Reforms 'threaten high streets'

12 April 2012

Traditional high streets could be put at further risk from out-of-town supermarkets and shopping centres under proposed changes to planning regulations, MPs have warned.

The Communities and Local Government Committee expressed concern that planning policy reforms could damage the viability of town centres.

Under plans set out in a 2007 White Paper on planning, the Government is to scrap the so-called "need test", which prevents excessive and unnecessary out-of-town retail development.

The move follows criticism that the criteria can serve to restrict competition and consumer choice.

Based on the findings of the 2005 Barker Review, it is set to be replaced by a broader "impact assessment". But, in a report, the communities committee called for the "need test" to be retained as part of the new assessment framework.

It said it was not convinced that the test was having "undesirable effects", adding: "On the contrary, we have heard from representatives of developers, of local planning groups, that it is serving a useful -- some say essential -- function."

The committee said the impact of the change could be even worse in the present economic conditions.

"In the current economic climate, the removal of the need test would present unnecessary risks to town centres," it said.

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