On the 25 August the Ministry for Housing Communities and Local Government (MHCLG) published the long awaited consultation on four standard planning agreements.
There is no doubt that standardising planning agreements has the potential to streamline what can sometimes be an arduous process, and often the final hurdle to unlocking development. It is essential that LPA’s contribute views in order that their perspective is properly considered alongside that of the development industry.
Consultation scope
The consultation is seeking views on four template documents, drafted pursuant to s.106 TCPA 1990, which would act as a starting point for medium-sized development. The four template documents are:
-
A bilateral s.106 agreement with standard clauses, financial contribution schedules and council covenants;
-
A unilateral undertaking with standard clauses and a financial contribution schedule;
-
An affordable housing schedule for full planning permission, including a discretionary cascade mechanism; and
-
An affordable housing schedule for outline planning permission.
Status of Template s.106 Documents
The August 2026 NPPF sets out that (i) medium-sized housing developments are those of 10-49 homes (inclusive), with an area of up to 2.5 hectares; and (ii) where national model planning obligations are relevant to the development, they should be used unless there are strong reasons for using a different obligation.
Use of the templates will not, for the time being, be a statutory requirement and variation will still be needed to account for the particular requirements of each site. However, we should expect that their provisions will become the default and it is therefore essential that LPAs input is considered now.
The consultation closes on 20 October 2026.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
[View Source]