With new rules meaning development sites smaller than 0.2 hectares no longer need to contribute to nature, a fresh analysis has revealed the scale of what this means.
According to research from Planning Portal operator TerraQuest, 43.1% of Biodiversity Net Gain (BNG) eligible planning applications submitted since the coveted policy was launch would now be exempt. Broken down individually, this equates to 13,601 schemes that would not need to comply, from a total of 31,546 proposed developments.
Reducing the scope of BNG regulations in December 2025, the UK Government came under significant fire, with many critics suggesting this meant housing delivery was being valued over nature at any cost. However, many developers argued that the rules – which require construction projects to add ‘biodiversity points’ to a site, or offset elsewhere – was limiting the ability to actually produce and sign-off schemes.
While the new assessment of how the recent roll back sounds alarming, the actual scale of exempted land is only a fraction of the total area covered by all applications. When looking at this metric, close to 500 square miles has been declared eligible for BNG due to development proposals, but no more than 5 square miles would be ruled out due to the new 0.2 hectare threshold.
‘The introduction of an area-based threshold is a sensible first step towards simplifying BNG for smaller sites. However, the Government now needs to take steps to stop the misuse of existing exemptions,’ said Oliver Lewis, of Biodiversity Net Gain consultancy, Joe’s Blooms.
‘Replacing the old exemptions with a simple, clear, and properly policed set of area-based enforcement measures would provide certainty for developers and LPAs,’ he continued. ‘It will also help ensure that the nascent BNG industry in the UK can invest in nature’s restoration at scale.’
However, others have warned that although the apparent minimal effect of the updated regulations show Downing Street’s amendment isn’t as drastic as some had feared, it is vital that assessments continue in order to determine the long-term impact.
‘The provision of the Planning Portal’s analysis highlights the growing momentum and legitimacy of the BNG landscape,’ said a spokesperson from Green Finance Institute. ‘While the data indicates that the proposed changes will have a limited impact on headline land area, ongoing analysis will be required to show the full picture.
‘Policies like these are nuanced and can have broad impacts – such as the high ecological value of some small parcels of land, and the impacts of reduced demand in the off-site market, which currently heavily relies on fractional unit sales,’ they continued. ‘As the full consultation response emerges, monitoring not just exempted land area, but how these changes affect development decisions, investment, and long-term nature recovery outcomes is imperative.’
Impact: Shane McLendon / Unsplash
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