Biodiversity Net Gain (BNG) is a new requirement for property developers in England, which will come into force in January 2024. BNG requires developers to deliver a 10% increase in biodiversity on or off-site as a condition of planning permission.

BNG is important because it helps to ensure that new development does not have a negative impact on biodiversity. It also helps to create and enhance habitats, which can benefit wildlife and people.

Will BNG apply to all developments?
BNG will apply to most new developments in England, with a few exemptions. These exemptions include:

– Permitted development
– Development carried out by a local authority, a government department or a public body
– Development carried out for national security purposes
– Development carried out on agricultural land
– Development carried out on land that is already in a high biodiversity state, such as a nature reserve

If you are unsure whether your development will be subject to BNG, you should contact your local planning authority.

What do property developers need to do to meet the new BNG requirements?
To meet the new BNG requirements, property developers will need to:

– Conduct a biodiversity impact assessment to identify the potential effects of their development on habitats, species and overall biodiversity.
– Develop a biodiversity gain plan setting out how they will deliver a 10% increase in biodiversity.
– Implement the biodiversity gain plan and maintain the new or enhanced habitats for a period of 30 years.

What are the different ways that property developers can deliver BNG?
There are three main ways that property developers can deliver BNG:

On-site biodiversity enhancement: This involves directly improving the ecological value of the development site itself. This can provide immediate benefits to the local environment and ensures that the development aligns with the principles of sustainable design and construction. However, on-site enhancement may not always be feasible due to space limitations, existing land uses or the presence of sensitive habitats. It may require significant planning, investment and long-term commitment to habitat creation and maintenance.

Off-site biodiversity offset: Off-site biodiversity offsetting allows developers to compensate for the biodiversity losses caused by their development by creating or restoring habitats in a different location. This approach can be beneficial when on-site enhancements are not viable or would result in a lower net gain. It can contribute to broader ecological restoration efforts and connect fragmentised habitats. The downside of this is that co-ordinating with local authorities, landowners and conservation organisations is essential for successful off-site offsetting. Ensuring that the on-site location is ecologically suitable and that the offsetting efforts are equivalent or superior to the losses incurred by the development can be complex and require careful planning.

Biodiversity Credits Scheme: Some regions may offer a statutory biodiversity credits scheme, which allows developers to purchase biodiversity credits to offset their impacts. These credits represent quantified units of biodiversity value which can be traded or redeemed to meet BNG requirements. It provides developers with a flexible and potentially cost-effective way to achieve compliance. The challenge of this is that the availability and implementation of such schemes can vary by region, and the cost of credits can fluctuate depending on demand. Developers should thoroughly understand the regulations and mechanisms of the specific scheme in their area.

How can property developers prepare for BNG?
Property developers can start preparing for BNG by:

Educating themselves about BNG: Developers should learn about the requirements of BNG and the different ways to achieve it. There are a number of resources available online and from government and industry bodies.
Engaging with stakeholders: Developers should engage with stakeholders early on in the planning process to discuss BNG and how it can be achieved. This may include local planning authorities, conservation organisations and community groups.
– Developing a BNG strategy: Developers should develop a BNG strategy that outlines how they will meet the new requirements. This should include a biodiversity impact assessment, a biodiversity gain plan and a long-term management plan.

Enforcement of BNG
Local planning authorities have been entrusted with enforcing BNG requirements by integrating them into the developers existing obligations contained in the s.106 Agreement or unilateral undertakings.

Our Commercial Property team are experienced in dealing with all aspects of development on behalf of both developers and landowners.
We provide a depth of experience along with a refreshing, innovative approach to each individual commercial matter. If you are looking for assistance with entering into a s.106 agreement or unilateral undertaking or any other property development projects, then our team are on hand to help.