The City of York Council has two realistically-priced plots on the market for self builders wanting to create their own home.
Set in Acomb in the west of the city the pair of plots are on a vacant site in an urban area, with buyers able to purchase a £95,000 plot to build on. Each plot comes with a design code setting out the guidelines of what can be built, as set out in the outline planning permission by York Council. The design code is available from the agent William H. Brown, York.
One plot measures 114m² and the other 106m², with the permission allowing for the creation of a detached home, and they benefit from the local amenities and schools that are present in the existing community. Buyers will need to apply for detailed planning permission before commencement, drawn up in line with the design code.
A design code is a document – drawn up by the council in this case as the site promoters – that sets out the parameters of what is permissible to build within the plot. This might detail volume, mass, positioning and services, as well as other factors such as acceptable design details and materials. This then frames what the purchaser must account for in their design.
If offers some surety to the neighbouring community and the council about what will emerge, and helps ensure that the buyer’s design will get approved, as long as it is followed.
The plots have emerged locally thanks to proactive work by York City Council to meet the needs of its self builders, as evidenced by their self build register. Councils often get criticised for not doing enough to promote their registers or support those on it, so NaCSBA is pleased to see an excellent example of a council acting positively in this way by facilitating plots to come to market.
Planning appeals are starting to be won on the basis of the self build registers, proving their worth at a macro level when many feel they fail to deliver for individuals.
While the National Custom and Self Build Association would like to see more positive outcomes for individuals as a result of signing, it welcomes the decisions where inspectors find in favour of a planning appeal because of a lack of action around the registers.
As many self builders know, anyone in England has the right to sign up to their local council’s self build register, individually and as part of a group. Read about the situation in regards to Wales and N. Ireland and Scotland.
However, despite this many people remain unaware of their right. Last year our joint survey with the National Self Build and Renovation Centre (NSBRC) found that 21% of people surveyed were not aware of the ‘Right to Build’ legislation, and 51% had not joined a register. This is surprising, as the interviews were conducted with people in the NSBRC database, so had an active interest in self build.
Councils also have the right to put tests and/or charges in place which prevents or discourages some people from signing up – find out more about these in the FAQs on our Right to Build page.
The registers are starting to prove important in planning applications and appeals as they represent a form of demand of people wanting to self build, that councils must have consideration for. The legislation does not require them to create plots, but they do have to consider applications, and any permissions granted, in light of this demand.
Tetlow King Planning has become something of a specialist in planning and applications and appeals for self build, and often refers to this demand where it is unmet, in its argument for the application.
And the results show that this can be very effective. For example, in some cases it has resulted in a positive outcome for the applicant.
It did this on the basis that the authority was falling short in meeting the demand on the register with sufficient permissions. The inspector gave “significant weight” and and passed the application. (Weight refers to how important one or another principle is in the overall argument over whether or not development is acceptable.)
Tetlow King also won an appeal for four custom build homes in the Greenbelt, with the argument that the council had failed to meet self build demand being instrumental in the final granting of permission.
This led the inspector to find that there were “very special circumstances” that justified the edge of village plots.
These cases are important for the wider self build world, as they emphasise the importance that inspectors can place on demand and a lack of activity from local authorities.
This also means that would be self builders should always sign up to the their local self build register, even if they feel that it won’t benefit them personally by securing a plot where they want to build.
DLUHC’s latest data for custom and self build in England shows that while the number of individuals and groups on the register has grown modestly, the number of permissions fell.
In addition, the number of planning permissions granted for plots for custom and self build was 6,374, a reduction of 23% on the previous year.
In total, there are 63,662 individuals who have signed their local self build register, as well as 807 groups. But the numbers for the last 12 months until 30 October 2022 were overall down on previous figures. This showed a 34% decline in individuals and a 37% fall in the number of groups signing up.
The data is published annually by the Department of Levelling-Up, Communities and Housing, and is based on council returns for 2021-2022, running annually from 31 October to the next 30 October.
There are numerous reasons why the numbers are down, but logically a significant factor is the current economic environment. With inflation and prices skyrocketing, all housebuilding and planning applications across the board have slumped over the last 12 months, to their lowest figures in 16 years, as reported by the Department of Levelling-Up, Communities and Housing.
Repeated government commitments to overhaul planning have created uncertainty, with many local authorities freezing their local plan making process until a clearer picture emerges. This means that many fewer policies supportive of custom and self build have emerged as a result.
This has got so problematic that the Home Builders Federation (HBF) has forecast that housebuilding will fall to its lowest levels since the Second World War unless the planning system starts to support housebuilding in England.
The National Custom and Self Build Association (NaCSBA) is also aware that more councils than ever have applied tests to limit people signing up to the local self build registers, which act as a deterrent.
However, the register remain a vital tool for the sector, and must be used by the public to raise their profile. Research in 2022 found that 21% of people were unaware of the Right to Build legislation, meaning that many more people want to self build. In addition, a lack of activity in terms of permissioning enough plots to reflect demand for people wanting to custom and self build is now starting to gain more weight in planning appeals.
NaCSBA urges anyone interested in building to sign up to their local register because of this. If your authority places charges or tests that you deem unfair it has provided template letters of complaint that you can fill in.
These have a two-fold effect – they should act as secondary evidence beyond the register that you want to build locally, and highlight where you, as a resident, feel that your local planning authority’s rules are prejudicial to you in your ambition in regard to housing.
You can find and sign your local register via the Self Build Portal, access the template letter or get answers from our FAQs about what the Right to Build does – and doesn’t – deliver on this website.
Peter Johns, CEO of NaCSBA said, “The latest data is disappointing and reflects the obstacles put in place to registering by many local authorities (be it registration fees, local connection or financial tests).
“NaCSBA continues to challenge authorities where they are putting road blocks in the way, but also supporting authorities through the work of its Right to Build Task Force. We know that the numbers underestimate the level of demand by some margin – NaCSBA is currently undertaking research and analysis to demonstrate this and expects to report on it later in 2023.”
Andrew Baddeley-Chappell, Policy Director, NaCSBA said, “The drop in numbers joining the registers is a disappointment and we are in the process of undertaking a deep dive into the data. We do not believe the fall off is as a result of any reduction in the underlying desire of people to have a home built to their design and specification.
“We continue to see challenges from a proportion of planning authorities, that are contrary to the spirit and letter of the legislation – legislation that is being tightened to address some of the poor practice that have been identified. Factors such as covid, inflation and cost of living challenges may also have had an impact.
“We continue to strongly believe that low public support for new homes is closely linked to the lack of desire for the homes that are currently being delivered and that greater customer choice is the key to more and better homes.”
On Right to Build Day (30 October) NaCSBA published a letter calling for an end to the practice whereby local authorities place unfair financial tests that prevent people signing their local self build Register.
Importantly, the letter is supported by the mortgage sector, including the Association of Mortgage Intermediaries, the Building Societies Association and UK Finance.
NaCSBA is sharing the letter to bring an end to the minority of councils applying unnecessary and bureaucratic tests that must be passed before someone can join a self build register. Effectively these few councils are restricting people’s ambitions – and legal right – to sign their self build register.
The legislation does enable local authorities to set tests for people wanting to sign the register, which include local connection and financial tests. But the guidance for these states that these should only be applied where there is a “strong justification” for doing so.
However, some of the tests are completely unnecessary and unfair, such as the requirement to have a mortgage offer in place or to have written confirmation of funds from a qualified financial adviser.
In addition, some of these policies also refer to the Council of Mortgage Lenders, which ceased to exist in July 2017, with its activities now undertaken by UK Finance.
The letter recommends that:
It is not appropriate to ask for a mortgage offer to join a Register.
This can typically only be obtained when access to land with planning permission has been assured. Any person who is in this position has therefore no need to join a Register.
It is not appropriate to ask for an Approval in Principle.
Such a document has a specific place in the house purchase process, and the regulatory environment. The production of an Approval in Principle (AIP) involves time and cost for an applicant, the mortgage adviser and for the mortgage lender. An AIP typically includes a credit assessment of the customer. This process can result in credit footprints that can ultimately reduce access to credit including future mortgage lending. An AIP has a limited life (no more than 6 months) which is much shorter than the time in which the local authority has to act.
It is not appropriate to ask for other written evidence from a fully qualified financial adviser.
An adviser would typically charge a fee for such work, and as noted above any activity this far in advance of any mortgage application is of no wider underlying value to the customer.
Andrew Baddeley-Chappell CEO of the National Custom & Self Build Association stated: “A limited but growing number of local authorities are making it too difficult for potential self builders to benefit from the law. This is unfair and wasteful of the resources of individuals and the mortgage sector. We are hugely grateful to the mortgage sector for their support in enabling our sector to deliver more and better homes.”
Kevin McCloud (Presenter, Grand Designs) stated: “At a time when we need more sustainability and affordable homes, it is beyond belief that any council is making it impossible for such homes to be delivered.”
NaCSBA has also published a briefing note setting out the context around the Right to Build legislation and registers.
What has become known as the Right to Build legislation requires all local authorities to establish a Register of all those who wish to build or commission a home and to then ensure that sufficient plot ‘permissions’ come forward to meet that demand.
The financial solvency test is designed to assess the ability of an applicant to purchase the land and build a self build home. However, the examples above applied by some local authorities effectively make them too hard and / or too expensive for applicants to pass.
There will also be an assessment of financial resources. The Council will require relevant evidence of sufficient resources as follows:
(Source: letter from Solihull Council to everyone already registered on its register)
The council will require relevant evidence of sufficient resources as follows:
(Source: Epping Council Self Build FAQs)
Financial Solvency Test:
(Source: Self-Build and Custom Housebuilding Register: Advisory Notes)
NaCSBA has called out Solihull Metropolitan Borough Council for its “shameful actions” in amending the conditions for joining its Right to Build register to make it almost impossible for most people to sign up.
Solihull council chose to announce its new restrictions during the week of the innovative Grand Designs Live show, which was ironically held at the National Exhibition Centre in Solihull.
The new restrictions mean that anyone wanting to create a self-commissioned home in the borough could well struggle to join the register – an essential demand tool for the council and one that is set out in legislation.
Restrictions are allowed under the legislation, which can entail a local connection test, a financial viability test and the right to charge people, both to join and remain on the registers.
For anyone keen on building locally, Solihull Council now requires people to demonstrate a local connection to qualify for joining Part 1 – the element they must consider when considering their wider housing duties. Those without this link will join Part 2, which has no impact on council activity.
It also places a financial test on anyone wishing to join, which NaCSBA considers the worst of the tests imposed by the council. This states:
There will also be an assessment of financial resources. The Council will require relevant evidence of sufficient resources as follows:
NaCSBA reports that the tests are impossible to pass.
In addition, the council’s guidance references the Council of Mortgage Lenders – an organisation that ceased to exist five years ago.
Kevin McCloud designer and presenter of Grand Designs stated: “At a time when we need a greater focus on sustainability and more affordable homes, it is beyond belief that any Council is making it impossible for such homes to be delivered.”
Andrew Baddeley-Chappell CEO of the National Custom & Self Build Association stated: “I have no doubt that these changes being introduced by the Council are contrary to the letter and spirit of laws aimed at helping people to build or commission their own home, known as the Right to Build. The Council needs to reverse these changes and understand how it got into such a mess in the first place.”
The Self-Build and Custom Housebuilding Act 2015 as amended by the Housing & Planning Act 2016 is primary legislation. It states: “This is intended to make it much easier for people to find land to build or commission their own home, diversifying housing supply and revitalising smaller builders who have not experienced the same level of recovery as the large housebuilders since the financial crisis.”
The legislation requires all local authorities in England to establish a Register of all those who wish to self-build and to then ensure that sufficient plots come forward to meet the demand.
The legislation allows for three restrictions to be imposed on joining the Registers, but there are tests that need to be met for this to happen. As was intended, very few Councils (7% at 30 October 2021) impose all of these tests. Approaching 6 years after the legislation was introduced, Solihull is choosing to introduce all 3 restrictions. Furthermore, the way it is imposing some of these restrictions makes it impossible for anyone to meet the tests and so benefit from the legislation.
The reason for introducing these restrictions is clear. The Council is seeking an easy way of getting out of the duty that the legislation places on it. As at 30 October 2021 (the last date for which data is available), the Council had a shortfall in delivery of 247 plots, and this number was continuing to increase.
NaCSBA is highly critical of the policy, which it links to other ill-conceived examples of discredited polices, such as Epping Forest District Council.
The action by the Council is directly contrary to the message from central Government that continues to support the growth of the sector. Just this year the Government responded positively to the independent review on growing the sector (The Bacon Review) and launched Help to Build enabling access to the market to those with a 5% deposit. As stated in commissioning the review: “We know that self and custom builders deliver high quality, well designed homes that are energy efficient, accessible affordable and welcomed by their communities.”
Image: On stage at Grand Designs debating the Right to Build – (L-R) NaCSBA CEO Andrew Baddeley-Chappell, Richard Bacon MP, Kevin McCloud, Kunle Barker, TV personality and Mario Wolf of Custom Build Homes.
The National Self Build and Renovation Centre (NSBRC) runs a calendar of invaluable training events, both live from its Swindon base, and online, meaning that anyone can join. NaCSBA is delighted to be teaming up with the NSBRC for a brand new online surgery – Grants, Legislation and Latest News on 23 June, 19:00-20:00.
The online surgery sessions are part of the NSBRC’s 15 year celebrations, and this session provides would-be builders with a focused update on the political and legislative factors affecting self-builders today. Right now, there’s never been more high-level support for custom and self builders, creating a favourable climate for anyone wanting to build.
During the event, NaCSBA CEO, Andrew Baddeley-Chappell, will be offering updates on the following areas:
The surgery also includes a Q&A slot where you can raise your own issues.
NaCSBA’s aim is to make custom and self build a mainstream choice for all those seeking a home of their own, and shares the NSBRC’s own vision of helping people enjoy better homes.
The NSBRC has a host of other training courses and sessions, essential guidance for anyone setting out on a project of their own. Other events for summer include a Planning Surgery, Virtual Renovation Course and Ask An Architect appointments.
Find the full list on its website.
Richard Bacon, MP for South Norfolk, has published his Review of Custom and Self Build, which identifies a ‘missing market’ of owner commissioned homes, that could deliver between 30,000 to 40,000 self build homes a year.
The report was commissioned by Prime Minister Boris Johnson in April, as part of the Custom and Self Build Action Plan to look at the ways in which custom and self build could help provide the extra homes that government needs to help it reach its target or building 300,000 homes a year.
Richard Bacon was tasked with looking at the entire sector, including examples of how owner commissioned homes are built abroad in countries where the model is common.
One such example is Germany, where 55% of new homes are commissioned by their owners, with large show parks dotted across the country where you can go and experience houses built and designed by a range of companies (have a look at Musterhaus for a German example).
The result is a comprehensive overview of the sector, together with the barriers to growth. The report is respectable 114 pages and includes new economic analysis by Chamberlain Walker that identifies the sector as a ‘missing market’ in the UK.
This is due to a combination of reasons, such as planning and the dominance of the mainstream housebuilders, but is largely attributed to the lack of land available to build self or custom build homes on.
To remedy the findings, Bacon puts forwards six strong recommendations for creating a new system that would support activity.
Housing Secretary Rt Hon Robert Jenrick MP said: “As we build back better, we want to help more people build their own home, making it an option for thousands who’ve not considered it or ruled it out before. This will help get more people on to the housing ladder, ensure homes suit people’s needs whilst providing an important boost to small builders and businesses too.
“I warmly welcome Richard Bacon’s report which matches our ambitions for the custom and self-build sector. We will consider it fully and respond to the recommendations in due course.
“The launch of the Help to Build equity loan scheme will be a game-changer to the self and custom build market and will allow individuals to borrow with lower deposit mortgages which will go towards the design and build of their new home.”
Mr Bacon said: “At no other time in our history would new housing be thought of as a form of pollution, creating a monoculture to be resisted from villages to towns. The central problem is that most customers have almost no clout when it comes to buying a home.
“There is a “missing market”. Instead of customers who are able to choose for themselves what they actually want, which of course will vary hugely – just as people vary hugely in their tastes, preferences and lifestyle choices – in practice most customers have very little say. Indeed, for the very item on which customers spend the largest proportion of their incomes – their homes – they hold the least consumer power.”
“Those who have managed to step outside this prevailing framework and commission or build their own dwelling see a result that is to their own taste – greener, better built and more welcomed by local communities. And while thousands of people have succeeded in doing this – often with the help of NaCSBA members – it is still difficult to do, whereas it needs to become normal. Indeed, it should be no more difficult than ordering a new car.”
“There is a solution. It involves creating the conditions in which customers are treated as if they matter the most, rather than – for the most part – scarcely mattering at all. And this is what happens when people themselves commission the houses they would like to see. Homes England, whose remit includes making markets, has a key role to play in kickstarting this market including providing land and investment and helping to streamline planning – and my core recommendation is that a Custom & Self-Build Delivery Unit should be established with a mandate to deliver the required changes, staffed by skilled professionals with deep experience of delivering custom and self-build projects for customers across all tenures.”
Andrew Baddeley-Chappell, NaCSBA CEO said: “There is clearly something wrong with any market where customer choice is so notably absent, in particularly where such choice so demonstrably leads to better and greener homes. At the heart of the challenge is a planning system that appears hard wired to produce a product that most of us do not want, and which fails to reflect the diversity of our communities.
“Yet there is a proven viable solution. One that works everywhere else in the world, the question is not whether change is needed but how that change happens. To make that change we must ensure that sufficient land comes forward on which people can chose the home they want to live in. We must also open the eyes of the public to the possibilities that are out there. Both these aspects require the leadership of Government to address the failures in our current market.
“The recommendations in this report, which include the review of the Right to Build and the rapid launch of Help to Build have the capacity to positively transform our country’s relationship with the new homes market.
The Self and Custom Build Action Plan includes:
A new survey by the National Self Build and Renovation Centre (NSBRC) reflects a series of data about people’s real, or planned, projects, including averages, such as age, household income and budget. This helps give a realistic picture of people building or renovating a home right now, showing what motivates them and what barriers they face. NaCSBA’s most recent surveys have asked questions of the general public, reflecting people’s aspirations rather than the realities of those actually involved in a build.
Conducted in partnership with NaCSBA in June 2021, this new survey asked questions of NSBRC customers, and of the 681 people that responded, 73% were building a brand new home.
The survey fed into Richard Bacon’s Review of Custom and Self Build, a detailed report commissioned by Boris Johsno examining the opportunities and barriers to the sector scaling up. The review, which also puts six recommendations for government to consider is due to be published shortly.
Government has continued to back people that hope to build their own home, with a raft of measures to boost custom and self build activity. These announcements are important for the sector and local government, and will, in time, result in more opportunities for members of the public who want to self build.
Starting with the announcement of a Help to Build back in December, since then there have been a series of policies and proposals that namecheck the sector. Together these add weight to the argument for scaling up custom and self build.
The Housing Secretary Rt Hon Robert Jenrick MP, who announced the news about the Brownfield Land Release Fund said “We are backing people who want to design and build their own home, and today I have launched a review to ensure councils provide enough land and take proper consideration for these homes when making planning decisions in their area.”
NaCSBA hopes that these measures will be embraced by local government in the spirit in which they are intended.
Andrew Baddeley-Chappell, CEO of NaCSBA commented, saying: “We thoroughly welcome this news for anyone wanting to build their own home. This is investment that will help bring forward more sites for self and custom builders, and we hope this will lead to more sites coming forwards across England.
The Self Build Portal is the consumer website of the National Custom and Self Build Association (NaCSBA), aimed at supporting would be builders. While 2020 was a well acknowledged shocker for most people, you may be surprised to know that it worked out pretty well for would-be custom and self builders.
Although aimed at professionals working in custom and self build, NaCSBA’s Review of the Year makes for interesting reading for anyone wondering whether they can access an owner-commissioned homes.
Among the highpoints:
NaCSBA set up a group to promote Housing Diversification – designed to work to give more people the chance to access a home that suits the. Members include Federation of Master Builders and the House Builders Association (which represents small- and medium-housebuilders) and community led housing groups, including the UK Cohousing Network and the National Community Land Trust Network.
NaCSBA also lobbies government and responds to various consultations to ensure that self build gets a proper attention, including the Planning for the Future White Paper.
It also conducted research into the nation’s self build aspirations, which it produced along with the Building Societies Association. This found that a third of people are interested in self building in the future. Of this third – the younger age group were the most keen to get started.
The announcement of a new Help to Build Equity Loan scheme should help this 33% of the population that is interested in a self or custom build project, as it offers a valuable route to finance. To date, there’s little information about how this might work – but NaCSBA will share the news as soon as it is finalised.
Behind the scenes, the Right to Build Task Force has also been busy helping local authorities get to grips with the Right to Build, and also produced new Planning Guidance for Custom and Self Build. Although aimed at professionals – it makes for very useful reading if you are preparing a self build for submission for planning.
Image: Self Build Aspirations
