Patrick Munro

1. Energy Infrastructure

There are a number of significant changes due to come into effect later this year for the consenting of energy infrastructure, including:

• Section 36 and 37 applications: The Planning and Infrastructure Act 2025 was passed on 18 December 2025 and includes proposals for changes to the procedures for consenting of electricity infrastructure projects under the Electricity Act 1989. These include:
  • Introduction of mandatory pre-application requirements;
  • Removing the automatic trigger for a public inquiry where the local planning authority objects and replacing this with a reporter-led process intended to facilitate proportionate further evidence gathering. This evidence could be through further written submissions, or hearing sessions instead of inquiry;
  • Reducing the judicial review period for legal challenge to decisions on onshore consents granted under section 36 and section 37 to six weeks from the current three-month period. This will align the onshore electricity consent provisions with those for offshore.
• Amendment to section 36 consent threshold: On 30 December 2025, the Scottish government published a consultation on increasing the current threshold of 50MW for planning permission/consent applications for onshore electricity generating stations to be considered by local authorities, rather than by Scottish ministers as a section 36 application. This is likely to be progressed through 2026.
• Offshore wind: The UK government (Defra) has now published details on how offshore wind developers can apply to use the Marine Recovery Fund (MRF) to deliver strategic environmental compensation. The Scottish government consulted in August 2025 on a Scottish MRF, with this likely to be progressed through 2026. Other important upcoming legal and policy changes for offshore wind development include potential amendments to the Habitats Regulations (as provided for by the Energy Act 2023) and the updated sectoral marine plan. It is understood that these are expected in Spring.

2. Planning Processes

• Application statistics for October 2024 to March 2025 were published on 5 December 2025, providing insights on the functioning of the development management system and how it might be improved.
• Local Development: This category includes the smallest developments, for which 17,644 applications were decided in 2024/2025. Those without processing agreements had an average decision time of 11.8 weeks (against an 8-week target, which was met in 62.9 per cent of applications);
• Major Development: This includes developments of 50+ housing units, 10,000sqm+ of business/industrial floorspace and 20+MW electricity generation capacity. 169 applications were processed in 2024/2025, taking an average of 37.4 weeks without a processing agreement (44.4 weeks for housing decisions and 24.8 weeks for all other decisions);
  Delegation and Approvals: 96.6 per cent of applications were decided by planning officers under delegated powers, with the rest decided by elected members on the Councils’ Planning Committees. The overall rate of approval (delegated and Committee decisions) was 92.2 per cent;
• Appeals: Councils’ internal Local Review Bodies dealt with 629 cases in 2024/2025, upholding the original decision in 60 per cent of cases. There were 343 appeals to the Scottish ministers (through the Directorate for Planning Environmental Appeals), who upheld 63.8 per cent of original decisions;
• Enforcement: In 2024/2025 there were 5,384 enforcement cases. 681 notices were served, two reports were made to the Procurator Fiscal and there was one prosecution;
• Fees: Fees increased in June 2025 and are subject to annual, inflation-based uplifts. Planning authorities can now charge fees for non‑material variations, written confirmation of compliance with conditions and apply surcharges of up to 25 per cent for retrospective applications. Guidance on new fees for appeals (local reviews within Councils and Scottish ministers appeals via the Directorate for Planning and Environmental Appeals) is set out in Planning Circular 3/2025.

3. New Guidance on Planning Obligations (Section 75 Agreements)

Planning Circular 4/2025 on Planning Obligations and Good Neighbour Agreements was published on 12 December 2025. It immediately replaces its predecessor (Circular 3/2012) and reflects the adoption of NPF4 Policy 18 in 2023, changes to local policy, the housing emergency declared across Scotland, the recent decision not to create a levy specifically to raise funds for infrastructure (which would have been equivalent to the Community Infrastructure Levy in England/Wales), a growing body of planning decisions and current market conditions. It seeks to expand the use of viability assessments and improve procedure to streamline the negotiation process and speed up consenting.

4. Compulsory Purchase Reform

A recent consultation on compulsory purchase (CP) reform closed on 19 December 2025. It covered a wide range of topics from enabling powers and purposes of compulsory purchase to processes for CP orders, implementation, compensation and the potential for alternative powers of compulsory sale orders, raising 122 specific questions for consultees to consider. Key issues include:

• Accelerating the CP process by empowering acquiring authorities to confirm unopposed CPOs (currently confirmed by Scottish ministers) and faster mechanisms for taking title to land;
• Introducing new powers for acquiring authorities to acquire rights in land (such as servitudes) without the need for full ownership;
• Simplifying processes and improving transparency for landowner compensation.

5. Housing (Scotland) Act 2025

The Housing (Scotland) Act 2025 received Royal Assent on 6 November 2025. Key measures include a statutory framework for rent control areas (in which rent increases may be capped at CPI + 1 – 6 per cent) but excluding student accommodation, build‑to‑rent and mid‑market rent properties. More broadly, the Act enhances tenant rights, including rights to make minor alterations, end a joint tenancy unilaterally, remedies for unlawful eviction and stricter duties on landlords to address damp and mould.

6. Permitted Development Rights

The recent consultation on Permitted Development rights (PDR) to support the provision of new homes in Scotland closed on 27 October 2025. It explored simplifying the planning process and encouraging new housing in rural areas and town and city centres. Areas for PDR reform include: demolition of existing agricultural or forestry buildings and changes to residential use from Use Class 1A (retail and other uses). Other PDRs under consideration are for installing domestic air source heat pumps and connecting to heat networks (domestic and non-domestic). Consultation responses remain under review, with the draft amendments to existing PDR regulations expected in early this year.

7. Local Development Plans (LDPs)

Planning decisions must be made by reference to the statutory development plan, which comprises NPF4 (Scotland-wide planning policies) and LDPs (prepared by each of Scotland’s 34 local authorities). Since 2023, LDPs have had to take NPF4 in to account and look ahead for a period of 10 years, rather than the previous 5 year period. Resourcing and other pressures on Councils mean that most will miss the May 2028 deadline for preparing new-style LDPs. This means two things for stakeholders: firstly, NPF4 will prevail over old-style LDPs until the new-style LDPs are adopted and, secondly, there will be opportunities to input into new-style LDPs in the next few years, to influence future policy and land allocations.

8. Natural Environment (Scotland) Bill

This proposed legislation is part of the Scottish government’s Strategic Framework for Biodiversity. It includes: proposals for Biodiversity Net Gain requirements, updates to National Parks and provisions relating to the management of wild deer. The original draft Bill also enabled the Scottish government to modify the Environmental Impact Assessment and Habitats Regulations regimes post-Brexit. These powers were removed following consultee concerns about their breadth and unnecessary duplication but they could be reinstated as the Bill continues through Parliament. The Bill is due to be finalised by May 2026 and the Scottish government published a new guidance note on 17 December 2025 on implementing biodiversity improvements under NPF4.

9. Building Safety Levy Bill

The Scottish government seeks to raise £30 million per annum for cladding remediation works. The levy is to apply to new residential development, based on floorspace area (rather than development value). On 18 November 2025, it was announced that the introduction of the levy would be delayed by a year and will now take effect from April 2028 onwards.

Patrick Munro is a director and Jacqueline Cook is a consultant at Burges Salmon