Permitted development rights to support the provision of new homes: consultation

2 Permitted development rights for rural homes

Policy background

Policy 17 (Rural homes) of NPF4 intends to encourage, promote and facilitate the delivery of more high quality, affordable and sustainable rural homes in the right locations. This is essential to support and sustain rural communities including through repopulation, a key principle of the spatial strategy of NPF4.

We have identified three broad options with regard to this topic, discussed in turn below. Existing PDR for the conversion of agricultural and forestry buildings to residential could be amended. There could be new PDR for the demolition and replacement of existing buildings with new homes in rural areas, or indeed for the erection of new homes more generally in certain rural areas.

Current PDR for conversion from agricultural/forestry use to residential

To support the provision of new homes in rural areas, in April 2021 we introduced PDR for the conversion of existing agricultural and forestry buildings to residential use. Such conversions of agricultural buildings are covered by Class 18B, and such conversions of forestry buildings are covered by Class 22A.

The PDR are intended to support the conversion of buildings. They do not allow for complete or extensive demolition and the erection of a new building, nor any extension to the existing building.

The PDR only apply to buildings which were constructed before 5 November 2019^[1], and do not apply to buildings used for a purpose other than agriculture or forestry. The PDR also do not apply to listed buildings or buildings on croft land or within: the curtilage of a listed building, a site of archaeological interest, a safety hazard area or a military explosives area.

Beyond the change of use itself, the PDR allow limited building operations such as the installation or replacement of windows, doors, roofs, exterior walls and services (only to the extent reasonably necessary for the building to function as a dwelling). They also allow the provision of access and a hard surface for parking.

There are certain limitations to the PDR, including:

• a cumulative maximum total of five dwellings can be created by virtue of the PDR on the agricultural unit or within an individual forestry building;
• the total floor space of any individual residential unit cannot exceed 150 square metres.

Classes 18B and 22A are subject to a prior notification and prior approval mechanism. This provides planning authorities with a means of regulating, where necessary, aspects of a development for which a normal planning application is not required.

Before beginning development, the prospective developer must submit a ‘prior notification’ to the planning authority. The prior notification must be accompanied by:

• A written description of the development, including a description of any building operations and materials to be used
• A scaled plan showing the location of the development
• Any other scaled plans and drawings as are necessary to describe the development
• Any fee to be paid.

Upon receipt of a prior notification, the planning authority has 28 days to decide whether or not their prior approval is required in respect of the following matters:

• design / external appearance of the building;
• the provision of natural light in all habitable rooms;
• impacts on transport;
• access to the dwelling;
• the impacts on noise on prospective residents or occupiers;
• risks to occupiers of the proposed dwelling from contamination from the site;
• the risk of flooding of the site.

If no indication that prior approval is required is received within the 28 day period, the development permitted by the class may proceed, provided that the development is in accordance with the details submitted with the application.

Where the authority has indicated that prior approval is required and subsequently consider that the proposal cannot be made acceptable by changes to the relevant matters under consideration, it may refuse the application. The applicant has the right to appeal such a decision. Where the authority gives notice that prior approval is required, the development cannot proceed until that approval is given.

Potential for changes to PDR for conversion of agricultural / forestry buildings

Evidence indicates that since their introduction in 2021, there has been relatively limited use of PDR Classes 18B and 22A. During our early engagement, some stakeholders suggested various reasons for the limited use of the existing PDR. These included the prohibition on any extension to the building; a perception that agricultural/forestry buildings are often not suitable for conversion, and a view that demolition and new build (through a planning application) is generally less expensive and is often supported in principle by planning policy. In addition, some stakeholders were not previously aware that the PDR existed.

We are seeking views on potential ways in which the PDR could be revised to make the PDR more beneficial in terms of promoting or accelerating the provision of new homes. In summary, we are looking at the following aspects of the current PDR:

• The 5-unit limit (see Question 1)
• The unit floor space limit (see Question 2)
• Whether an extension to the building or outbuilding should be permitted (see Question 3)
• Exclusions – locations where the PDR currently do not apply (see Question 4)
• The prior notification and approval mechanism (see Question 5)
• Whether to allow the change of use of any other buildings on agricultural/forestry land to residential (see Question 6)
• Whether the current PDR can be expanded or revised in any other way (see Question 7)
• Whether there should be new PDR for new-build homes (see Questions 8 and 9)

We would welcome your views on changing the maximum limit of the cumulative number of homes that can be created by virtue of the PDR in each agricultural unit or forestry building (currently set at five).

Question 1: Do you consider that the maximum limit in Classes 18B and 22A of five residential units per agricultural unit or forestry building should be changed? Yes / No/ Unsure. If so, in what way? Please explain your answer including (if appropriate) how you consider the limit should change.

Currently, the floor space of any residential unit developed under Classes 18B or 22A must not exceed 150 square metres.

Question 2. Do you believe the current floor space maximum of 150 square metres in Classes 18B and 22A should be removed or increased? Yes / No / Unsure. Please explain how and why.

At present, the PDR does not allow any extension to the agricultural or forestry building as part of its conversion to residential.

This may limit the practicality and attractiveness of converting some buildings, particularly traditional steadings which are often small or narrow. We are therefore considering whether it would be appropriate for the PDR to allow for one or more small extensions, and/or small ancillary buildings such as domestic garages or sheds (as part of the conversion).

Question 3. Do you believe that small extensions and/or separate buildings should be allowed as part of the conversion of an agricultural or forestry building to residential use under PDR? Yes / No / Unsure. Please explain your answer.

As noted above, the PDR in Classes 18B and 22A do not apply in certain locations or to certain buildings. We would welcome views on whether any of these could be amended.

At present, the PDR do not allow the conversion of buildings within ‘sites of archaeological interest’. This term encompasses a range of sites. It includes scheduled monuments and ‘areas of archaeological importance’ designated under the Ancient Monuments and Archaeological Areas Act 1979. However it also includes sites which have been included in a Sites and Monuments Record (‘SMR‘, now usually termed a Historic Environment Record, ‘HER’) held by a local authority before 13 March 1992. This has given rise to some confusion as to whether a building is eligible for conversion under the PDR. We are interested in hearing views on whether the PDR should be amended so that this exclusion applies only to scheduled monuments rather than ‘sites of archaeological interest’.

Currently, the PDR also do not allow the conversion of buildings on croft land. More than 750,000 hectares of land in Scotland is in crofting tenure, with more than 550,000 hectares being made up of common grazing land.

Question 4. Do you consider that any of the current location-based restrictions in relation to Classes 18B and 22A should be removed and if so, which? Yes / No / Unsure. Please explain your answer.

As explained above, Classes 18B and 22A are subject to the prior notification and prior approval mechanism.

We are keen to hear views on whether, and if so how, the prior notification and approval mechanism associated with Classes 18B and 22A should be simplified or streamlined.

A potential option could be to replace the current two stage process with a single stage, whereby prospective developers would submit an application for prior approval at the outset without first submitting a prior notification. Legislation could set a statutory time period within which planning authorities would be required to issue a decision on that application. If the planning authority has not refused or agreed different details within that time period, the development could proceed per the submitted details.

Other potential options include to revise the lists of matters on which prior approval can be required, and to publish revised or more detailed guidance on the PDR and associated prior notification/approval mechanism.

The current fee for a prior notification in connection with the current PDR for the conversion of an agricultural or forestry building to residential is £620. This fee is the same irrespective of the number of residential units proposed in the notification. We would welcome views on whether the fee should be higher the greater the number of dwellings being proposed. By comparison, the fee for a planning application for the creation of new dwellings would usually be £714 for each new dwellinghouse (if no more than 10 are proposed).

Question 5: Do you consider the prior notification and approval mechanism (including the relevant matters and fee) associated with Classes 18B and 22A should be changed? Yes / No / Unsure. If so, how? Please explain your answer.

Classes 18B and 22B allow for the change of use of agricultural and forestry buildings respectively to residential. We would welcome views on whether it would be appropriate to extend the PDR to include the change of use of other types of buildings (for example, those used for equestrian purposes) located on agricultural or forestry land.

We consider it likely that the conditions, limitations and prior approval mechanism that currently apply to Classes 18B and 22A would also need to apply to any other category of building to which the PDR are extended.

Question 6: Do you consider that PDR should allow the change of use of any other buildings on agricultural/forestry land to residential? Yes / No / Unsure. If so, to which type(s) of building should the PDR be extended, and why?

Question 7: Do you consider that the PDR under Classes 18B or 22A should be expanded or revised in any other way? Yes / No / Unsure. Please explain your answer.

Potential for PDR for new-build homes in rural areas

We would welcome views on the appropriateness or otherwise of new PDR for new-build homes in rural areas.

As noted previously, there are already PDR for the conversion of agricultural and forestry buildings to residential use, but for various reasons there has been relatively limited use of those PDR to date. Stakeholders have suggested that a key reason is that converting existing buildings is often more costly than demolishing and developing a new one in its place – and more generally, existing agricultural buildings may be unsuitable for residential accommodation. Recognising this, an option could be to introduce PDR for the demolition of an existing agricultural or forestry building and the erection of a house, or houses, on the same footprint. Potential benefits of such PDR include that it could encourage the reuse of brownfield land, and would provide more flexibility for the design of the development without the various constraints and potential additional costs associated with converting existing buildings. Compared to the development of greenfield sites, replacement of existing agricultural/forestry buildings is likely to have more limited visual and landscape impact.

Another option is to introduce PDR for new-build homes in certain 'rural areas'; this could apply on any land or could be restricted to land where a building already exists. This would provide even greater flexibility and choice for prospective developers. However, there would be a higher risk of new homes being located in unsustainable or otherwise inappropriate locations. In addition, there is no single definition of the term ‘rural’, and there is wide variation in the characters of, and issues facing, rural areas across Scotland.

We are currently of the view that, in general, proposals for new-build housing, including through the replacement of existing buildings (as opposed to the conversion of existing buildings) should continue to be the subject of a planning application. This supports a plan-led approach to development and allows proposals to be assessed on their own merits and against relevant policies of the development plan. It also means that such proposals are subject to the normal publicity and opportunity for public comment.

Question 8: Do you believe that there should be new PDR for the replacement of agricultural and forestry buildings with new-build homes in particular circumstances? Yes / No / Unsure. If so, in what circumstances? Please explain your answer.

Question 9: Do you believe that there should be new PDR for new-build homes in any particular types of rural areas in particular circumstances? Yes / No / Unsure. If so, in what types of rural areas and in what circumstances? Please explain your answer.