Government could create major planning loophole for easier conversions to housing

The Department for Communities and Local Government (DCLG) has proposed allowing change of use from an office to housing without the need for planning permission to “ease our national housing shortage”.

But property agent Trevor Watson of Davis Coffer Lyons said this could encourage developers in areas where land values are higher, such as in London and the south east, to buy a pub and turn it into a restaurant, bank or shop. The developer could apply for permission to turn it into an office, and after a few years automatically convert it to housing.

Currently it is possible to change the use of a pub into a restaurant, bank or shop without planning permission. Watson said this is a “back-door” way of turning a pub into residential use and that it is easier to get planning permission to turn a shop into an office than to turn a pub into housing.

“The Government has not thought this through, especially in terms of its impact in the south east,” he said.

“In a place such as Hull it would work, but then you would probably find that the council would not stop you from turning an office into housing anyway.”

Pro-pubs MP Greg Mulholland raised similar concerns during a Parliamentary debate last week. “It could open up a back door for developers to convert pubs to housing, without requiring planning permission, as well as denying communities still further the right to have a say over local developments,” said the chair of the All-Party Parliamentary Save the Pub Group.

Fleurets director Martin Willis believes this may not be as straightforward. “It is highly likely there wouldn’t be enough development profit to go through such a long-winded process.

“More positively, if offices — particularly  in town centres — can be converted quickly to residential [status], it should provide more trade in areas where pubs are suffering most.”

Campaign for Real Ale head of public affairs Jonathan Mail added: “Any developer willing to go to these extraordinary lengths is likely to face a determined community campaign.

“Councils will be very reluctant to grant permission for conversion to office use, so the whole elaborate ploy will fall apart. But this story strengthens the case to close planning loopholes that allow pubs to be lost forever without any need for planning permission.”

DCLG said the property has to be an office before the legislation comes in.