HBF calls for BNG reforms: planning and viability impacts for project teams
Reviewed by Joe Ashwell

First reported on The Construction Index
30 Second Briefing
Difficulties implementing mandatory Biodiversity Net Gain (BNG) are slowing housing projects, with a Home Builders Federation survey of 80 firms finding 84% still struggle with BNG and 80% reporting planning delays while local authorities review biodiversity assessments. Sixty per cent said BNG has deterred them from pursuing sites that would previously have been viable, citing policy uncertainty, inconsistent application of requirements and cumulative regulatory cost. Some capacity issues are easing, with reported shortages of in-house expertise down from 79% to 66% and adequate off-site biodiversity unit supply up from 31% to 47%.
Technical Brief
- Comparison with last year’s survey allows quantitative tracking of capacity and market response to BNG.
- Reported improvement in off‑site biodiversity unit availability suggests maturing habitat bank and credit markets.
- HBF links delivery risk to a “recruitment crisis” for public sector ecologists handling technical reviews.
- Inclusion of baseline biodiversity assessments in local plans is proposed to front‑load ecological constraints mapping.
- Clearer central guidance is requested to standardise how LPAs interpret metric calculations and acceptable mitigation packages.
Our Take
The Home Builders Federation has featured repeatedly in recent UK Policy coverage, with earlier pieces on SME builders curbing speculative development and £9bn in unspent Section 106-style contributions, suggesting that BNG implementation challenges are landing on a sector already constrained by finance and planning bottlenecks.
The fall in respondents citing insufficient resources or expertise on BNG, from 79% last year to 66% this year, implies that capacity-building is progressing, but the still‑high share means many UK builders may continue to rely on external ecological consultants, adding cost and time risk to project appraisals.
With only 47% of respondents now reporting adequate off‑site biodiversity units, any tightening of BNG rules could push more UK schemes towards on‑site design changes, which in practice often means lower net developable area and more complex negotiations with local authorities already criticised in our coverage for slow release of housing‑linked funds.
Prepared by collating external sources, AI-assisted tools, and Geomechanics.io’s proprietary mining database, then reviewed for technical accuracy & edited by our geotechnical team.
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