Government relaxes rules on waterway pollution in bid to boost home building
The housing secretary Michael Gove is planning a major change to rules on waterway pollution in a bid to build thousands more homes in England.
The so-called “nutrient neutrality” rules have been criticised by developers and some Tory MPs for blocking much-needed housebuilding.
The government hopes the move, which is coming in an amendment to the forthcoming levelling up bill, will allow 100,000 new homes to be built over the next few years to 2030.
Housing Secretary Michael Gove MP said: “We are committed to building the homes this country needs and to enhancing our environment.
“The way EU rules have been applied has held us back.”
The government will work closely with environmental agencies and councils on the changes, which should bring a “multi-billion pound boost for the UK economy”, he said.
The rules, introduced in 2017 when the UK was still an EU member, are designed to ensure developments do not leak nutrients into local wetlands and waterways in protected areas, affecting 62 local authorities.
They oblige developers to show they will prevent or offset that pollution in order to win planning permission – but have hindered new homes in certain areas.
The property industry will now be freed from that obligation, with the cost shifted to the taxpayer instead.
The “very small amount” of pollution from new homes will instead be offset by Natural England, with the government doubling existing investment for the Nutrient Mitigation Scheme to £280m by 2030.
The housing industry, which will be asked to help fund the scheme in time, has welcomed the move as a way to speed up the building of new homes.
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Stewart Baseley, executive chairman of the Home Builders Federation said house builders are “keen to play a part in protecting rivers”, but the current rules are not solving the issue, rather “exacerbating another national crisis, our shortage of homes”.
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Six English water companies face legal action over allegations they under-reported pollution discharges and overcharged customers as a result.
But the major shift has angered some environmentalists, who have recently ramped up campaigns against sewage spills and other pollution leaching into Britain’s rivers and seas.
Chief executive of The Wildlife Trusts, Craig Bennett, called it a “licence from the government for the commercial housebuilding lobby to profit from the pollution of our rivers”.
Water pollution rules are not the only issue affecting housing supply, with some calling for increased public sector investment, more land to be made available and streamlining of the planning process.
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Liberal Democrat environment spokesperson Tim Farron said: “Not content with the levels of pollution in our rivers already, scrapping nutrient neutrality is a disgraceful act from the government.”
He added: “If ministers actually cared about our rivers they would clean them up rather than scrapping the few rules in place that protect them.”
The Conservative government has pledged to build 300,000 new homes every year by the mid-2020s.
Parliamentary figures show housing supply has increased year-on-year from a low point of 125,000 in 2012/13, reaching a high point of 243,000 new homes in 2019/20. Supply dipped during the COVID pandemic but rose again after that.
Martin Lewis says motorists who were mis-sold car finance are likely to receive “hundreds, not thousands of pounds” – with regulators launching a consultation on a new compensation scheme.
The founder of MoneySavingExpert.com believes it is “very likely” that about 40% of Britons who entered personal contact purchase or hire purchase agreements between 2007 and 2021 will be eligible for payouts.
“Discretionary commission arrangements” saw brokers and dealers charge higher levels of interest so they could receive more commission, without telling consumers.
Pics: PA
Speaking to Sky News Radio’s Faye Rowlands, Lewis said: “Very rarely will it be thousands of pounds unless you have more than one car finance deal.
“So up to about a maximum of £950 per car finance deal where you are due compensation.”
Lewis explained that consumers who believe they may have been affected should check whether they had a discretionary commission arrangement by writing to their car finance company.
However, the personal finance guru warned against using a claims firm.
“They’re hardly going to do anything for you and you might get the money paid to you automatically anyway, in which case you’re giving them 30% for nothing,” he added.
Read more: How to tell if you’ve been mis-sold car finance
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Who’s eligible for payout after car finance scandal?
Yesterday, the Financial Conduct Authority said its review of the past use of motor finance “has shown that many firms were not complying with the law or our disclosure rules that were in force when they sold loans to consumers”.
The FCA’s statement added that those affected “should be appropriately compensated in an orderly, consistent and efficient way”.
Lewis told Sky News that the consultation will launch in October – and will take six weeks.
“We expect payouts to come in 2026, assuming this will happen and it’s very likely to happen,” he said.
“As for exactly how will work, it hasn’t decided yet. Firms will have to contact people, although there is an issue about them having destroyed some of the data for older claims.”
He believes claims will either be paid automatically – or affected consumers will need to opt in and apply to get compensation back.
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The FCA estimates the cost of any scheme – including compensation and administrative costs – to be no lower than £9bn.
But in a video on X, Lewis said that millions of people are likely to be due a share of up to £18bn.
The regulator’s announcement comes after the Supreme Court ruled on a separate, but similar, case on Friday.
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