What to consider if you’re thinking of buying a property in the Grey Belt, or if you already live there

When the Labour government came into power in 2024, Deputy Prime Minister Angela Rayner announced plans to meet their pledge to build 1.5 million new homes in the next five years. This plan involves parts of the green belt that are deemed to be low quality becoming spaces for new homes to be built on.
What is the difference between the Green Belt and the Grey Belt?
The “Green Belt” describes areas of land that have been protected from development since the Town and Country Planning Act of 1947, covering around 13% of England as of 2023, usually around major cities.
The “Grey Belt” refers to land that was previously developed but is now underutilised. This includes brownfield sites (land that was formerly for industrial or commercial use), abandoned buildings, or unused car parks.
A disused garage in Tottenham was used as an example – as it is on a green belt site, it cannot be developed into housing.
What are the Government’s plans?
The UK is facing a severe housing shortage, especially in London and the Southeast of England, where demand far exceeds supply. This has led to skyrocketing house prices and rent.
At present, it is very hard to build on the green belt, which was the point of the regulations – to keep the green spaces. Current applicants must have very special circumstances to justify being granted planning permission in any of these areas.
The Government’s new plan will allow parts of land in these areas if it’s “poor quality” to be repurposed to meet the housing targets of local councils.
The housing strategy includes:
- Encouraging redevelopment
- Supporting affordable housing schemes and help for first-time buyers
- Innovative building techniques, including modular housing, to speed up the construction processes
Sir Keir Starmer mentioned these plans before the 2024 election, but the plans were quickly dismissed by then-Prime Minister Rushi Sunak as he “wanted to make sure our green spaces are protected”.
What types of homes will be built?
With inflation rising, the development costs have been pushed up, making providing affordable homes a little more difficult. However, the plans state that half of the properties built on the grey belt will have to be affordable housing, including homes that are for rent for at least 20% less than the local average rate, aiming to help first-time buyers and low-income families.
The rest of the homes will likely be at standard market-rate prices, and possibly some social housing provided by local authorities or housing associations with rent at lower rates. The specific proportions will likely depend on government policies, developer agreements, and the local area’s demographics.
How many homes could be built on the areas that have already been identified?
The government has already identified 11,000 sites that fit the grey belt criteria. This makes up less than 1% of the green belt. Most of these sites are in the south of England, including 40% in the London green belt. According to estate agent Knight Frank, between 100,000-200,000 homes could be built on these sites.
These sites tend to be disused industrial estates, vacant plots near railway stations, and derelict properties previously used for commercial purposes.
What role will the local councils play in the planning process?
- Reviewing and approving planning applications
- Identifying suitable areas, taking local housing needs into consideration
- Monitoring developments, including the negotiation of Section 106 agreements.
- Consulting with residents and other stakeholders
What are the arguments for building on the grey belt?
While there are plenty of arguments against building on the grey belt, which we will discuss in the next section, this plan is seen to be the middle ground between preserving the green belt and solving the housing crisis.
Arguments for the plan:
- Many grey belt sites are derelict, so this would be an efficient use of land
- Developing the grey belt is preferable to building on the green belt
- The project can address the country’s housing needs without significant environmental harm
Likely positive effects:
- More housing could reduce both homelessness and overcrowding
- New developments can bring improvements in infrastructure – e.g. roads, schools, healthcare
- Boost to the local economy by attracting businesses and improving community safety
What are the arguments against building on the grey belt?
Environmental concerns:
- Disruption of ecosystems
- Increased pollution (including air, light, and noise)
- Possible flooding, especially if the air has poor drainage
Other concerns:
- Increased population density – this can put strain on existing infrastructure, from public services (hospitals, schools etc) to utilities
- More local traffic, leading to shortages in parking and increased congestion
How will the Government address overdevelopment concerns?
- Ensuring sustainable development through renewable energy and biodiversity initiatives
- Preserve green spaces – e.g. parks, playgrounds, community gardens
- Infrastructure upgrades – e.g. roads and public transport