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Planning-gain Supplement (Preparations) Bill

We have indeed. That is one of the areas on which we expect further observations in the consultations that are out for general comment. One of the consultation documents deals with the question of how valuation is assessed. The hon. Lady might like to take a close look at that document. In pursuing the goals that I have set out, the Government have considered the matter and accepted Kate Barker’s recommendation that a modest levy on windfall gains in the value of land going through the planning process would be a fair and effective way not only of helping to finance additional investment that is needed in infrastructure, but of sharing the benefits of development growth with local communities. Just as Kate Barker did, the Government have considered a range of alternatives. We will continue to do so, but at this point the PGS is our lead option. That is because a workable and effective planning gain supplement would have more potential to generate much needed investment throughout the UK than its main alternatives, such as an optional planning charge or a tariff scheme; because the PGS would be proportionate to the land value uplift of a site, and thus fairer for developers and landowners; because the PGS would be more transparent and consistently applied than the existing system of developer contributions; and because the PGS would provide local communities, which would receive at least 70 per cent. of the revenue derived from their areas, with the scope to plan and pool resources strategically to fund infrastructure in support of growth.