27
Acknowledged
Defra told us that the Nature Restoration Fund is an innovative solution which will unblock...
Conclusion
Defra told us that the Nature Restoration Fund is an innovative solution which will unblock developments and also deliver better outcomes for nature.72 It explained that the Fund will allow it to take a wider view of actions it can take to restore nature, rather than the current site-specific solutions which may not benefit the economy or nature as well as they could. Defra told us this approach will be faster and more certain for developers, and the pooling of money from developments allow it to do more ambitious restoration or protection of the environment.73
Government Response Summary
The government acknowledges the Nature Restoration Fund, clarifying its role as distinct but complementary to Biodiversity Net Gain, focusing on unblocking developments stalled by environmental obligations while BNG applies more broadly to new housing and infrastructure projects.
Government Response
Acknowledged
Government Response
Acknowledged
HM Government
Acknowledged
6.6 Biodiversity Net Gain (BNG) and Nature Restoration Fund (NRF) are distinct and complementary policies, both aiming to ensure that development delivers a net benefit for nature. The NRF is predominantly optional and will focus on enabling development in areas where it has stalled due to specific environmental obligations. For example, nutrient neutrality currently affects 8% of housing. BNG currently applies to all new housing (including exemptions) and is scheduled to go live for Nationally Significant Infrastructure Projects from November 2026.
Source
Committee
Public Accounts Committee
Inquiry
Environmental regulation
Report
74th Report - Environmental regulation
25 Mar 2026
HC 1687
Addressee Bodies
HM Treasury
Timeline
Recommendation age
0.3 yrs
Report published
25 Mar 2026