Strong rhetoric on planning but no surprises as Keir Starmer launches Labour manifesto

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

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

There were few surprises in the manifesto, with the Labour leader acknowledging that there was no “rabbit out of the hat” from the party. 

“If you want politics as pantomime, I hear Clacton is nice this time of year,” he added, in a swipe at Reform leader Nigel Farage, who is standing in that constituency. 

While there were no major new policies in the manifesto, it did bring Labour’s 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.  

“We 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,” the manifesto said. 

It promised a brownfield first approach but said this “alone will not be enough”, committing to take “a more strategic approach to greenbelt land designation” and priortise the release of supposedly lower quality “grey belt” land.  

The document also said Labour would introduce “golden rules” 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.  

“We 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,” it said. 

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

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

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. 

“Procurement and trade policy will also be aligned with our industrial strategy priorities,” it said. 

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

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

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

“Labour will make the changes we need to forge ahead with new roads, railways, reservoirs, and other nationally significant infrastructure,” the manifesto said. 

“We 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”.  

It also committed to upating national planning policy “to ensure the planning system meets the needs of a modern economy”, 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 “publish a roadmap for business taxation for the next parliament which will allow businesses to plan investments with confidence”. For small businesses, Labour has promised to “take action on late payments”. 

The manifesto said that under the Conservatives, the economy had become “overly dependent on workers from abroad to fill skills shortages” and promised to “bring joined up thinking” to ensure migration and skills policy are better linked. 

“We 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,” 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 “an important role”. 

“A new Energy Independence Act will establish the framework for Labour’s energy and climate policies,” it said, 

Under its Warm Homes Plan, Labour will also invest an extra £6.6bn over the course of the next parliament to upgrade five million homes. 

“We will partner with combined authorities, local and devolved governments, to roll out this plan,” it said.  

“Labour 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”.