News

Manufacturers Urge Government To Accelerate Planning Reform To Unlock Growth

Manufacturing

Britain’s manufacturers are calling on the government to accelerate planning reform, warning that the current system is undermining investment, slowing industrial expansion and threatening wider economic ambitions.

A new report from Make UK argues that the planning framework is “not fit for purpose”, citing excessive complexity, inconsistent decision-making and rising compliance costs as major barriers to growth.

The findings come as ministers seek to position manufacturing at the centre of the UK’s industrial strategy, regional development agenda and net zero transition. Industry leaders say those ambitions will be difficult to achieve without a faster and more predictable planning process.

According to the survey, almost half of manufacturers believe the current system is holding back the UK’s economic potential, while only a small minority say it actively supports growth. More than four in ten respondents reported that planning delays were directly affecting their ability to invest or expand operations.

The report identifies three principal frustrations: regulatory complexity, the cost of compliance and inconsistency between local planning authorities. Together, manufacturers argue, these factors create a system that is difficult to navigate and highly unpredictable.

Faye Skelton said there remained a gap between the government’s stated intentions and the experience of businesses on the ground. “Too often the planning system acts as a source of friction rather than a driver of growth,” she said.

The organisation is urging ministers to go further than current proposals contained in the Planning and Infrastructure Bill. Among its recommendations are stronger strategic and mayoral powers to align industrial priorities with infrastructure and land use planning, alongside accelerated approval processes for major manufacturing and infrastructure projects.

Manufacturers are also calling for a “Manufacturing Growth Test” to assess whether reforms genuinely reduce costs and delays for businesses seeking to invest or decarbonise.

Environmental regulation emerged as another significant concern. More than half of companies said environmental requirements created obstacles at least occasionally, particularly where approvals become prolonged or uncertain. Make UK argued that the issue was not environmental standards themselves, but the unpredictability and complexity of the processes surrounding them.

The debate comes amid wider pressure on the government to stimulate economic growth and attract industrial investment at a time of rising global competition and supply chain restructuring.

For manufacturers, the concern is increasingly practical rather than theoretical: delays to planning decisions are not simply affecting future opportunities, but slowing investment decisions already on the table.

News Team
Related News
Related sized article featured image

PM Today contributor
Related sized article featured image

News Team