Government consults on new Locally-led Urban Development Corporation model

The Government has launched a consultation on the Locally-led Urban Development Corporation (LUDC) model.

Launched today (10 April), the consultation seeks views on draft regulations in relation to how a local authority is to oversee a LUDC following its designation.

The consultation concerns provisions set out in the Levelling Up and Regeneration Act 2023 for a new LUDC model with powers aimed at supporting regeneration and growth, overseen by local authorities (known as oversight authorities in this context) rather than the Secretary of State for Levelling Up.

Provisions in the 2023 Act also provide regulation-making powers to modify the Local Government, Planning and Land Act 1980 setting out how an oversight authority is to oversee the regeneration of a Locally-led Urban Development Area.

Development Corporations are statutory bodies set up to facilitate development in areas that need large-scale coordination of investment and planning.

The model has been used since the post-war period and has evolved over time to include the Mayoral Development Corporation under the Localism Act in 2011 and the Locally-led New Town Development Corporation in 2018 as part of devolving power from central Government to the local level.

The Government is also consulting on updating the New Towns Act 1981 (Local Authority Oversight) Regulations 2018.

Both sets of regulations will be subject to the affirmative parliamentary procedure, whereby the regulations must be actively approved by both Houses of Parliament.

The consultation, which can be read here, closes on 5 June 2024.

The proposals relate to England only.

Adam Carey