Select committee: Housing, Communities and Local Government Committee

Conclusion 1

3rd Report - Delivering 1.5 million new homes: Land Value Capture Published 28 Oct 2025 Addressed to Ministry of Housing, Communities and Local Government
Conclusion (the committee's words)
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 the context of a deepening housing crisis and with public finances currently under strain. However, a radical departure from the Section 106/Community Infrastructure Levy (CIL) regime, which currently constitute the existing mechanisms of land value capture in England, would risk a detrimental impact on the supply of land in the short-term. We recognise that this would be disruptive to the Government’s housebuilding agenda. (Conclusion, Paragraph 26)

From: Housing, Communities and Local Government Committee, 3rd Report - Delivering 1.5 million new homes: Land Value Capture (HC 672), 28 October 2025

Government response

The government responded to the whole report on 20 March 2026 (deadline 28 December 2025).

Summary written by Accountability Index from the government's response. It is not the government's own words.

The government welcomes the Committee's inquiry and says it "recognises there is more to do" on developer contributions, accepting some recommendations, noting or not pursuing others, and pointing to its NPPF consultation and wider reforms.

  • On Community Infrastructure Levy (CIL) coverage, the government "has agreed to the Committee's recommendation and commits to publishing a map of CIL coverage in England", but intends to do so without accompanying information on rates.
  • On funded Level 7 planning apprenticeships, the government "notes" the recommendation and considers that funding apprenticeship routes alone "does not guarantee" learners will work in or remain in local planning authorities. It points instead to its Planning Capacity and Capability Programme.
  • On planning fees, it does "not consider it appropriate to fund local plan-making through planning application fees". On a statutory Section 106 dispute resolution scheme, it does not intend to implement the 2016 Act provisions "at this time" but "will keep this under review".
  • On land value estimates, the government is developing updated estimates and says "the aim is to publish updated values for a range of land uses this year".

Read the government's response ↗ Report an error