New national planning policies that come fully into effect in summer 2021, may result in changing the town centre business mix across England. Here we summarise the changes.
Under the new use class and permitted development rights systems, shops, for example, can now be changed to professional and financial services; medium-sized cafes or restaurants; offices; housing; or assembly and leisure, without planning permission.
Simplified use classes
The ways the business use of a building is classified was simplified in September 2020. New regulations created a streamlined new use class system, although the terminology does not change until July 2021.
The new use classes are: a broad Class E (commercial, business and service), Class F1 (learning and non-residential institutions) and Class F2 (local community). Shops fall into Class E or Class F2 depending on their use, size and location. This change is important in shaping the potential mix of town centre businesses because it is no longer necessary to obtain planning permission for some changes between various non-residential uses required under the previous use classes. The full list of the new use classes and their previous equivalents is shown in our downloadable guide to the changing use of town centre businesses.
Permitted development
In addition to the changes allowed within the broader use class definitions, some changes between use classes are covered by ‘permitted development’ rights (meaning that planning permission is deemed to have been given).
The new rules allowing commercial premises to be converted into homes come into force on 31st March 2021. The government is introducing legislation for England to bring forward this right from 1 August 2021. The full list of permitted changes is given in our downloadable guide to the changing use of town centre businesses.
The change from business premises to new homes will be delivered through a simple ‘prior approval’ process instead of a full planning application. The legislation will allow for local consideration by the local planning authority of specific planning matters through the prior approval process. These considerations include: Flooding; impacts of noise from commercial premises; provision of adequate natural light to all habitable rooms; consideration of the impact of the loss of the ground floor commercial, business and service use (in conservation areas only); impact of the loss of health centres and registered nurseries on the provision of such local services.
The right also includes a vacancy requirement that will ensure the building changing use has been vacant for 3 months before the date of the application to protect successful businesses in these premises. A size limit will also be included of 1,500m2 of floorspace to focus the right to change use on medium sized high street site premises.
More information
Download our guide on the changing use of town centre businesses.
Read government government guidance on the flexible use of the High Street that explains the changes in use classes.
Read more about permitted development rights as part of government’s new measures to support High Streets.
Keep up-to-date with our latest guidance on town centre recovery and revitalisation beyond COVID-19.
