Housing Land Supply Tracker: New 4-year rule

Housing development
28th March 2024

As part of our Housing Land Supply Tracker, we’re monitoring housing land supplies across Oxfordshire. In this update, we’re focusing on the new 4-year rule, what this might mean for local authorities, and the timings of its introduction, so that it can be factored into any applications that you may be considering.

Where housing supply falls below 5-year requirements, a presumption of approving development applies to address the shortfalls.

In December 2023, the Government updated the National Planning Policy in the NPPF to introduce a new 4-year housing supply test.

What is the purpose of the 4-year rule?

The 4-year rule test seeks to reward and protect authorities who advance local plans that allocate housing sites by reducing the housing supply requirement from 5 years to 4 years. This has been clarified by the government as a 4-year supply of housing against the 5-year requirement.

Who does the new rule apply to?

It applies to authorities who have already published or who intend to publish a draft local plan for consultation (also known as, Regulation 18 Plan) which also proposes sites for housing clearly defined on a policies map.

Authorities that have reached this Regulation 18 stage will benefit from the 4-year rule for the next 2 years – from when the new rule was introduced on 19 December 2023.

Implications of the new 4-year rule to Oxfordshire authorities

We are currently monitoring the implications of the new rule and where the impacts may be significant. Recent appeals identify that both Cherwell and South Oxfordshire have less an a year supply.

Cherwell District Council

Cherwell District Council published a Regulation 18 Local Plan for consultation in September 2023 and is now arguing at ongoing housing appeals that the 4-year rule applies to them. The Council considers it can demonstrate a 5 year supply of housing, however, in a recent appeal decision dated 5 March 2024 in relation to land at Heyford Park, the Inspector has concluded there would be less than a 4 year supply of housing with a position between 2.26 and 3.32 years supply – and that this shortfall is significant.

West Oxfordshire District Council

In West Oxfordshire, the 4-year rule does not yet apply. West Oxfordshire District Council has undertaken Regulation 18 Local Plan consultations, but these consultations have yet to propose any new sites for housing allocation to trigger the 4-year rule. The Council currently claims a 5.4-year housing supply.

West Oxfordshire District Council’s housing land supply position is currently being challenged at appeal by Catesby Strategic Land Limited and A2Dominion Developments Limited, in relation to Land South of Burford Road, Minster Lovell and Land West of Hailey Road, Witney – both appeals were recently heard at Inquiry earlier this year. The decisions for both of these are expected imminently.

Each appellant contested the housing land supply position in West Oxfordshire and presented evidence that demonstrated a housing supply of 3.66 years (in the case of the Hailey Road appeal) and 3.86 years (in the case of the Burford Road appeal).

We are closely monitoring these appeals as the Planning Inspectorate’s decisions will confirm whether West Oxfordshire can demonstrate a 5-year supply. i.e. these appeals are very important ‘ones to watch’.

The Council appears to be making moves to benefit from the new 4-year rule, indicating that draft housing allocations and a policy map are to be published for consultation in June of this year.

South Oxfordshire District Council

The most recent Housing Land Supply Statement was published by the Council in September 2023, with the figure being 4.2 years for the period between 1 April 2023 and 31 March 2028. However, the inspector concluded the figure as 3.49 years in an appeal on 14th Nov 2023.

Vale of White Horse District Council

The most recent Housing Land Supply Statement was published by the Council in December 2023, which says the council can demonstrate a 6.56 years’ supply of housing land between 1 April 2023 and 31 March 2028. However, an inspector took it in the region of 6.29 years in an appeal dated on 6 December 2023.

With new rules for local plans on the horizon, most local authorities are progressing local plans and are looking to identify additional housing sites. We expect housing supply and delivery to be a hot topic in the 2024 election year, with Labour committing to mandatory housing targets.

Watch this space!

We work closely with both landowners and developers to gain consent for housing sites to address housing shortfalls in the area. Get in contact with our experienced planners via enquiries@edgarslimited.co.uk or call 01865 731700 if you have a potential housing site and we’ll be happy to advise you.

*Note, this information is accurate on the date it was published: 28 March 2024
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