Challenges in Local Authority Planning and Development Services

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Local authorities are facing challenges in planning and development services due to reductions in spending, leading to a gap in funding. Councils have experienced cuts in planning expenditure, impacting funding sources like Council Tax base and Business Rates retention. To address these challenges, there is a need to demonstrate the value of planning services in generating income and supporting council strategies for economic growth and creating vibrant communities.


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  1. Leadership Essentials: Leading Planning The Planning Service Resource Landscape Steve Barker Principal Consultant October 2015 www.pas.gov.uk

  2. The resource challenge OBR forecast for Local Authority spending

  3. The resource challenge How service expenditure might be squeezed 60 Capital Financing and other Central Services 50 Planning and Development 40 Highways, Roads and Transport (billion) 30 Culture, Recreation and Sport Housing 20 Education 10 Waste Management Adult Social Care 0 2010/11 2011/12 2012/13 2013/14 2014/15 2015/16 2016/17 2017/18 2018/19 2019/20 Children's Social Care

  4. The resource challenge What has happened in the last few years? Councils made a larger reduction in spending on planning and development services (11.5 per cent, on average) in 2012/13 than they had budgeted for Planning and development saw the largest average reductions in spending from 2010/11 to 2013/14: 37.6 per cent in real terms (Audit Commission, Tough Times 2013)

  5. The resource challenge The planning outlook Assumptions about planning expenditure CPI inflation on supplies and services Pay drift on salaries population income from charges increases by CPI (in long term) efficiencies on gross cost of 1% per annum 2.5 2.0 Projected change in 1.5 Projected planning and development spend bn 1.0 Squeezed expenditure bn 0.5 billion gap by 2019/20 in planning alone 0.5 -

  6. The resource challenge Spending and funding Planning is one service where expenditure has (fairly direct) influence on funding Council Tax base Business Rates retention New Homes Bonus Cuts to planning expenditure in year 1 might reduce funding in year 2/3/4 a vicious circle? And fees don t cover costs

  7. Positive Planning making the argument Planning services need to be able to show the value of the service: income and effect of the service: returns on decisions: fees, NHB, Business Rate Retention, CIL, the role of planning decisions to bring income into the area the support the service gives to the delivery of council strategies: delivering economic gain to an area, delivering good places, ..

  8. Positive Planning making the argument Planning services can show: an understanding of the service: how resources are used, what makes income, what costs money, how they compare to others, an understanding your customers; are they happy, is it a good service, National Indicators aren t very good at recognising a good service ..but there is something that does! PAS Planning Quality Framework programme

  9. Positive Planning what s it look like Recognition of importance of new development both nationally & locally Having a service that interacts with applicants and streamlines the process in proportion to the issues of the application Making the most use of the resources available Giving as much certainty in the process Working together to influence and deliver good develop that aligns to council and community needs

  10. Positive Planning what s it look like Provides guidance, advice and decisions where its needed and in the shortest time possible Creating a chance to work collaboratively with a developer on larger schemes Making those discussions worthwhile so people to be bothered doing it Simplifying the process where it is practical and advantageous to do so. Its all about delivery!

  11. Positive Planning Ask yourself: How would your planning service stand against that description?

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