HC Deb 04 April 2003 vol 402 cc1240-6

Motion made, and Question proposed, That this House do now adjourn.—[Jim Fitzpatrick.]

2.31 pm
Mr. Alan Hurst (Braintree)

It is always a pleasure to speak in an Adjournment debate, especially on a Friday afternoon, when the House is normally so full. I am also grateful for the opportunity to raise what I consider to be a particularly important matter not only for the Braintree district, but for rural areas throughout south-east England and probably further afield.

The printed title of the debate is considerably wider than the matter that I wished to raise today. The original unabridged title was "The threat of speculative development in rural areas", which stemmed from events in my constituency and, in particular, the parish of Stisted. Stisted is situated a few miles from the town of Braintree, but it is an example of completely unaffected rural England. It is a small village that still retains a school, public house and church. In addition, there is a wide-ranging hinterland. The area is high-grade agricultural land interspersed with small woodland areas of oak and lime—the traditional woodland of eastern England, going back to prehistoric times.

It is the local wish and belief that the area should remain in that condition and local people are much exercised about what has happened recently. A farmer in the Stisted parish sold an allotment of land in the region of 50 acres in size. I am told that he believed that he was selling it for the purpose of grazing horses, but the price paid was above that of agricultural land. Soon afterwards, other events came along, but it is worth recalling that the land itself is adjacent to a nature reserve and close to other woodland, and is served by narrow, country back roads.

However, local people soon discovered that the modern age had intruded, as the sale of the land was being readvertised via the internet. It was being advertised not as one whole lot of 50 acres or so, but in small plots of up to one fifth of an acre. The internet parcels had divided the land into 236 individual plots and the asking price was between £3,000 and £6,000 a plot. It is estimated that the agricultural value of the land was £2,500 to £3,000 per acre. The interneted plot land value was about £25,000 per acre. Quite a tidy profit would be made if all the plots were sold. It is true that Gladwish, the company that offered the plots, did not pretend that the land had planning consent. The advertisement on the internet said specifically that the land was sold without planning consent and that the company's business and purpose was to sell agricultural and forestry land. However, it also said that agricultural land prices are lower than those for plots with planning consent, that land prices rise faster than house prices and that a solicitor was not necessary to complete the transaction. I do not think that I need to declare an interest at this point because that is a negative for solicitors, not a positive.

Stisted was not the only site that was advertised on the internet. Gladwish advertised sites in Sussex, Norfolk, Surrey, Hertfordshire, Hampshire and Bedfordshire, and I understand that other companies trade in a similar way. Last month's Farmers Weekly ran an article on the problem in Norfolk and quoted a spokesman for Gladwish as saying: It might be that one day some of these plots will get permission for development. The Eastern Daily Press, which serves an area of East Anglia slightly north of my division, reported that the Office of Fair Trading had ordered Gladwish to remove a statement from its website that said that it would be deemed "unethical" if people approached local planning departments about plots' planning potential before sales were completed. It also said that representatives of the company would meet prospective purchasers only if they turned up at the site with cash. I do not know whether the literal meaning of "cash"—pounds, shillings and pence, as it once was—applies, or whether cash may include credit cards. I suspect that the company requires a ready form of cash to allow completion there and then.

A spokeswoman for the Council for the Protection of Rural England said that barbed wire and fence posts are appearing in very scenic areas of the Norfolk site. In Stisted, the fear is that the new plot holders will start to site caravans, huts and shelters on the land, that the land will be divided into small segments and that the area will assume the character of a shanty town.

The scheme reminds me of the champagne auctions that were held in our county some 100 years ago. Such events were a Victorian version of what we are seeing now, although there are several differences. Land developers would go out to the darkest corners of rural Essex and buy large tracts of land at almost give-away prices. They advertised the land in London, hired trains to take Londoners to the station nearest to the land, and offered a plot of land and a glass of champagne for £5. The whole of eastern and southern Essex was covered with plots that were marked out on maps. Some of the plots grew into towns; Basildon was a plot-land town long before it was a new town. If one looks at maps of some large areas of country in Essex, they are marked with plots, roads, and even with sites for public houses and hotels. However, the grass still grows as it did 100 or so years ago.

There is a fundamental difference between such auctions and the internet operation. The Londoners were brought down to see the land. They could make a judgment about whether to buy or not and they bought on the spot—with or without the benefit of champagne. However, it is believed that few people who buy land on the internet come to see it first. They buy it as a commodity.

Local people from the parishes of Stisted, which is in my parliamentary division, and Greenstead Green gathered at Stisted village hall a few fortnights ago. Greenstead Green is in the division of the right hon. Member for Saffron Walden (Sir Alan Haselhurst), which comes within a few yards of the site. Stisted village hall is not the Albert hall. Its dimensions are much smaller and when I entered it a little late because of another engagement, it was packed. It was standing room only; there were more than 200 people in the hall. When one considers that the combined population of the parishes of Greenstead Green and Stisted is no more than 900, one begins to understand the proportion of people who were exercised by what was to happen.

The sale of agricultural land carries with it a general development order, which allows the owners of any part of the land to fence it, construct shelters in connection with animal husbandry and go a little further if they claim that it is to be forestry land. People who bring a sheep on to their plot can construct a shelter for the sheep or themselves. The entire 50 acres could easily become a mosaic of caravans, camper vans and sheds in connection with pseudo-smallholder activities.

There was some concern at the public meeting about the speed with which Braintree district council could move. Everybody acknowledges that it moved with exemplary speed. In days, it laid an article 4 direction. I was not too familiar with that before the problem arose. However, once laid and approved by the Secretary of State, it prohibits any form of development on the land, including fencing and constructing shelters.

The direction has two parts. First, it prohibits the erection of fences, walls and temporary buildings without planning consent. That prevents the other feature of the modern age, the car boot sale. There is no 28-day provision for such use once an article 4 direction has been laid. Secondly, it prevents the use of the land as a campsite either for caravans or tents.

My praise does not extend only to Braintree district council. The Secretary of State, operating through the Government office for the eastern region and the appropriately named Mr. Speed, approved the order in seven days. Consequently, the residents of Stisted and Greensted Green feel that they have the best protection that the law can currently provide.

There is a problem that, once the plot holders realise that the land cannot be used for make-believe farming or forestry, it will become neglected and become a parcel of thistles, ragwort and other weeds, which can damage not only that land but neighbouring land and preserved and managed woodlands. The Weeds Act 1959 gives local authorities the right to take action if a landholder fails to deal with weeds, especially those that I mentioned. There is an obvious anxiety that the Act is not frequently invoked and that it may be expensive for local authorities to pursue up to 200 plot holders in connection with thistles and ragwort that are spreading beyond the land. Nevertheless, local action has halted the initial danger.

I bring the matter before the House for two reasons. First, I want to convey as loudly as possible a warning to those who skim the internet against buying plots of land unseen, without legal advice and local authority search. For the companies involved, the scheme has been a modern version of the south sea bubble. Large sums of money can appear to be made, but they can also be lost. Gladwish does not appear from its internet site to be losing money. I am not a frequent user of the internet, someone has to gain access to it for me so that I can see what it is. However, I have read that Gladwish boasts and brags that its sales rose from £92,000 in 1995 to almost £5 million last year. So it is not losing any money. Indeed, it makes a point of saying that it is continuing to make money.

For the Government to help as much as they can, they must alert local authorities as to the steps that need to be taken quickly to protect land when this problem arises. These days, we have kits and packs for everything. A kit or pack might well need to be made available to local authorities by the Government, showing them exactly the circumstances in which an article 4 directive can be made, and how the process to make it takes place. Such information used to be contained in a Government circular, but these days perhaps it needs to be more detailed than that, and more readily available.

In conclusion, unless the problem of internet sales is dealt with, the whole structure of town and country planning—particularly country planning—will become a shambles, just as those sites will do if they are left unchecked.

2.45 pm
The Parliamentary Under-Secretary of State, Office of the Deputy Prime Minister (Mr. Tony McNulty)

I congratulate my hon. Friend the Member for Braintree (Mr. Hurst) on securing a debate on such an important issue. As he has said, its import travels far beyond the boundaries of his own division. It is always a pleasure to follow my hon. Friend because, when I made my first dithering contribution to the House—that is, my maiden speech—he followed me. So, seeing him on his feet will always bring back memories of a mixture of heady, happy and very scary moments for me.

It would be useful if I put this matter into the broader context of planning in the south-east. My hon. Friend will no doubt be aware that part of the Braintree district is in the London-Stansted-Cambridge growth area. That area has been experiencing strong job growth, and household formation has been growing at a faster rate than the housing stock. It will initially be for the regional planning body to prepare a sustainable development strategy for the growth area, and to consider whether the exceptional circumstances exist to justify a review of the green belt. If that is the case, draft regional planning guidance 14 should broadly indicate where local development frameworks should review green belt boundaries.

However, the fact that land is located in the south-east, in areas such as Braintree, does not mean that it should be developed. We have made it clear that, in deciding which sites to allocate for housing, local planning authorities should assess their potential and suitability for development against a range of criteria which includes: the availability of previously developed sites; the location and accessibility of sites to jobs, shops and services by modes other than the car; the capacity of existing infrastructure, including public transport, water and sewerage, to take the additional development; other utilities and social infrastructure; the ability to build communities; and the physical and environmental constraints on the development of land.

Of course, in a plan-led system, the need for up-to-date development plans is in everyone's interest. The Braintree local plan was adopted in 1995, and makes provision for development up to 2001. The first draft of the replacement plan was deposited in January 2001, and a revised deposit is due in the near future. This is not ideal, but I should point out that it is not a reflection on Braintree district council; in part, it is a reflection on the system that the planning legislation currently before the House intends to change.

It is important to put the matter into context, because that leads me to what I want to say about speculative developments. Despite our clear plan to build sustainable communities for the future, there will almost inevitably be some who wish to misinterpret our intentions. I have to say strongly, however, let them be warned. It is a mistake for developers and property companies to think that the need for housing in the south-east can be used to undermine long-standing policies for the protection of the countryside and the green belt. To put it quite simply and starkly, it cannot.

We have repeatedly made it clear that we will protect our countryside and take action to make the best use of land, especially previously developed land. For example, following the Government's revision of policy planning guidance note 3 on housing in 2000, developers must take account of the 22,000 hectares of developable brownfield land in London, the south-east and east before touching green fields. That in turn will help to focus development in towns and cities, rather than leapfrogging the green belt into other areas.

We have also made it clear that it will be essential for all development, especially new housing developments, to respect the principles of sustainable development and address potential impacts on the environment alongside social and economic goals. In that way, we can ensure that in tackling housing shortages we protect the countryside and enhance its quality rather than create unnecessary urban sprawl. However, we must also address the housing needs of rural communities, which are often the guardians of the countryside.

To reinforce the point, we have said in the communities plan that we will maintain the target that 60 per cent. of additional homes should be built on previously developed land. We will also ensure that every local authority has undertaken an urban capacity study, as set out in PPG3, to identify the full potential for using previously developed land and conversions. We will protect the countryside through a target for each region to maintain at the very least, or indeed to increase, the area of land designated as green belt in local plans. We will use green belt and countryside protection tools to maintain the openness of the countryside around areas of growth and to prevent urban sprawl.

Wasteful use of land will, therefore, be prevented by ensuring that land is not used in a profligate way and that development extends into the countryside only where other sustainability considerations make that the best option.

Turning to the specific issue that has caused so much concern for my hon. Friend and his constituents, I should explain that permitted development rights, granted by Parliament, are removed only in exceptional circumstances, and only when a real and specific threat to the interests of the proper planning of an area has been demonstrated. To do otherwise would undermine the rights granted to the public to undertake minor works, and certain temporary uses, without the need for planning permission.

However, when it is shown that such a threat exists, we appreciate that prompt action is required, by both local government and central Government, to ensure that, in appropriate instances, permitted development rights are removed before uncontrolled and potentially harmful development takes place. Moreover, as announced in the planning statement "Sustainable Communities—Delivering Through Planning", we are reviewing permitted development rights to see whether they are appropriate. A research report is due in early summer. Of course, I am unable to comment on its findings until we have seen its recommendations, but I will ensure that the concerns raised by my hon. Friend are put into the review process.

In the meantime, the situation at Stisted is an example of our commitment to protect the amenities and appearance of the countryside. On 24 March, Braintree district council made the article 4 directions in respect of the Stisted site. As my hon. Friend said, the council then submitted the directions to the Government office for the east of England on 26 March. They were approved within two days of receipt. That shows, beyond doubt, that we will support the removal of permitted development rights where clear and compelling reasons have been provided. Fencing land into individual plots for sale to gullible people, apparently as an opportunity for housing development, will not be the easy ride that some speculators erroneously believe it to be.

My hon. Friend will be comforted by the fact that we have also confirmed article 4 directions at other locations in Essex, and elsewhere in the east of England. Sadly, the story of Stisted is familiar: property speculators sub-dividing land and selling plots as "investment opportunities". In all instances, the local planning authorities have produced clear and compelling evidence that the uncontrolled exercise of permitted development rights would harm interests of acknowledged importance. We have shared their view that numerous fences and assorted temporary buildings and structures, erected without proper planning control, do not necessarily reflect the character and appearance of unspoilt areas.

My hon. Friend alluded to the fact that, in the past year alone, for example, we have confirmed 16 directions relating to the sub-division of land in the east of England. Five, including those at Stisted, are in Essex, of which three are in the green belt. In nearby Hertfordshire, eight directions have been approved, seven of which are in the green belt. Two directions have been approved in Suffolk, and one in Norfolk. I trust that my hon. Friend agrees that that shows our commitment to support local councils in their fight to protect the countryside.

All those directions allow local councils to require that planning permission has to be obtained for what was previously "permitted development". In that way, development that may have adverse effects on the character of the countryside can be brought within full planning control. I should, of course, point out that the effect of the directions is not to prevent development outright. That is not the purpose for which they are intended.

As I said, the developer would still be able to seek planning permission, but firmly within the bounds of the planning and development control framework. Such directions enable the council to have control over the situation, and to decide any application in the light of the development plan and any other material considerations, such as relevant planning policy guidance. The process also allows local residents to make representations on any application for planning permission that may subsequently be made, which they clearly could not do under a regime of permitted development rights.

That applies in the case of Stisted. Braintree district council can take the views of local people into account when reaching a decision on any subsequent planning application. We have no doubt that that will provide a satisfactory and robust mechanism for the proper planning of the area to take place.

I fully appreciate the point that my hon. Friend made about neglect and disrepair should people have already bought land that they can no longer do anything with, and I shall put that into the pot with the wider review of permitted development rights.

Make no mistake, the Government remain committed to the principle of greenbelts and their role as an effective planning tool in shaping sustainable development patterns. The Government are about delivering sustainable solutions to meet the clear and pressing need for housing that everyone recognises. However, we remain committed to the protection of the countryside against inappropriate development. When a real and specific threat has been shown to exist, even from permitted development, we will act quickly to support local planning authorities in their responsibilities for the proper planning of their area, as has been the case in Stisted. In that way, we will protect the countryside for the benefit of all. Moreover, we are committed to maintaining or increasing the area of greenbelt in each region.

I thank my hon. Friend once again for raising such a crucial matter. It is clearly important to him and his constituents. It is equally important to everyone as we go through a period of growth in London, the south-east and the east. My hon. Friend will forgive me if I do not allude to the south sea bubble, but I hope that future champagne parties in Stisted are to celebrate my hon. Friend's hard work on behalf of his constituents, and are not an historical throwback to the last century and the selling off of land.

Question put and agreed to.

Adjourned accordingly at three minutes to Three o 'clock.