Source · Select Committees · Housing, Communities and Local Government Committee
Recommendation 3
3
Accepted
Publish updated land value estimates to support effective land value capture reforms.
Recommendation
Any reforms to land value capture should also be considerate of the wider tax system, to balance public needs and equitable charges on development. To support this work, the Government should publish updated land value estimates, which were last published in August 2020. If the Government does not intend to do so, it must explain why it no longer publishes this data. (Recommendation, Paragraph 28) 61 Reforms to Section 106 agreements
Government Response Summary
MHCLG is working in partnership with the Planning Advisory Service (PAS) to develop a suite of resources to support section 106 negotiations, including developing a standardised s106 agreement for medium sites as an immediate priority.
Government Response
Accepted
HM Government
Accepted
30. The Government recognises that negotiating s106 planning obligations can increase costs for LPAs and developers. It is already the case that planning practice guidance on planning obligations encourages LPAs to use and publish standard forms and templates to assist with the process of agreeing planning obligations, for example, through model agreements and clauses. 31. In May 2025, we published a Planning Reform Working Paper on Reforming Site Thresholds which sought views on how s106 negotiations could be streamlined; to improve the process, reduce costs, and increase speed and certainty for SME builders. This included further understanding the specific barriers facing SMEs when agreeing s106 obligations and references to the merits of standardised templates for medium-sized sites. 32. In light of the responses received, we are now seeking views on an updated set of proposals as part of the consultation on the NPPF, published on 16 December 2025 (see Annex C of the NPPF consultation document). 33. The consultation sets out that MHCLG is working in partnership with the Planning Advisory Service (PAS) to develop a suite of resources to support section 106 negotiations, including developing a standardised s106 agreement for medium sites as an immediate priority which would be expected to become the default for applications in the future. This s106 support package will also include training opportunities for LPA officers. 34. Town Legal LLP have been formally awarded the contract following a successful procurement process conducted by the Planning Advisory Service. It is intended that a standardised s106 template for medium sites will be issued as a first priority.