Policy document light on new policy and bets big on growth 

Keir Starmer put planning reform at the heart of his vision for growing the British economy at the launch of Labour鈥檚 manifesto this morning. 

Revealing the 125-page policy document at the Co-operative Group鈥檚 headquarters in Manchester, Starmer said his party had brought together 鈥渁 manifesto for wealth creation, a plan to change Britain鈥. 

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Source: Keir Starmer / Flickr

Keir Starmer campaigning in Grimsby yesterday

There were few surprises in the manifesto, with the Labour leader acknowledging that there was no 鈥渞abbit out of the hat鈥 from the party. 

鈥淚f you want politics as pantomime, I hear Clacton is nice this time of year,鈥 he added, in a swipe at Reform leader Nigel Farage, who is standing in the Essex constituency. 

While there were no major new policies in the manifesto, it did bring Labour鈥檚 previously announced proposals together for the first time. 

Labour committed to building 1.5 million new homes over the next parliament, which it said it would achieve by re-instating mandatory housing targets, strengthening presumptions in favour of sustainable development and funding additional planning officers, paid for by increasing the rate of the stamp duty surcharge paid by non-UK residents.  

鈥淲e will ensure local communities continue to shape housebuilding in their area but where necessary Labour will not be afraid to make full use of intervention powers to build the houses we need,鈥 the manifesto said. 

It promised a brownfield first approach but said this 鈥渁lone will not be enough鈥, committing to take 鈥渁 more strategic approach to greenbelt land designation鈥 and priortise the release of supposedly lower quality 鈥済rey belt鈥 land.  

The document also said Labour would introduce 鈥済olden rules鈥 to ensure developments benefit communities and nature.  

The party also re-committed to building a new generation of new towns and to further reform compulsory purchase compensation rules relating to hope value, to improve land assembly and speed up delivery.  

鈥淲e will take steps to ensure that for specific types of development schemes, landowners are awarded fair compensation rather than inflated prices based on the prospect of planning permission,鈥 it said. 

Some housing policy will be devolved, giving combined authorities new planning powers, as well as new freedoms and flexibility to 鈥渕ake better use of grant funding鈥.  

Labour will also strengthen planning obligations to ensure new developments provide more affordable homes and make changes to the Affordable Homes Programme 鈥渢o ensure that it delivers more homes from existing funding鈥. 

More broadly, the party promised to establish an Industrial Strategy Council on a statutory footing to provide expert advice, taking a sectoral approach with a focus on areas such as advanced manufacturing where the UK enjoys comparative advantages. 

鈥淧rocurement and trade policy will also be aligned with our industrial strategy priorities,鈥 it said. 

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A National Wealth Fund will be capitalised with 拢7.3bn over the next parliament and tasked with supporting Labour鈥檚 growth and clean energy missions.  

This includes 拢1.5bn for gigafactories, 拢2.5bn for the steel industry and 拢500m for manufacturing green hydrogen. 

Labour will also develop a 10-year infrastructure strategy 鈥 which it said would be aligned with its industrial strategy and include improved rail connectivity across the north of England 鈥 and create a new National Infrastructure and Service Transformation Authority, bringing together existing bodies. 

鈥淟abour will make the changes we need to forge ahead with new roads, railways, reservoirs and other nationally significant infrastructure,鈥 the manifesto said. 

鈥淲e will set out new national policy statements, make major projects faster and cheaper by slashing red tape, and build support for developments by ensuring communities directly benefit.鈥

At-a-glance: the key measures for construction in the Labour manifesto

  • build 1.5 million new homes over the next parliament
  • re-instate mandatory housing targets, strengthen presumptions in favour of sustainable development and fund additional planning officers, paid for by increasing the rate of the stamp duty surcharge paid by non-UK residents
  • prioritise the release of supposedly lower quality 鈥済rey belt鈥 land
  • build a new generation of new towns and to reform compulsory purchase compensation rules relating to hope value
  • new planning powers and housing grant funding flexibilities for combined authorities
  • make changes to the Affordable Homes Programme 鈥渢o ensure that it delivers more homes from existing funding鈥
  • establish an Industrial Strategy Council
  • a 拢7.3bn National Wealth Fund to be tasked with supporting Labour鈥檚 growth and clean energy missions 
  • develop a 10-year infrastructure strategy
  • update national planning policy to make it easier to build laboratories, digital infrastructure and gigafactories
  • invest an extra 拢6.6bn as part of its Warm Homes Plan to upgrade five million homes

It also committed to updating national planning policy 鈥渢o ensure the planning system meets the needs of a modern economy鈥, making it easier to build laboratories, digital infrastructure, and gigafactories.  

On tax, Labour promised to cap corporation tax at 25% for the entire parliament and 鈥減ublish a roadmap for business taxation for the next parliament which will allow businesses to plan investments with confidence鈥. For small businesses, Labour has promised to 鈥渢ake action on late payments鈥. 

The manifesto said that under the Conservatives, the economy had become 鈥渙verly dependent on workers from abroad to fill skills shortages鈥 and promised to 鈥渂ring joined up thinking鈥 to ensure migration and skills policy are better linked. 

鈥淲e will strengthen the Migration Advisory Committee, and establish a framework for joint working with skills bodies across the UK, the Industrial Strategy Council and the Department for Work and Pensions,鈥 the manifesto said, as well as committing to bring in workforce and training plans for sectors including construction. 

On energy, Labour said it would work with the private sector to double onshore wind, triple solar power and quadruple offshore wind by 2030, while continuing to support nuclear, with small modular reactors set to play 鈥渁n important role鈥. 

鈥淎 new Energy Independence Act will establish the framework for Labour鈥檚 energy and climate policies,鈥 it said.

Under its Warm Homes Plan, Labour will also invest an extra 拢6.6bn over the course of the next parliament to upgrade five million homes. 鈥淲e will partner with combined authorities, local and devolved governments, to roll out this plan,鈥 it said.  

鈥淟abour will also work with the private sector, including banks and building societies, to provide further private finance to accelerate home upgrades and low carbon heating.鈥

Election focus

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With the UK set for a general election on 4 July, the country is facing some serious problems.  

Low growth, flatlining productivity, question marks over net zero funding and capability, skills shortages and a worsening housing crisis all amount to a daunting in-tray for the next government.

This year鈥檚 general election therefore has very high stakes for the built environment and the economy as a whole. For this reason,

黑洞社区鈥檚 election coverage aims to help the industry understand the issues and amplify construction鈥檚 voice so that the parties hears it loud and clear.

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