Source · National Audit Office

Implementing statutory biodiversity net gain

Published: 17 May 2024 Recommendations: 10 Type: Value for Money NAO confirmed: 9 Department: Department for Environment, Food & Rural Affairs

There are risks to the long-term effectiveness of a new policy to make sure developers protect or improve biodiversity

Dept: Department for Environment, Food & Rural Affairs Topics: Energy and environmentEnvironmental sustainabilityPollution and environmental qualityRural and countryside nao.org.uk →

Recommendations

10 items

10 accepted 5 implemented 5 in progress

Rec	Recommendation	Addressee	Acceptance	Implementation
1	On managing risks as statutory BNG embeds as business as usual, Defra should: establish arrangements to understand and respond to system-wide risks and opportunities; Ref Page 13, para 22, bullet 1 · Implemented Q1 2024-25	Department for Environment, Food and Rural Affairs	Accepted	Implemented
10	identify the contribution that they expect statutory BNG to make to national biodiversity targets, and how they will measure the progress statutory BNG makes to these objectives. Ref Page 13, para 24, bullet 2 · Implemented Q4 2025-26	Department for Environment, Food and Rural Affairs	Accepted	In progress ✓ NAO
2	ensure it retains sufficient capacity and capability to deal with any challenges requiring central government leadership or response; Ref Page 13, para 22, bullet 2 · Implemented Q4 2024-25	Department for Environment, Food and Rural Affairs	Accepted	Implemented ✓ NAO
3	monitor the extent to which the private market for biodiversity units is growing at the pace and scale it needs to in order to provide developers with the range of habitat types they require; Ref Page 13, para 22, bullet 3 · Implemented Q1 2024-25	Department for Environment, Food and Rural Affairs	Accepted	Implemented ✓ NAO
4	establish a mechanism for spending income from the sales of statutory biodiversity credits in a timely way that fulfils the government?s role as biodiversity provider of last resort; and Ref Page 13, para 22, bullet 4 · Implemented Q4 2025-26	Department for Environment, Food and Rural Affairs	Accepted	In progress ✓ NAO
5	determine how it will monitor the effectiveness of compliance and enforcement by local authorities and responsible bodies, to give Defra adequate assurance that these organisations are complying with their statutory BNG obligations. Ref Page 13, para 22, bullet 5 · Implemented Q4 2025-26	Department for Environment, Food and Rural Affairs	Accepted	In progress ✓ NAO
6	On facilitating local delivery, Defra should: ensure local authorities have sufficient and timely funding certainty to allow longer-term planning; Ref Page 13, para 23, bullet 1 · Implemented Q4 2025-26	Department for Environment, Food and Rural Affairs	Accepted	Implemented ✓ NAO
7	use monitoring information on the biodiversity units market to identify any differential regional impacts of the policy, such as local authorities less engaged with the policy, and target support to them; and Ref Page 13, para 23, bullet 2 · Implemented Q4 2025-26	Department for Environment, Food and Rural Affairs	Accepted	In progress ✓ NAO
8	be proactive in co-ordinating opportunities for best practice to be shared and adopted quickly, particularly among local authorities. Ref Page 13, para 23, bullet 3 · Implemented Q1 2024-25	Department for Environment, Food and Rural Affairs	Accepted	Implemented ✓ NAO
9	On determining impact, Defra, working with Natural England, should: publish information annually ? for example, within Defra?s annual progress reports on the Environmental Improvement Plan ? on what statutory BNG has delivered so far towards the stated policy objectives, outcomes and benefits; and Ref Page 13, para 24, bullet 1 · Implemented Q4 2025-26	Department for Environment, Food and Rural Affairs	Accepted	In progress ✓ NAO