What's happened?
The high court has dismissed the challenge to the recent changes to Use Classes Order 1987 ("the UCO") and permitted development rights brought by Rights Community Action. This means that the new Class E, F1, F2 and sui generis uses remain, as do the new permitted development rights to build upwards and demolish and rebuild ("the pd rights").
This is great news for many developers and landowners planning to put the new laws to good use and is particularly welcome at a time when our high streets and retail offerings are under strain.
The judgment raises some interesting issues on how new law is made. The claimants argued that the government broke its promise to reconsult on the new pd rights. Promises of this nature can be broken, said the court, but there needs to be a good reason to do so. The court was satisfied that the government's emergency intervention to kickstart regeneration amid the Covid pandemic was reason enough to introduce the new law urgently, rather than delay for further consultation.
What does this mean in practice?
The legal challenge had cast a shadow over the flexibility offered by the new E and F classes and new pd rights. Had it been successful, the new laws could have been "quashed", resulting in the loss of the new use classes and reinstatement of the old ones. The pd rights could have been lost altogether. Developers will no doubt breathe a sigh of relief that this didn't happen.
The claimants have applied for permission to appeal on Ground 1 (the lack of environmental assessment), but the court has not confirmed its decision on this yet. For now though, it's very good news for those with Class E or F assets and those who can benefit from the pd rights to build new homes.
As always, it will be important for these individuals to check whether there are any planning conditions or obligations, lease restrictions or restrictive covenants affecting the site which restrict the use of the new laws and of course, watch whether permission to appeal to a higher court is granted.
If you'd like our help with this or any other advice on planning, please do not hesitate to get in touch.