Productivity (Planning Regulations) (Hansard, 17 June 2003)

§ Mr. Gardiner
To ask the Chancellor of the Exchequer if he will commission an update to the 1998 report Driving Productivity and Growth in the UK Economy by the McKinsey Global Institute, with particular reference to the impact of planning regulations on UK productivity. [119308]

§ Keith Hill
I have been asked to reply.
Commissioning research on the impact of the planning system is primarily a matter for the Office of the Deputy Prime Minister.
128W
The 1998 McKinsey study was not commissioned by the Government. Planning was only a small aspect of the study. The Office of the Deputy Prime Minister has no proposal to commission further research to explore this issue.

§ Mr. Gardiner
To ask the Chancellor of the Exchequer what steps the Treasury has taken with regard to productivity issues relating to planning guidelines, in response to the conclusions of the 1998 McKinsey Global Institute study of UK productivity. [119309]

§ John Healey
The Office of the Deputy Prime Minister has responsibility for planning guidelines and, with the rest of the Government, has taken steps to develop proposals for reform of the planning system. The Deputy Prime Minister set out these proposals in "Sustainable Communities: Delivering through Planning", published in July 2002, provided further details in "Sustainable Communities: Building for the Future", in February 2003 and most recently updated the House on progress in "Sustainable Communities: Delivery through Planning" on 5 June 2003.
Budget 2003 also set out specific steps on retail planning and development:
Productivity in the UK retail sector lags that in competitor economies. The planning system may be one of the factors affecting productivity if it restricts competition, innovation and choice. The Government is committed to ensuring the viability and vitality of town centres, and will review its guidance on planning for retail development to ensure that this is achieved alongside improvements in productivity. Revised guidance will encourage proactive planning for town centres and multi-level retail development to reduce land take. The Government will also ask Regional Planning Bodies to consider the need for, and broad location of, major new retail and distribution facilities in Regional Spatial Strategies.