The Government's Response to Biodiversity Net Gain - What Developers Need to Be Aware of From November 2023
On 21 February 2023, the Department for Environment, Food and Rural Affairs (Defra) issued guidance on the implementation of the mandatory biodiversity net gain in England.
What is Biodiversity Net Gain?
Biodiversity Net Gain (BNG) seeks to ensure that new developments have a positive impact on the environment, specifically that more biodiversity is gained than lost through development. Habits of wildlife need to be in a better state than they were before the development, and this can be achieved through habitat creation or enhancement. Since the 1970s, there has been a 13% decline in the average abundance of wildlife in the UK, and so the new obligation on developers to 'contribute to the recovery of nature' is welcome news.
What Does BNG Mean for Developers?
Part 6 of the Environment Act 2021 introduces BNG for planning permissions under the Town and Country Planning Act 1990, and this will apply from November 2023. All permissions that result in loss or degradation of habitats will contain a general condition requiring developers to deliver a minimum of 10% biodiversity uplift. If required by the local authority, the maximum BNG expected is up to 20%.
Defra has extended the transition period for developers of smaller sites to April 2024. Smaller sites are defined as the following:
- For residential: between one and nine homes on a site under one hectare, or on sites of less than 0.5 hectares where the number of homes is not known.
- For non-residential: where the floor space is less than 1,000 square metres or where the site is less than one hectare.
This extension will allow developers more time to adapt and apply best practice from major development projects.
The mandatory BNG is set to run for a minimum period of 30 years, and the Government has confirmed this will not be reviewed before 2026.
Exemptions
Defra's guidance excludes the following from the BNG obligation:
- Biodiversity gain sites (where the development enhances habitats for wildlife).
- Developments impacting habitat areas below a minimal threshold.
- Householder applications.
- Small-scale self-build and custom housebuilding.
Developers should note that there is no exemption for change of use planning applications, however most change of use applications will be exempt if the developer can show that the impact on habitats is below the minimum threshold.
How Will the Planning Process Be Affected?
Developers will need to submit a biodiversity gain plan and obtain approval of the plan before the development can commence. Defra is still preparing the biodiversity gain plan template, and we expect to see more guidance published in the coming months.