Source · Select Committees · Housing, Communities and Local Government Committee
Recommendation 13
13
Accepted
Publish indicative benchmark land values to inform viability assessments on Green Belt land.
Recommendation
The Government must continue to develop its proposal to publish indicative benchmark land values to inform viability assessments on Green Belt land across England. The Government must publish different benchmark land values for each region of England, to reflect variation in land values. The Government must also ensure that the viability planning practice guidance contains clear advice on the “local material considerations” that would warrant local adjustments. The Government should continually review the effectiveness of the policy and consider how it may be extended to development on land that is not in the Green Belt. (Recommendation, Paragraph 72) Reforms to the Community Infrastructure Levy
Government response summary AI-generated
The government committed to a 'gold standard aim' of 40% affordable housing in new towns, with an emphasis on Social Rent, and will work with delivery vehicles to support implementation. They are also developing mechanisms, including guidance, to facilitate the implementation of placemaking principles.
Summary of the government's response below — read the verbatim text to verify.
Government Response
Accepted
HM Government · verbatim extract
Accepted
51. In 2024, the Government consulted on setting indicative benchmark land values for land released from or developed in the Green Belt. The Government does not believe a national benchmark land value would sufficiently account for variation in land values or types of land and, if set too low, would disincentivise landowners from bringing their sites forward. 52. Nonetheless, there may be instances where further guidance could be beneficial to support compliance with the Golden Rules, as well as plan deliverability. This may be particularly true of greenfield land, which is typically more homogenous than brownfield land in terms of its existing uses and abnormal costs. The Government is therefore seeking views through the consultation on the revised NPPF, which opened in December 2025, on the potential benefits of testing viability at the plan-making stage using a standardised national benchmark land value scenario of 10 times Existing Use Value for greenfield, Green Belt land. The purpose of the test would be to send a clear signal and ensure that plan-makers (and viability practitioners working on their behalf) have a clear and strong justification should they wish to adopt a higher benchmark land value. 53. Annex B of the NPPF consultation document contains wider questions relating to standardised inputs into viability assessments, including the determination of benchmark land values. The consultation seeks views on landowner premiums and any circumstances in which a premium, or the usual premium, might not be required, as well as any impact that may arise should a change be made to guidance (for example, any unintended consequences on encouraging land supply to be brought forward). We are also seeking views on whether guidance should set out any specific cases in which alternative use value would not be appropriate, and any further steps the Government should take to ensure non-policy compliant schemes are not used to inform the determination of benchmark land values in the viability assessments than underpin plan-making. We are also seeking views through the consultation on whether a benchmark land value for rural exceptions sites would support delivery. Reforms to the Community Infrastructure Levy (CIL)
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