledged
3rd Report - Delivering 1.5 millio…
Complex patchwork of CIL coverage and charging schedules across England lacks transparency.
Around half of local planning authorities have adopted CIL, and its uptake has remained broadly unchanged for several years. There has been little progress towards addressing the complex patchwork of CIL coverage and charging schedules across England in the years … Read more
Government Response
The Government takes on board the Taskforce’s recommendations to consider the interaction between new towns and housing targets ahead of its fuller response.
Ministry of Housing, Communities and Local Government
View details
16 Conclusion Acknowledged
3rd Report - Delivering 1.5 millio…
Local authorities prioritise affordable housing delivery over CIL establishment due to stretched resources.
Currently, stretched local planning authorities are likely to focus their limited staffing and resources on affordable housing delivery as a priority, rather than establishing and administering CIL, even where CIL may be financially viable. The reintroduction of strategic planning in … Read more
Government Response
The government acknowledged the importance of strategic planning but focused on its Long-Term Housing Strategy and existing efforts to deliver 1.5 million new homes, including publishing a revised NPPF, launching the New Homes Accelerator, and announcing a record £39 billion of funding.
Ministry of Housing, Communities and Local Government
View details
18 Recommendation Acknowledged
3rd Report - Delivering 1.5 millio…
Publish local authorities' Infrastructure Funding Statements on the national CIL map.
The Ministry must review its guidance to local authorities on IFSs, to ensure all local authorities have a clear, up-to-date IFS which sets out how CIL receipts will be used locally, and when they will be pooled to deliver larger … Read more
Government Response
The government acknowledges the recommendation and points to existing planning practice guidance and PAS website resources on IFSs, stating they will consider a further update; however, they deem publishing IFSs on a national CIL map inappropriate.
Ministry of Housing, Communities and Local Government
View details
19 Conclusion Acknowledged
3rd Report - Delivering 1.5 millio…
New Towns programme requires billions in investment without clear funding sources.
The Government’s New Towns programme is likely to require billions of pounds of public and private investment over several decades, including millions from HM Treasury to establish development corporations during this Parliament. The Government has not yet set out where … Read more
Government Response
The government is considering the Taskforce's recommendations on land purchases to secure land value capture and will clarify its position in a forthcoming consultation, but commits to no specific action.
Ministry of Housing, Communities and Local Government
View details
21 Conclusion Acknowledged
3rd Report - Delivering 1.5 millio…
Government risks land value capture by announcing New Town sites without policy.
There is significant potential to use land value capture as part of funding the proposed New Towns, especially on green field sites. However, we are concerned that the Government has announced substantial detail of the 12 potential sites without a … Read more
Government Response
The government is considering the Taskforce's recommendations on land purchases to secure land value capture and will clarify its position in a forthcoming consultation, but commits to no specific action.
Ministry of Housing, Communities and Local Government
View details
23 Recommendation Acknowledged
3rd Report - Delivering 1.5 millio…
Government's development corporation model lacks direct funding and capital access.
We welcome that the Government has stated its preference for New Towns to be delivered through development corporations with powers of land assembly, under a similar model to the 20th century new towns. However, the Government has not yet announced … Read more
Government Response
The government is considering the Taskforce's recommendations on land purchases to secure land value capture and will clarify its position in a forthcoming consultation, but commits to no specific action.
Ministry of Housing, Communities and Local Government
View details
24 Recommendation Acknowledged
3rd Report - Delivering 1.5 millio…
Announce new funding for development corporations, mandating Social Rent priority and capital access.
At the Autumn Budget 2025, the Government must announce new funding to establish the development corporations, so they can commence land acquisition on the first sites without delay, and complete this work by spring 2026. The development corporations must be … Read more
Government Response
The government states it is committed to a gold standard aim of 40% affordable housing with an emphasis on Social Rent and will work with delivery vehicles to support implementation. The need for development corporations to take on planning powers will be assessed case-by-case. They highlight existing and future funding sources, but don't commit to specific new funding at the Autumn Budget 2025.
Ministry of Housing, Communities and Local Government
View details
26 Recommendation Acknowledged
3rd Report - Delivering 1.5 millio…
Clarify New Towns' housing delivery interaction with local targets and publish programme roadmap.
The Government must immediately clarify how housing delivery in New Towns will interact with local authority housing need targets. In its final response in spring 2026, the Government must include a roadmap for the New Towns programme, to show when … Read more
Government Response
The government acknowledges the need to consider the interaction between new towns and housing targets ahead of its fuller response. They aim to begin work as soon as possible, with spades in the ground on at least three new towns in this Parliament.
Ministry of Housing, Communities and Local Government
View details
27 Conclusion Acknowledged
3rd Report - Delivering 1.5 millio…
Green Book reforms welcomed but place-based pilot projects remain unlaunched.
For decades, there has been a perception that HM Treasury’s investment decisions have benefitted some parts of England at the expense of others. We therefore welcome HM Treasury’s Green Book reforms to introduce place-based business cases, which will change how … Read more
Government Response
Initial engagement across Government and local government on the early adopter programme has already begun, and the Government will be agreeing an ambitious timeline for the delivery of the early adopter programme and wider rollout of place based business cases in due course.
Ministry of Housing, Communities and Local Government
View details
29 Conclusion Acknowledged
3rd Report - Delivering 1.5 millio…
Long-Term Housing Strategy publication remains delayed, leaving the housing sector without a cohesive plan.
The housing sector is eagerly awaiting the Government’s Long-Term Housing Strategy, which it first announced in July 2024. Originally, this was to be published alongside the Spending Review in spring 2025. The continuing lack of a cohesive plan to deliver … Read more
Government Response
The Government will publish a Long-Term Housing Strategy shortly, which will bring together the significant programme of reform that the Government has undertaken since taking office in July 2024.
Ministry of Housing, Communities and Local Government
View details
33 Conclusion Acknowledged
3rd Report - Delivering 1.5 millio…
Serious concerns about potential cuts to London's affordable housing target hindering delivery.
We are seriously concerned by media reports that London’s affordable housing target could be cut. Whilst the 1.5 million national target cannot be met without a significant increase in housing supply in London, a significant proportion of those new homes … Read more
Government Response
The government acknowledges the concerns about potential cuts to London's affordable housing target and viability pressures and points to a new package of support for housebuilding in London that includes developers to access a new, time-limited planning route to incentivise build out to address this.
Ministry of Housing, Communities and Local Government
View details
35 Recommendation Acknowledged
3rd Report - Delivering 1.5 millio…
Continue working with GLA to accelerate London housing delivery, implementing a clawback mechanism for profits.
The Ministry must continue its work with the Greater London Authority to deliver an acceleration package, so that London boroughs are delivering housing in line with their local housing need targets. In response to this Report, the Ministry must provide … Read more
Government Response
The government acknowledges the recommendation and points to a new package of support for housebuilding in London that includes developers to access a new, time-limited planning route to incentivise build out to address this.
Ministry of Housing, Communities and Local Government
View details
Government Response AI assessment · 35 of 20 classified
Accepted 12
Accepted in Part 1
Acknowledged 14
Deferred 5
Rejected 3
Total 20 recs + 15 conclusions
Correspondence 3 letters
11 Sep 2025 To committee Letter from the Minister of State for Housing and Planning to the Chair dated 29 August 2025 concerning Land Value Capture
Parliament page
3 Sep 2025 To committee Letter from the Chair to the Minister of State for Housing and Planning dated 25 July 2025 concerning Land Value Capture
Parliament page
9 Jul 2025 To committee Letter from Sir Michael Lyons to the Chair dated 1 July 2025 concerning the New Homes Taskforce and land value capture
Parliament page