12th December 2025
“Despite the last quarter’s underwhelming political and economic backdrop, this edition of our regular horizon scanner includes a wealth of legal and market developments which should be of interest across the Living sector. Reforms to the house-buying process, streamlining statutory consultees, increased digitalization, and imminent enactment of the Planning and Infrastructure Bill (to name but a few), should have a positive impact on the legal horizon.”
The government has announced major reforms to the homebuying process, expected to save first-time buyers money and significantly cut transaction times. The proposals include upfront property information from sellers, increased digitalization, potential binding contracts to reduce failed sales, and wider system changes aimed at making homeownership more accessible and less stressful. A consultation on the proposals closes on 29 December 2025.
RICS has published a global professional standard for the responsible use of AI in surveying. The standard will take effect on 9 March 2026. It sets mandatory requirements and best practices to govern AI use in valuation, construction, infrastructure, and land surveying. Property businesses should undertake a risk analysis; review and update policies, practices, and terms; and educate staff, accordingly.
The government has now published the New Towns Taskforce’s report and its initial response. The government has confirmed it will progress the next generation of new towns across England. 12 locations have been proposed, and the government has committed to getting spades in the ground on at least 3 of these during this Parliament. The government will publish proposals for consultation in Spring 2026, and then confirm the locations to be progressed and publish a full response to the Taskforce’s report.
The FCA has announced it’s undertaking a mortgage rule review aiming to simplify regulations to support sustainable home ownership. In related news, the FCA has published the latest Mortgage Charter uptake data, reporting a significant uptake of support options, such as early rate locking, temporary interest-only payments, and term extensions.
On 30 October 2025, the Competition and Markets Authority (CMA) published a decision accepting commitments offered by Barratt Redrow, Bellway, Berkeley Group, Bloor Homes, Persimmon, Taylor Wimpey and Vistry to address possible competition law concerns. The final commitments, which will last five years, require the parties to: not share with competitors specified categories of information; support the HBF and Homes for Scotland to produce guidance on information exchange for the wider industry; pay £100 million to government programmes to fund and support affordable housing. The parties have also confirmed they won’t claim their share of the Affordable Homes Payment; and introduce enhanced in-house compliance measures and training programmes.
The Employment Rights Bill (ERB) is nearing the finish line. Walker Morris Director and employment specialist, Laura Oxley, has published an article in BE News on what the ERB means for the built environment sector. And, keep up to date with proposals and progress, what they mean for employers, and how to prepare for the changes in our dedicated tracker.
In Bradley v Abacus Land [2025] EWCA Civ 1308, the Court of Appeal allowed the landlord’s appeal against a decision which had partially upheld the leaseholders’ challenge to service charges for gym facilities in their building. The dispute concerned the landlord’s designating the entire costs of a gym as chargeable to residential leaseholders via the service charge, despite the gym being shared with a business and with leaseholders’ access restricted. The case considered the standard expected where a lease states the landlord is required to act reasonably when exercising its discretion on the apportionment of service charge costs.
The Court of Appeal held that the correct test is whether the landlord’s decision was one that no reasonable landlord could have made. A landlord is only in breach of lease provisions requiring it to act reasonably when designating service charge items if its decision is one that no reasonable landlord could have reached. In this case, a reasonable landlord could charge the gym costs to the leaseholders.
The Renters’ Rights Bill has received Royal Assent and is now the Renters’ Rights Act 2025. It will significantly change the regulatory framework relating to residential tenancies in England, but not immediately. Regulations will be required to bring the provisions of the Act into force. The Act will convert fixed term tenancies to periodic, and prevent the creation of new fixed term tenancies. It will abolish section 21 ‘no fault’ notices, meaning landlords will have to go through a formal court process to recover possession.
Additionally, it will prohibit contractual rent review clauses, meaning landlords will only be able to propose a rent increase under a section 13 notice to open market rent. The government has published guidance explaining the main changes and an implementation roadmap. It confirms a phased plan for delivering the changes, beginning with the abolition of Section 21 ‘no-fault’ evictions on 1 May 2026.
The Electrical Safety Standards in the Private Rented Sector (England) Regulations 2020 have now been updated to ensure that the obligations apply to social landlords. Guidance for social landlords is here. The Regulations came into force on 1 November and will take effect for tenancies granted after 1 December 2025. For tenancies that started before 1 December 2025, the regulations will come into force 1 May 2026, with all checks on electrical installations and equipment to be completed by 1 November 2026 by a qualified person.
From 27 October 2025, Awaab’s Law imposes obligations on landlords in the social housing sector to address all emergency hazards and damp and mould issues reported to them with fixed timescales. This will be extended to include hazards associated with excess heat or cold, fire, electrical appliances, and structural collapse in 2026. Government guidance emphasises some overlap with landlord obligations that are already in place.
The High Court has dismissed the judicial review challenge to key provisions of the Leasehold and Freehold Reform Act 2024. The dismissal supports the legitimacy of the measures introduced by the LFRA 2024, including the cap on ground rents, the removal of marriage value from enfranchisement calculations, and the abolition of landlords’ entitlement to recover non-litigation costs from tenants. It’s likely to solidify implementation of the Act’s reforms. Legal commentators are suggesting that the decision may be appealed. However, the High Court’s judgment was strongly worded, which could limit prospects of a successful appeal. It remains one to watch.
The Housing Ombudsman has published a new special investigations process, which should enable landlords to detect and resolve issues earlier, without the need for a full investigation.
“If you’re appointing a new third-party property manager, it’s important to make sure your Property Management Agreement clearly outlines responsibilities, scope and fees to avoid costly disputes. By taking the time to create a robust PMA, you can establish a positive relationship with your property manager and put clear procedures in place. In this article, we share the key considerations for a successful PMA.”

On 13 October, the government announced a series of changes to the Planning and Infrastructure Bill to help promote the aim of building faster. The Bill is currently expected to receive Royal Assent before the end of the year. See this Walker Morris article for key details of the proposed legislative changes.
The Planning Inspectorate has completed the national rollout of its new digital appeals service. Local planning authorities will now be able to manage planning appeals online.
The government has launched a new tool that would enable planners to locate development in the most sustainable locations. The new Connectivity Tool covers the whole of England and Wales and combines transport and land use data to generate a connectivity score. The tool is free of charge to all public sector bodies across England and Wales but is currently only available to people working in local or central government who have been granted access to it.
The government is consulting, until 13 January 2026, on streamlining statutory consultees. Proposals include: reducing the amount of statutory consultation; reducing blanket/unnecessary referrals; supporting impactful, constructive engagement from statutory consultees; ensuring effective resourcing; targeted support to unlock the most complex sites; empowering local planning authorities as decision makers; developing a new performance framework for statutory consultees; and amending consultation requirements and costs recovery measures for Nationally Significant Infrastructure Projects. The measures could result in the Environment Agency significantly reducing the amount of bespoke advice it issues on planning applications, including in relation to biodiversity and Environmental Impact Assessments.
The UK government has published its response to the Consultation on Compulsory Purchase Process and Compensation Reforms in England and Wales. The response includes a summary of proposals to be advanced through the Planning and Infrastructure Bill. These include: (1) delegation of decisions on compulsory purchase orders (CPOs) with directions removing hope value to acquiring authorities where no objections are raised; (2) allowing inspectors to make decisions on directions for additional compensation under Schedule 2A to the Land Compensation Act 1961 to inspectors and to make confirmation decisions on CPOs made under the New Towns Act 1981 (including those with hope value directions); (4) allowing acquiring authorities to take earlier possession of land or property under the general vesting declarations procedure; and (5) permitting electronic service of notices.
Quintain City Park Gate Birmingham v Sec of State for Transport concerns compensation for compulsory purchase in relation to part of the new HS2 station site. As part of the process for calculating compensation, a site owner can apply to the local planning authority for a ‘certificate of appropriate alternative development’ (CAAD). A CAAD enables the site owner to demonstrate the development value of a site, which it can use in negotiations for compensation. It’s in a developer’s interests for application for the CAAD to cover as unconstrained a development as possible. Here, the parties disagreed over the application of policies relating to the height and massing of the proposed buildings, the total size of floor area, and the requirements for affordable housing within the development and conditions relating to phased development.
The Tribunal recognised that there could not be one correct CAAD, but a range of possible alternatives. However, the LPA was entitled to apply limitations in line with the current local plan and policies – in particular, to include a requirement for affordable housing. In this case the Tribunal found for the LPA, but the reasoning will be helpful for anyone dealing with compulsory purchase and valuation.
Last year’s landmark Supreme Court ruling in Finch confirmed that applications for major developments should consider all significant direct and indirect greenhouse gas emissions. However, a recent review of 35 post-Finch proposed intensive farming developments across the UK found that planning applications routinely ignored or downplayed emissions. Planning applications made/approved without the necessary emissions information and analysis will be open to legal challenge.
Thinktank Onward has proposed creating Purpose Built Young Professional Accommodation as a new asset-class/planning use class, with exemptions from space standards and affordable housing requirements, to boost delivery for under-35s.
The Greater London Authority has published draft London Plan Guidance, following emergency measures announced in October 2025, aimed at accelerating housebuilding and unlocking stalled sites across the capital. The consultation will close on 22 January 2026.
Natural England has published a new corporate strategy for the role of nature recovery in driving economic growth. The strategy’s projected outcomes are: 1) recovering nature; 2) building better places; 3) improving health and wellbeing; and 4) delivering security through nature. These will be achieved through: alignment across policies and actions; empowered local decision-making; streamlined regulation; and investment in nature projects.
The government has published a revised Environmental Improvement Plan, designed to restore nature, improve environmental quality and security, build a circular economy, and make nature easier for everyone to access
The Future Homes Hub has launched the Future Homes Standard – Home Buyer Customer Journey: Developers Good Practice Guide, a new template designed to help Sales & Marketing teams prepare buyers for all-electric, low energy homes.
We’ve reported previously that the High Court and Court of Appeal had found, in C G Fry v Secretary of State for Levelling Up, that government rules aiming to mitigate the impact of nutrient pollution on protected waterways apply to the final discharge of planning conditions as well as earlier consenting stages. The developer in that case appealed to the Supreme Court to question whether nutrient neutrality rules apply to developments that received planning permission before the introduction of Natural England’s guidance on the issue in 2020. The Supreme Court has now given judgment for the developer.
Whilst the Supreme Court held that the Court of Appeal was correct in its interpretation of the Habitats Regulations, it considered the effect of a grant of outline planning permission, the impact of a policy adopted by the government, and a change of scientific advice bearing on that policy. The council and the inspector in this case had relied on new scientific advice given by Natural England in 2020 to revisit matters which had been approved prior to that, at the outline stage. The Supreme Court therefore confirmed it was not open to the council or the inspector to refuse to discharge the sub-conditions, thereby effectively preventing development, on the basis of ‘new’ nutrient neutrality rules.
At the same time, Natural England has withdrawn its water neutrality advice covering residential permissions in three South East districts, which the housing department claimed had been holding up the delivery of 21,000 new homes.
Water companies and the government are drawing up emergency plans for a drought next year more extreme than we have seen in decades. The government is also urging all sectors are being urged to take steps to increase water resilience. The global water crisis is increasing, with more than two billion people already without access to safe drinking water and global water demand projected to exceed supply by 40% as early as 2030. Inefficiencies such as leaky pipes, aging infrastructure, and excessive energy use are behind much of this. A new report emphasises that water and energy as interconnected systems, and explains that investment in the water sector is crucial to competitiveness and security. See our earlier briefing on environmental and commercial concerns associated with water stress, and how Walker Morris can help.
DEFRA is consulting on improving water efficiency standards in new homes. Proposals include mandated water-saving features such as aerated taps and showerheads, and other innovations such harvested rainwater-flush toilets.
Housebuilder has reported (18 September 2025) that the HBF Technical Conference 2025 focused heavily on the growing water crisis and its impact on housing delivery. In light of significant housing delays due to water scarcity, the conference noted new homes need to adopt a low water allowance of 80 litres per person per day. Achieving this involves water reuse systems, which are currently niche but essential for future resilience. At the conference, speakers noted a lack of awareness of the crisis (which could see England facing a shortfall of five billion litres of water every day by 2050) and recommended collaboration between developers, suppliers, and policymakers to implement water-smart communities.
On the other side of the water issues coin, new analysis from the insurance industry reveals that large swathes of housing and commercial property are at risk of devastating floods, storms and rising sea levels. Some homes, businesses and even towns may have to be abandoned, and some areas are becoming uninsurable. Densely populated areas including London, Manchester and parts of north-east England, are likely to be worst hit, but Tenbury Wells in Worcestershire has already become the first in the country to find that its public buildings are uninsurable.
We’ve reported previously that, to restore ecological and chemical health, Lewes District Council, Basingstoke and Dean Borough Council, Test Valley Borough Council and Southampton City Council all formally recognised the legal rights of rivers and surrounding catchments in their localities. We suggested that granting rights to rivers and other natural resources could have significant implications for businesses operating near, or impacting, them. (For example, companies discharging into or abstracting from these rivers/areas may face heightened scrutiny. Developers may face more rigorous environmental assessments and/or planning requirements, which could affect timelines, costs and viability, etc.)
Now, the largest environmental pollution action ever pursued in the UK is being brought in relation to alleged pollution in the rivers Wye, Lugg, Usk and related tributaries. And, a High Court legal challenge to a 153-home development has been commenced by environmental campaigners, on the basis that the existing sewage works is already-overwhelmed and additional housing would result in a negative impact on the river Great Ouse. See our recent article on the increasing trend towards environmental litigation and nuisance claims.
“Environmental concerns and sustainability are driving positive change through responsible investment and better working practices. However, this shift is also driving a rise in climate litigation. In this article, we highlight key climate litigation examples and concurrent developments in the law of nuisance that could impact your business and investments.”

The government has published draft regulations and guidance on the Building Safety Levy (BSL). This tax on new residential buildings will be collected by local authorities from 1 October 2026. Developers will be required to pay the BSL on certain building control applications or notices before the earlier of completion of the works or occupation of the building.
Draft regulations have been laid before Parliament which suggest the transfer of the Building Safety Regulator (BSR) from the Health and Safety Executive to a body corporate under the Ministry of Housing, Communities and Local Government will be effective from 27 January 2026. The new BSR will have its own financial and operational framework. The regulations ensure continuity so that anything done by the HSE in its building safety capacity will be treated as done by, and any ongoing legal proceedings can continue under, the new body.
The performance of the BSR was debated on 23 October 2025. The government acknowledged the concerns and confirmed that changes would be made to improve the regulator’s performance. As well as plans to transfer the BSR to a new dedicated body, the government stressed that building safety must not come at the cost of housing supply, and that regulatory reform is urgently needed to unblock stalled developments.
Speaking at the House of Lords’ Industry & Regulators’ Committee, Andy Roe, BSR Chair, recommended further building safety reforms to improve the culture in the construction sector. In particular, he proposed that a regulatory system similar to the requirement for building control inspectors to pass competency assessments and to register with the BSR should apply to other construction professionals.
The BSR has obtained its first injunction. The developer in question hadn’t followed the necessary route to achieve completion and BSR sign off, but had marketed student accommodation as ready for occupation by the new academic year. The BSR considered the building would be illegally occupied and obtained an emergency injunction prohibiting the developer, or anyone associated with it, from seeking to sell or let prior to obtaining a building completion certificate.
The MHCLG has published a template access agreement and accompanying guidance to assist developers and responsible entities in agreeing terms for developer access to buildings covered by the Developer Remediation Contract (DRC). The template is intended to facilitate developer entry to conduct fire safety surveys and assessments required under the DRC.
The Welsh Government has published guidance on the requirements for remediation projects addressing internal and external fire safety risks in residential buildings that are 11 metres high and above in Wales.
The Welsh Government has also published its summary of responses to its consultation on the new building control regime for higher-risk buildings and wider changes to building regulations in Wales which took place in Spring 2025. The consultation covered: dutyholders’ responsibilities and competence requirements; the ‘Golden Thread’ of building information; gateway processes for higher-risk building work; mandatory occurrence reporting of safety issues during construction; new enforcement powers for local authorities; a new process for local authorities wanting to carry out higher-risk building work; and building regulations changes to higher-risk building work and automatic lapse of building control approval after 3 years. The Welsh Government has indicated regulations in line with its proposals will be made by the end of 2025 and brought into force within 6 months.
The latest hearing in Almacantar Centre Point v Various Leaseholders of Centre Point House was awaited for its consideration of the meaning of paragraph 8 of Schedule 8 BSA, which deals with unsafe cladding. The building at the centre of the dispute was built in the 1960s. Water was getting into the timber frame of the building. The background is that landlord applied to the FTT for a determination whether repair costs could be recovered from leaseholders in the building as service charge. The FTT decided the works amounted to “cladding remediation” and, as such, qualifying leaseholders weren’t required to pay the service charge by virtue of the leaseholder protections in the BSA. The landlord appealed.
The Upper Tribunal has now said: Parliament must have intended for cladding remediation works to fall outside the 30 year limitation period which applies to the rest of the schedule 8 protections, and to the Defective Premises Act 1972 as extended by the BSA; “cladding” doesn’t necessarily imply a two-layer system – it decided that one composite wall, as at the property in this case, could meet the definition; and “unsafe” in this context was not limited to fire risks, or risks to the residents – as there was a risk that the issues with the exterior of the building could detach, with risks to members of the public, the “cladding system” was unsafe. The judgment suggests that, when it comes to cladding defects, the BSA can reach back for more than 30 years. Along with the very wide approach to what constitutes a cladding system, this case gives the BSA a very broad reach indeed. It looks like this surprising decision will be appealed. This is definitely one to watch.
The Supreme Court has, in part, granted permission to appeal the Court of Appeal’s decisions on retrospective application of the BSA in the Adriatic Land 5 v Long Leaseholders at Hippersley Point and Triathlon Homes v Stratford Village Development Partnership cases. In Hippersley Point, in connection with recovery of service charges for legal and professional services concerning liability for safety defects, the Court of Appeal emphasised Parliament’s clear intent to protect leaseholders from unsustainable financial burdens by granting the legislation a retrospective scope despite its implications. The Court of Appeal’s decision in Triathlon Homes is explained in our briefing. We’ll monitor and report on the Supreme Court appeals.
We’ve reported previously on the Construction Products Reform Green Paper on wide-ranging plans for future regulation of construction products. Proposals include bringing all construction products within the general product safety regime; enhanced regulatory, surveillance and enforcement powers; development of a new single Construction Products Regulator; and civil and criminal penalties for manufacturers that engage in misleading practices or neglect their responsibilities regarding product safety.
The government has said that the paper is the first step in what will be a proactive process of engagement and consultation across the system in the medium to longer term. The Chartered Institute of Building, in collaboration with various construction industry bodies has published the Guide to Products Critical to Safe Construction – a new resource which aims to signpost best practice, raise awareness of compliance standards, and provide advice on how to determine if a product is critical to safe construction. It’s likely to be of value to clients across the build spectrum, from product and project design and manufacture, to contracting and development/employment.
Apart from the above updates, we’ve published a number of more detailed briefings on recent BSA developments. See: Building Safety Act: August 2025 – Walker Morris; First Tier Tribunal breaks new ground in Building Safety decision: Key findings on developer liability, costs and suspended orders – Walker Morris; Leasehold and Freehold Reform Act 2024: Building safety aspects – Walker Morris; and Building Safety Act 2022 expertise – Walker Morris.
In relation to building safety in a wider context, a social housing management firm has been fined for failing to protect workers from a range of vibration related ill-health conditions. The workers included bricklayers, joiners, electricians, plasterers, caretakers and others. While their work was varied, all included extensive use of power tools, ranging from drills and impact drivers to vibrating plates and road breakers, over an extended period of time.
The company hadn’t properly assessed or controlled worker’s exposure to vibration. As the decision is against a business-type not necessarily immediately associated with vibration risk, it could have far-reaching implications for all businesses employing workers or contractors exposed to vibration. HSE guidance, here and here, helps employers protect their employees and fulfil their legal obligation to control vibration risks. The guidance includes advice on the assessment of risk, ways to control exposure, and in-depth information about health surveillance.
“Following the extension to the limitation period for claims to be brought under the Defective Premises Act 1972, the use of the Act is becoming more prominent. This has inevitably led to new questions, including does the Act apply to care homes? If you’re involved in the development, construction or design of care homes, it’s important to be aware if your accommodation is within scope to make sure you can manage risk appropriately and understand any potential exposure to any claims. See our recent article.”

The government has announced a digital ID scheme for UK citizens and legal residents, aimed at simplifying access to government services and curbing illegal working. Digital ID will become mandatory for Right to Work checks by the end of the Parliament.
Caring Times (7 October 2025) has reported that more than half a million people in the UK have received a dementia diagnosis, according to recent NHS data. And search engine analysis by Foxholes Care Home shows an average of 14,000 searches for ‘sensory garden’ and related keywords. Together, these stats highlighting a growing interest in dementia-friendly, sensory outdoor spaces.
ARCO has published a model National Development Management Policy for older people’s housing, which it calls on the government to adopt.
The government has announced a £500m investment into the first-ever fair pay agreement for the wages of adult social care workers across England. A new body will be set up to negotiate changes to pay and terms and conditions for care workers. A consultation on the design of the fair pay agreement process has been launched and will close on 16 January 2026. The Adult Social Care Negotiating Body will be established in 2026, with the first fair pay agreement coming into force in 2028.
“The New Towns Taskforce aims to deliver new places and communities and support infrastructure and amenities through strategic planning. The government has now committed to getting spades in the ground on at least 3 of these during this Parliament. Other measures will be progressed in parallel, including the Planning and Infrastructure Bill, the Social and Affordable Housing Programme, the National Housing Delivery Fund and National Housing Bank, and National Planning Policy Framework changes.”
Chris Slater, Partner, Planning & Environment