Groby Neighbourhood Plan

Government pulls the plug on Neighbourhood Plans

August 2025  When Neighbourhood Planning was introduced in the Localism Act 2011 it was described as an important and powerful tool that gives communities statutory powers to shape how their communities develop. A neighbourhood plan sets out planning policies for the neighbourhood area which are considered when deciding whether to approve planning applications. They are written by the local community rather than the local planning authority and may help ensure the community gets the right types of development, in the right place.

Although not everyone believes that they are worth the effort involved, over 1,000 plans have been created, with more in the pipeline, involving over 2,400 groups to date. The Groby Neighbourhood Plan is one of those currently being developed.

Funding withdrawal surprise

Those involved in Neighbourhood Planning at all levels seem to have been taken by surprise when the Government pulled the plug on financial support to Locality, the membership organisation commissioned by the Ministry of Housing, Communities and Local Government to deliver neighbourhood planning support.

The organisation said that they had been informed by the Ministry that, as a result of the spending review, they cannot proceed with commissioning new neighbourhood planning support services for 2025 onwards. This means that they cannot process applications for new grants or technical support. They are able to complete all technical support packages agreed by the Ministry by the end of March 2025 but only have until the end of March 2026 to do so.

Disappointment at the decision

The National Association of Local Councils (NALC) is disappointed at the government's decision to axe funding for neighbourhood planning. Hinckley and Bosworth Borough Council said that Local Planning Authorities did not have prior notification of this decision, and added that “we assume, in the light of no other announcements, that the Local Planning Authority (LPA) funding remains in place for examinations/referendums etc. The latter stages of the process fall under the LPA’s Statutory Duty in legislation, so it is our understanding that the Council would have to meet costs related to these stages regardless of funding from Central Government.”

Pay for it yourselves

Questions to government have clarified the future position regarding the funding of support services for the preparation of neighbourhood plans. The Minister confirmed in response to a written question that “the government has no target for neighbourhood plan take up.”

Although the government says that it remains of the view that neighbourhood plans can play an important role in the planning system, this does not extend to the same level of financial support as previously. In response to a question about impacts on parish councils in relation to removing funding for the development of neighbourhood plans, Alex Norris, Parliamentary Under-Secretary of State for Housing, Communities and Local Government, said:

“After more than a decade of taxpayer support, we believe that support for neighbourhood planning groups should be possible without further government funding. Parish and Town Councils have access to their own resources which they can choose to use for neighbourhood planning if they wish.”

Locally the Groby Neighbourhood Plan is fairly well advanced, and it is hoped that the changes announced will not impact adversely on the stages yet to be completed.

A Neighbourhood Plan for Groby?

November 2015  At the November Parish Council meeting the issue of Neighbourhood Plans was raised and it was suggested that a Steering Group should be set up. At nearly 10pm, and as the last item on the Agenda before the council went into closed session to discuss staffing matters, there wasn't time to fully discuss the topic. It will be discussed again at the December meeting, but it sounds as if it could be time for Groby residents to be thinking how they can get involved.

So what's it all about?

A neighbourhood plan is a framework and policies for guiding the future development, regeneration and conservation of an area. It forms part of the statutory development plan for the area. It may contain a vision, aims, planning policies, proposals for improving the area or providing new facilities, or allocation of key sites for specific kinds of development. It may deal with a wide range of social, economic and environmental issues (such as housing, employment, heritage and transport) or it may only focus on one or two issues. Neighbourhood plans have to be subjected to an independent examination and referendum in order to bring them into force.

Neighbourhood planning was introduced in 2011 through the Localism Act. It allows local residents and businesses to have their own planning policies in a neighbourhood plan that reflect their priorities, deliver tangible local benefits and have real weight in planning decisions. Local people can also grant permission for development through ‘neighbourhood development orders’ and ‘community right to build orders’.

Neighbourhood Plans

In very simple terms, a neighbourhood plan is:

• • A document that sets out planning policies for the neighbourhood area. Planning policies are used to decide whether to approve planning applications.

  • Written by the local community, rather than the Local Planning Authority.

  • A powerful tool to ensure the community gets the right types of development, in the right place.

A neighbourhood plan is an important document with real legal force, therefore there are certain formal procedures that it must go through. These are outlined below. 

Neighbourhood Development Orders

A neighbourhood development order is a way of granting planning permission for certain types of development wanted in an area, without the need for a traditional planning application. This follows a similar process to a neighbourhood plan. Neighbourhood development orders could for example, grant permission for flats above shops in an area or give permission for changes to shop fronts in the high street.

Community Right to Build

The Community Right to Build is also part of neighbourhood planning. It allows communities to gain planning permission for a specific proposal on a site, without going through the traditional planning application process.

Projects could include developments such as:

• • Family homes to sell on the open market

  • Affordable housing for rent

  • Sheltered housing for local residents

  • Community facilities such as a community centre or children’s playground.

Locally the Market Bosworth Plan was recently overwhelmingly approved by referendum, though less than one voter in four turned out to vote after the project team had put in three years of work. It has cost Market Bosworth £16,500 to produce the plan. However, there will be ongoing costs associated with implementing the plan which will increase the total required. Market Bosworth received some grants, but the financial support available can be subject to change.

Hinckley & Bosworth Borough Council passed on a grant from central government and there were also grants from the Big Society Grant and the Community Development Foundation.

The information in this article is taken from http://mycommunity.org.uk/programme/neighbourhood-planning, where there's lots of useful information and a short explanatory video about Neighbourhood Plans.