Template planning agreements – what does the Consultation cover?

On 25 August 2026, MHCLG published a consultation on four standard templates pursuant to section 106 of the TCPA 1990 for medium-sized sites (between 10-49 dwellings). The consultation closes on 20 October 2026.  Policy DM6(4) of the new NPPF states that where national model planning obligations are relevant to the development, they should be used unless there are strong reasons for using a different obligation. The consultation comprises two parts.

Part 1 

This seeks views on two standard clause templates relating to financial obligations. In addition to requesting feedback on the drafting of each of the clauses, specific questions are posed which relate to the following issues:

• If guidance should be provided on title issues;
• Suitability of the definition of Commencement;
• If ringfencing of liability for obligations should be included;
• If the mortgagee consent drafting gives certainty to lenders and the necessity for the developer’s consent clause where a developer has no interest or only has an option over part or whole of the site;
• Examples of where exemptions for individual owners have hindered the enforcement of obligations;
• Necessity of a title warranty alongside title information and an enforcement costs clause; 
• Appropriate indices for types of contributions; 
• If 20 Business Days is sufficient for approvals and whether the timescales in the disputes clause are appropriate; 
• Use of emails for notices and whether supplementary guidance is needed; 
• Guidance on timing of contributions; 
• If discharged obligations should be removed from the register; 
• If contributions should be held in an interest bearing account and if repayment should include interest;
• If the default should be 5 years for repayment and if there is no request for repayment from the developer, whether there should be a provision which allows the authority to spend the contribution on mitigation in the vicinity of the development.

This gives an indication of areas the Government is focusing its analysis on and where there may be scope for changes to be made, depending on the consultation responses and justification given. 

Part 2

This seeks views on two draft affordable housing schedules. As with part 1, comments are sought on the drafting of the clauses and schedules, along with specific queries being raised in relation to:

• The affordable housing tenure definitions;
• If changes to affordable housing provision and tenure mix should be capable of being agreed in writing with the LPA without requiring a deed of variation;
• Whether the template should include provisions to regulate service charges for affordable housing;
• If the approach to defining eligibility for households is appropriate and whether the criteria should be required to be in line with the LPA’s allocation scheme rather than specifying the precise criteria in the agreement;
• If the approach to securing the delivery and transfer of affordable housing is appropriate;
• Whether there are any requirements that create difficulty in securing an Affordable Housing Provider or delay the transfer of affordable housing;
• The drafting of the schedule relating to Affordable Housing Providers’ financing and whether the specified 3-month time period should be increased or decreased; 
• If a discretionary cascade mechanism should be included where affordable housing cannot be delivered on site;
• The operation of the cascade mechanism, including the order of stages, marketing opportunities and associated timescales, and whether local authorities should be potential purchasers/providers of the affordable housing units at the first stage;
• If Affordable Housing contributions payable following the operation of the cascade mechanism should be paid at the same stage of occupation as the affordable housing would have been delivered;
• If the proposed approach for the calculation of Affordable Housing contributions is appropriate;
• What further guidance on the calculation of Affordable Housing contributions for the development of LPA policies is required;
• The preferred approach for the geographic use of Affordable Housing contributions and the repayment of unspent Contributions; 
• The approach to payment triggers for Affordable Housing contributions that are agreed at the outset instead of on-site provision.

Again, this indicates the topics which the Government is taking a close interest in and which may be more controversial.

What’s next? 

The Government has stated that it intends to publish further model planning obligations and planning conditions to support consistency in decision-making so we will keep you updated on these, as well as the Government’s response to the above consultation. 

We have extensive experience drafting and advising on planning agreements so please let us know if you would like any assistance in responding to the consultation or with any negotiations.