Select committee: Public Accounts Committee
Recommendation 19
46th Report - Improving local areas through developer funding
Published 17 Oct 2025
Addressed to HM Treasury
Public Accounts Committee Improving local areas through developer funding All items in this report Report on parliament.uk ↗ Inquiry on parliament.uk ↗
Recommendation (the committee's words)
We challenged the Department on what it was doing to tackle the root causes of LPAs’ staffing problems. It explained that several initiatives were under way, and that it would provide direct funding of around £12 million for the recruitment and retention of planners. It also told us that LPAs were allowed to increase planning fees in 2025, and that the Planning and Infrastructure Bill (which is currently being debated in Parliament) contained provisions that would permit LPAs to set their own fees to 24 C&AG’s Report, paras 2.13–2.14 25 C&AG’s Report, para 2.16 26 ILA0005 27 MHCLG, Local Authority Planning Capacity and Skills Survey 2023, January 2025 12 recover their costs. The Department believes that, in the longer term, this will allow LPAs to properly fund their own planning departments and deliver a much better service.28
From: Public Accounts Committee, 46th Report - Improving local areas through developer funding (HC 886), 17 October 2025
Government response
Latest Treasury Minutes progress report to the Committee of Public Accounts on the Forty-sixth Report of Session 2024-26
The government responded to the whole report on 4 June 2026 (deadline 17 December 2025).
Treasury minutes: Government response to the Committee of Public Accounts on the Forty-sixth report from Session 2024-26
Published 19 January 2026.
Summary written by Accountability Index from the government's response. It is not the government's own words.The government states that it agrees with each of the Committee's recommendations on developer contributions, with target implementation dates ranging from spring 2026 to autumn 2026 and some marked 'Recommendation implemented'.
- On infrastructure funding statements, the department "will therefore explore proportionate and efficient ways of collecting and analysing data from IFSs", with a target date of autumn 2026.
- On local plans, it says it is "committed to taking tough action" and has made clear its "willingness to make full use of available intervention powers", with intervention considered "on a case-by-case basis".
- On viability guidance, it "will be consulting on a revised National Planning Policy Framework before the end of this year" and "intends to publish" updated viability practice guidance alongside it, with a target date of summer 2026.
- On unsold Section 106 homes, it is progressing "a holistic policy package, to be confirmed shortly", with a target date of spring 2026.