Persimmon Homes (North East) Ltd & Ors v Blyth Valley Borough Council

Persimmon Homes (North East) Ltd & Ors v Blyth Valley Borough Council

Policy H4 was quashed because it was adopted without proper consideration of economic viability as required by PPS3. The 30% affordable housing target was not supported by a robust evidence base addressing viability, rendering the policy legally flawed and unsound under the statutory scheme.

Parties
Claimant: Persimmon Homes (North East) Limited; Claimant: Barratt Homes Limited; Claimant: Millhouse Developments Limited; Defendant: Blyth Valley Borough Council
Jurisdiction
England and Wales
Judgment Date
20 May 2008
Procedural Posture
Judicial Review / Judgment After Substantive Hearing
Outcome
Claim allowed; Policy H4 quashed
Legal Topics
Development Plan Documents, Affordable Housing Policy, Statutory Interpretation, Judicial Review of Planning Policy
Planning Law Administrative Law Development Plan Documents Affordable Housing Policy Statutory Interpretation Judicial Review of Planning Policy

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Parties

Persimmon Homes (North East) Limited

Claimant

Barratt Homes Limited

Claimant

Millhouse Developments Limited

Claimant

Blyth Valley Borough Council

Defendant

Procedural Posture

Judicial Review / Judgment After Substantive Hearing

Legal Issues

  1. 1 Whether Policy H4 of the Core Strategy was lawfully adopted under the Planning and Compulsory Purchase Act 2004
  2. 2 Whether the policy complied with national guidance, specifically PPS3, regarding economic viability assessment for affordable housing targets
  3. 3 Whether the Inspector's approach to the policy was legally sound

Ratio Decidendi

Policy H4 was quashed because it was adopted without proper consideration of economic viability as required by PPS3. The 30% affordable housing target was not supported by a robust evidence base addressing viability, rendering the policy legally flawed and unsound under the statutory scheme.

Court Disposition

Claim allowed; Policy H4 quashed

Orders

  • Policy H4 and supporting paragraphs in the Core Strategy are quashed
  • Detailed assessment of costs to the claimants if not agreed