November 2025 Budget Takeaways

The main takeaways from the November 26, 2025 Budget that impact the planning system will be to : - 

• allocating funding to increase staffing and capacity within local planning departments
• confirming the implementation of the Planning and Infrastructure Bill
• focus on accelerating infrastructure and housing delivery to drive economic growth

These were outline to be achieved by 

• Increased planning capacity: £48 million over three years to recruit 350 more planners for local authorities through schemes like the Pathways to Planning Graduate Scheme. This is intended to address the current funding shortfall and speed up decision-making.
• Planning and Infrastructure Bill: To proceed in the reforms outlined in this bill, aiming to streamline and speed up the delivery of homes and Nationally Significant Infrastructure Projects (NSIPs). These measures include:
   
  
  • Reforming compulsory purchase rules to make land assembly more efficient.
  • Providing a faster, more certain consenting process for critical infrastructure like energy networks. 
  • Creating a new Nature Restoration Fund, funded by developer contributions, to offset environmental impacts and fund strategic environmental projects.
• Reforms to local decision-making: To introduce a national scheme of delegation to determine which planning applications are decided by officers versus a committee. Mandatory training for planning committee members will also be introduced to improve the consistency and robustness of decisions. Many LPAs already provide this. 
• New strategic planning mechanisms: A system of cross-boundary strategic planning is being implemented through Spatial Development Strategies, especially in areas with mayoral authorities. This aims to address housing and infrastructure needs on a wider-than-local scale.
• Other funding for infrastructure and regions: Additional funding was also announced for specific projects, including the Lower Thames Crossing and regional growth funds for mayoral authorities, which are aimed at driving local development.

Initial responses – The CBI and RTPI welcomed the funding for planning capacity, but some organizations like CPRE express concern that new funding and growth ambitions could lead to environmental protections being weakened. Think tank Onward was also sceptical, arguing that pouring more money into the existing system won't solve the core issues holding up development.

Specifically Dr Victoria Hills, Chief Executive of the RTPI, said: “Today’s Autumn Budget marks a watershed moment for the English planning system. This commitment has the potential to turn the tide on years of severe disinvestment, helping to keep experienced planners in the system and bring through the next generation. It’s a clear signal that planning is being treated as the critical public service it is. 

“The new funding is not just a boost for local authorities, it is an acknowledgement that planners are vital to driving the government’s growth agenda and economic productivity.” 

Robbie Calvert, Head of Policy and Public Affairs at the RTPI, said: “We wholly welcome the government’s investment despite the difficult fiscal environment. We now look forward to working with government and Higher Education Institutions to ensure this investment is sustained and directed where it’s needed most – the workforce of the future – and equip them with the skills, digital tools, well-being support and, most importantly a clear and strong sense of purpose.”

RICS States: - 

We note that RICS recognises the significant challenges facing the Government and the need for a difficult financial balancing act. The continued commitment to major infrastructure projects and skills across the country is welcomed. The announcement of free training for all apprentices up to the age of 25 at SMEs will help young people to gain critical experience including in the built and natural environment sector. This should help expand the surveying pipeline. 

The government’s continued commitment to improving the business rates system is necessary, but meaningful and wholesale reform is still needed. Business rates must be reflective of a modern economy, and those that require physical assets should only pay a fair and proportionate share of the burden. 

Scrapping the Energy Company Obligation (ECO) scheme with no prospect of an alternative mechanism has the potential to hamper the country’s ambition to tackle the UK’s retrofit burden. We must catalyse a market for retrofitting our existing homes to meet net emissions targets and create the high-paying jobs of the future.    

Other Property Matters Affected by the Budget

With regard to National Insurance at a 2% rate for landlords income, it could 

encourage landlords to reconsider their investment in the market and may have a knock-on effect of increased costs to tenants.  

Close scrutiny of Council Tax valuations for the high value surcharges that the budget outlined will likely occur. 

It also seemed that Government commitments to sustainability were weakened in this Budget: - 

Key budget measures affecting sustainability include:

• Electric vehicles (EVs): A new mileage-based tax on electric and hybrid vehicles, taking effect from 2028, raising concerns that it will reduce demand and slow the transition to cleaner transport. 
• Energy efficiency and homes: As noted above, the budget included funding for energy efficiency initiatives through the "Warm Homes Plan," but industry bodies criticized the government for cutting billions previously allocated for making homes warmer, jeopardizing long-term solutions to fuel poverty.
• Nature and biodiversity: Environmental groups have warned that the budget, combined with potential changes to biodiversity regulations, will hinder the UK's ability to halt and reverse nature loss. Critics noted a lack of investment in nature innovation and support for companies involved in nature recovery.
• Renewable energy: The budget included some temporary funding for renewable energy but also announced a new nuclear power strategy, with funding for three small modular reactors. While supporting clean energy, environmentalists were therefore disappointed there was not a greater focus on renewables. 

Despite the above, the government maintains its commitment to net-zero through the Oct 2025 Carbon Budget and Growth Delivery Plan and also updated its Green Financing Framework ( November 2025), which funds green expenditures. The budget confirmed the implementation of a carbon Border Adjustment Mechanism from January 2027.