Social rent to increase from 40% to 70% of the affordable housing split at new developments

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The importance of retrofit in Westminster has been a focus of a major public debate since the controversy around the proposed demolition of Marks & Spencer’s building on Oxford Street

Westminster council is set to formally adopt a ‘retrofit-first’ policy alongside more stringent requirements for the development of affordable homes as part of its City Plan Partial Review.

The review, which was published last week and will be formally adopted next Monday, will require developers to fully explore “all reasonable options” for retrofitting or adapting existing buildings before seeking permission to demolish them.

The council said it will put Westminster at “the forefront of local government action on climate change”, joining a handful of other authorities across the country with similar requirements.

The retrofit policy has been under consideration since 2022 and forms an important part of the council’s plan to reach net zero by 2040 given the environmental impact of the built environment in Westminster. 

Debates over the merit of retrofit compared with demolition and redevelopment have already proved to be a source of controversy with the boundaries of the local authority, which contains some of the UK’s most highly valued commercial real estate.

Plans to demolish the Marks & Spencer building on Oxford Street were called in by Michael Gove in 2022, sparking a public debate around the environmental impact of the proposals. 

The scheme was eventually approved in 2024 after the High Court quashed Gove’s refusal and his successor as housing secretary, Angela Rayner, reversed his decision.

The built environment accounts for 90% of Westminster’s CO2 emissions, the council said, compared with around 40% for the typical local authority. 

But the council acknowledged that not all buildings can be retrofitted, specifying it is “a retrofit-first, not retrofit-only approach.”

“Our Retrofit First policy sets a new benchmark for local authorities. It will help reduce carbon emissions from today’s buildings and has the potential to be the biggest single emissions-reduction initiative undertaken by any council in the country,” councillor Geoff Barraclough, cabinet member for planning and economic development said. 

A few other authorities in London, such as Camden and the City of London, have adopted retrofit-first policies, but it is still relatively rare nationwide. 

Alongside its new retrofit rules, the council’s review will also introduce more stringent rules on providing “genuinely affordable homes”. 

Social rent will increase from 40% to 70% of the affordable housing split at new developments, while intermediate homes will drop from 60% to 30%. Sites proposing fewer than 10 homes will also be required to contribute to affordable housing delivery for the first time. 

It also identified four sites with potential for mixed-use development: St Mary’s Hospital, Westbourne Park Bus Garage, land adjacent to Royal Oak, and Grosvenor Sidings.

“Taken together, these policies create a roadmap to a fairer, healthier and more welcoming Westminster - one that works for today’s residents and for generations to come,” Barraclough said.