If you are following our Blog Articles closely we have previously written an article about the planning application fee increase back in December 2024 with “Planning Fee Increases 2025 in the UK: All You Need To Know“. As of January 14th, the Government issued draft legislation that proposes a substantial increase in planning fees. In many instances, these fees are set to rise by 100% or more. Notably, for major developments, there is an extraordinary increase of 583%. It is advisable to ensure that applications and fees are submitted before 1st April 2025 to avoid these fees.
As we know that the planning departments in the councils need an increase in funds, but this legislation does not guarantee they will receive any of the increases. The government has estimated a £362 million shortfall in funding for local planning authorities. Furthermore, there is no assurance that this funding gap will be addressed by 2026; in fact, it may even worsen over time.
The prices rises of 100% or more, come after planning fees rises in December 2023 of 35% for major and 25% for all other applications. The increase will take effect on 1 April 2025, provided both houses in Parliament agree.
In summary, the proposed fee increases are as follows:
1. Householder Applications
- Increase the fee for applications for the enlargement, improvement or other alteration of a single dwellinghouse from £258 to £528 – an increase of 105%
- Increase the fee for applications for the enlargement, improvement or other alteration of two or more dwellinghouses from £509 to £1,043 – an increase of 105%
- The fee of £258 for householder developments related to small-scale operations within the curtilage of a dwellinghouse is not changing – this would be for items such as garages, outbuildings, porches, gates, fences and walls.
2. Prior Approvals
- The flat fee for prior approval applications that don’t involve building operations is increasing from £120 to £240 – an increase of 100% (was £96 before December 2023)
- The flat fee for prior approval applications that involve building operations is increasing from £258 to £516 – an increase of 100% (was £206 before December 2023)
- The fee for prior approvals relating to the change of use of Class E uses to residential is increased from £125 per dwellinghouse to £250 per dwellinghouse – an increase of 100% (was £100 before December 2023)
3. Section 73 Applications
If you’re looking to make changes to a previous planning decision, like removing a condition or tweaking the drawings, you’d need to submit a Section 73 application. For example, if it’s a retrospective permission you’re dealing with, Section 73A applications might come into play—we’ve explained that in more detail here: What is a Retrospective Planning Permission Made Under Section 73A?.
The fees for Section 73 applications are increasing from the old flat rate of £293. These applications are now split into three categories based on the type of original application. If you’re looking to amend a householder application, it might be worth waiting until after 1st April, as the fee drops by 70%. However, for major developments, the cost shoots up by a massive 583%!
- £86 for householder applications – a decrease of 70%
- £586 for non-major development – an increase of 100%
- £2,000 for major development – an increase of 583%
4. Discharge of Conditions
The fee for an application to approve details reserved by condition is getting an increase from:
- £43 to £86 for householders – an increase of 100%
- £145 to £298 for any other development – an increase of 106%
The fee for submitting a Biodiversity Gain Plan is increasing from £145 to £298—a staggering 106% increase!
5. Corrections to Other Fees
- The fee for an outline application for the erection of a building where the gross floor area exceeds 3,750 square metres is increasing to £31,385, up from £30,680.
- The fee for an application to erect an agricultural building with a gross floor space between 1,000 and 4,215 square metres is skyrocketing to £5,077, a massive increase from just £624!
In Conclusion
The last government increased planning fees by either 25% or 35%, with the promise that they would only rise annually tied to inflation or a maximum of 10%. However, today, Matthew Pennycook, the Minister of State for Housing and Planning, has chosen to overlook this legislation. Moving forward, planning fees will be adjusted by inflation or 10% from 1st April 2026, unless the government decides otherwise.
These increased fees will have a significant impact on SME developers, who will need to factor in these costs when planning their projects. Additionally, the government is pushing forward with plans to allow local authorities to set or vary their own fees, potentially based on a percentage of today’s new rates.
For now, all other planning fees remain unchanged until April 2026. However, it’s worth noting that the Planning Portal has yet to announce the fees for processing card payments to local authorities from 1st April 2025. Over recent years, these fees have seen a substantial rise:
1st April 2022 – £32 including VAT (a 14% increase)
2nd May 2023 – £64 including VAT (a 100% increase)
2nd April 2024 – £70 including VAT (a 9% increase)
These changes highlight the growing financial impact on those navigating the planning process, and Homz UK is here to provide support every step of the way.
Managing Planning Fees with Confidence – Homz UK by Your Side
As planning fees continue to increase, it’s crucial to have a trusted partner who can help navigate these changes smoothly. At Homz UK, we specialize in providing tailored solutions to meet your specific needs. Whether you’re preparing for a new application, managing increased costs, or seeking expert advice, our experienced team is here to support you every step of the way.
We understand that staying ahead of rising fees can be challenging, but with our comprehensive services, you can confidently manage your planning applications without unnecessary stress. Contact us today and let’s get started on your project!
References:
1.) https://www.legislation.gov.uk/uksi/2023/1197/made
2.) https://ecab.planningportal.co.uk/uploads/forthcoming_english_application_fees.pdf