The question has been posed in a recent article in the London Evening Standard (link below). The question is particularly pertinent in Brent, where the Council’s planning department has given priority for over-tall constructions for years. Despite the fact that local people object strongly, despite the fact that few people actually chose to live in a small box in a skyscraper. The Brent Council planning department is always willing to rubber-stamp another outrageous development scheme.
Let us hazard an answer to the question posed. The answer is, to a large extent, Section 106 of the UK planning rules. Under Section 106, the Council holding the planning authority can impose extra conditions or activities on the developer of a proposed project. The extra condition could be anything, but most often it boils down to a cash payment made directly to the Council. The negotiations between developers and Council officials take years, with both sides trying to maximize the financial benefits of a deal. After years of under-funding from the UK Government, every Council is very mindful that planning permissions can serve as effective way of raising revenue. Large developments thus increase the profits of developers but they also increase the revenue to the Council. All of this is perfectly legal under Section 106. Smaller developers who understand the true needs to the local community do not have the means to engage in year-long negotiations with Council officials. This leaves only the big developers who understand the financial pressures of local councils very well.
