Removing GP11

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Updated after the Dyke requête was debated at the April 24 States meeting and after the IDP review was published in June 24.

Introduction

GP11 was a planning policy intended to increase the number of affordable homes in Guernsey and create mixed housing environments. Any property developer who was planning to build 20 or more private houses on a particular site had to give 20% to 30% of the developable land to the Guernsey Housing Association to be allocated to affordable housing. This is standard practice in other jurisdictions.

Developers in Guernsey maintained that this made large developments unviable, especially with construction costs escalating, and it was limiting the supply of private houses at a time of housing crisis. They pointed to the fact that no affordable housing has yet resulted from GP11 since its introduction in 2016.

The Development and Planning Authority (DPA) had been looking at GP11 for some years and, at the time of the Dyke requête, was about to include it in their current review of Island Development Plan policies.

Requête

One member of the DPA, Deputy John Dyke, worked separately from his committee on his own project to remove GP11 and lodged a requête which was debated at the 24 April 2024 States meeting. The other six requérants were Deputies Blin, Helyar, Vermeulen, Inder, McKenna and Leadbeater. Requête.

Deputy Dyke found the requête difficult to draft because of the complex requirements surrounding any change to the Island Development Plan. So his main proposal was that the States should be given the power to make whatever changes to planning policy it wishes without having to go through a long process of consultation, planning inquiry etc. But this required a change to legislation which would take time and resource and would need to be prioritised versus other legislative changes, all whilst GP11 remained in force.

For a full explanation of the requête, the amendments and the general background to GP11, listen to the Guernsey Press podcast featuring Deputies Oliver, Taylor and Dyke from the DPA.

Response from committees

In their letters of comment, ESS, E&I and the DPA disputed that GP11 was holding back the private housing market. For example, there are many smaller developments, below the 20+ level, that have planning permission but also haven’t been started. If GP11 was removed, the need for affordable housing in Guernsey would remain but there would be a gap in provision that will be left to government to solely deliver and fund. They were also concerned about the States being able to change any planning policy without consultation.

P&R agreed that a change to GP11 was necessary but wanted it to be limited, not open-ended. P&R letter of comment.

Amendments

Trott/Oliver
Amendment 1: Deputy Trott (President of P&R) and Deputy Oliver (President of DPA) proposed an amendment to simplify the requête. Rather than wait for a change in legislation, they point to section 1.6.2 of the Island Development Plan which says that the DPA has to take into account any relevant direction of the States.

The amendment instructed the DPA to set the GP11 percentage to zero for up to five years, effectively pausing the application of the policy for the remainder of this States term and, potentially, the duration of the next, to see if that benefits the housing market.

The amendment also removed the proposal to give the States the power to change planning policy without consultation, planning inquiry etc.

Deputy Dyke accepted the amendment and it was voted through by 32 votes to 3.

De Saus/Oliver
Amendment 2: This amendment was very similar to Amendment 1, except that the 0% time period was set at two years rather than up to five years.

Deputy De Sausmarez’s rationale was that the States will be debating a DPA-led review of the Island Development Plan in the first half of 2025, which will include reviewing GP11. If any changes to GP11 resulted from that debate they could cut into the five year period proposed in Amendment 1. A definite period of two years would give developers more certainty and encourage them to act quickly. Deputy Oliver saw this as a ‘back-up’ amendment should Amendment 1 fail, hence her seconding both. It was defeated 14-21.

Result of the debate

The amended requête was successful. GP11 will now be zero-rated for up to five years (carried 33-3). However, the current review of the Island Development Plan proposes abolishing it altogether.

Background on housing policy

States Strategic Housing Indicator (Feb 2023)

Guernsey Housing Plan (Jul 2023)

Island Development Plan Focused Review (includes Strategic Housing Land Availability Assessment/Call for Sites) (to be published prior to a Public Review in 2024)

IDP review into policy GP11 (due for publication soon)

Stimulating private market housing development (instigated Mar 24)

Interview with Vic Slade, Chief Exec of Guernsey Housing Association (8 May, Bailiwick Express)

Relevant forums

Guernsey Construction Forum

Media

Bid to axe GP11 planning policy heading for debate (24 Jan 2024, Guernsey Press)

GP11 processes too complicated and too slow, say Construction Forum (8 Feb 2024, Guernsey Press)