The new National Planning Policy Framework (NPPF), published in August 2026, introduces a number of changes which could create fresh opportunities for small and medium-sized developers.
While the headline focus remains housing delivery, the new Framework also places greater emphasis on smaller sites, development within settlements, sustainable locations, and the effective use of land.
For SME developers, that means one thing in particular: some sites which may previously have been discounted could now be worth another look.
The new NPPF gives greater emphasis to small and medium-sized housing sites.
Local plans are now expected to accommodate at least 10% of housing requirements on sites of no more than one hectare, together with a further 10% on sites between one and 2.5 hectares, unless there are strong reasons otherwise.
This is particularly relevant to SME housebuilders, as sites of this scale can often deliver meaningful numbers of homes without the infrastructure requirements and lengthy lead-in periods associated with larger strategic schemes.
The new NPPF also strengthens the position for development within existing settlements.
In broad terms, proposals within settlements should be approved unless their adverse effects would substantially outweigh their benefits.
This could provide additional support for:
infill development;
brownfield and under-used land;
redevelopment of commercial sites;
conversions; and
opportunities to make more efficient use of existing land.
For SME developers, these are often exactly the types of sites which form a realistic development pipeline.
Land outside settlement boundaries should not automatically be discounted.
The new Framework provides support in certain circumstances for development which addresses an evidenced unmet housing need and is physically well-related to an existing settlement.
Housing land supply and delivery therefore remain important considerations when assessing development potential.
Sites which have previously been promoted unsuccessfully may be worth reviewing against the new policy framework.
One of the most interesting changes relates to residential and mixed-use development close to well-connected railway and other qualifying stations.
The NPPF identifies around 800 metres as a broad guide to reasonable walking distance, subject to the quality of the actual walking route.
Importantly, qualifying development close to well-connected stations may also benefit from a new route through Green Belt policy.
This does not mean that every site near a station is suitable for development, but it does mean that land previously dismissed because of its location outside a settlement or within the Green Belt may warrant closer examination.
The key for SME developers is understanding whether a site is genuinely worth pursuing before committing significant time and money.
Planning policy is only part of the picture.
Access, highways, sustainable transport, flood risk, drainage, infrastructure and realistic development capacity can all have a major influence on whether a site is commercially deliverable.
An early appraisal can therefore help answer some basic questions:
Is there a realistic planning route?
Can suitable access be achieved?
Can the site be adequately drained?
What is the realistic development capacity?
Understanding these issues early can help developers make better-informed acquisition and promotion decisions.
The 2026 NPPF does not make every site developable.
However, it does create reasons to reconsider certain types of opportunity, particularly:
small and medium-sized housing sites;
settlement-edge land;
brownfield and under-used sites;
land close to well-connected stations; and
sites previously considered difficult because of planning or technical constraints.
At IPD, our chartered planning team works alongside our in-house transport, highways and drainage specialists to assess these issues together from the outset.
If you are considering acquiring, promoting, or developing a site, an early Development Potential Appraisal can help establish whether it is an opportunity worth pursuing before significant costs are incurred.