Business blames planners for not backing investment plans

03 Feb, 2026
Tony Quested
A poor planning culture is holding back business growth in the UK and damaging its economy, according to a new report from the British Chambers of Commerce. Cambridgeshire is suffering with the rest of the country, the report adds.
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Charlotte Horobin. Credit – Cambridgeshire Chamber of Commerce.

The research demands a planning system that actively enables growth and investment after highlighting how planning delays, under-resourcing and inconsistency are holding back the UK economy.

The Planning for Business and Growth report sets out the urgent need for a planning framework that provides certainty, supports sustainable development and allows businesses to invest with confidence. Local firms say these challenges are being felt acutely across the region, limiting the delivery of jobs, commercial space and vital infrastructure.

Rob Facer, Chamber Board Director and Chair at Barnack Estates, said: “The current economy is desperate for sustainable growth. Businesses are facing significant headwinds, with rising employment and business rate costs and legislation dampening confidence. To release the construction industry to build, create jobs, increase GDP and generate tax revenues, we need a planning culture that says yes to sustainable development.

“The planning system must deliver consistent decisions, be properly resourced, and strike a better balance in favour of sustainable growth and quality jobs. If the planning process can be streamlined and delivered on time, we will see positive impacts on growth, the wider economy and the cost of living.”

Harvey Bibby, Chamber Board Director and Director at Grovemere Property, added: “Our national planning system is currently acting as a barrier to growth. Businesses that are ready to invest, create jobs and drive productivity are too often held back by delays caused by under-resourcing, uncertainty and inconsistent decision-making.

“We urgently need a planning framework that is fit for purpose one that supports sustainable development, strengthens local economies and gives businesses the confidence to move forward.”

The British Chambers of Commerce report highlights that business investment thrives on certainty and capacity within the planning system. To meet the Government’s ambition to build 1.5 million new homes and deliver sustained economic growth, the report warns that reform must be matched with resources.

While the Government has committed to recruiting 1,400 planners, an average of just 3.5 per local planning authority, there remains a national shortage of planners across England. Estimates suggest that many thousands more will be required to support growth, infrastructure delivery and employment land development.

Charlotte Horobin, Chief Executive of the Cambridgeshire Chamber of Commerce, said: “A planning system that works is fundamental to the competitiveness of our region. Businesses want to invest here, create jobs here and contribute to sustainable local growth, but that requires a planning framework that is timely, predictable and aligned with economic realities.

“Planning reform must move beyond policy intent to practical delivery on the ground. Local government reorganisation also presents an opportunity to bring greater efficiency, capacity and consistency to planning, helping to tackle long-standing bottlenecks. By ensuring planning authorities are properly resourced, and decision-making is consistent, we can unlock investment, support thriving communities and position our region for long-term growth.”

Local business leaders are urging government to ensure that planning reforms translate into real-world outcomes, enabling businesses and regions to compete, grow and prosper.