Horsham’s Development Setback Could Spark Uncontrolled Growth Risks

Estimated reading time: 6 minutes

Key Takeaways

• The Planning Inspectorate rejected Horsham District Council’s draft local plan for legal non-compliance and soundness concerns.
• Issues include a failure to fulfil the Duty to Cooperate and an inadequate water-neutrality strategy.
• Housing targets and infrastructure projects are now in limbo, risking speculative development.
• Horsham District Council has appealed to ministers and lodged a formal complaint, urging a full review of the examination process.
• Residents and developers face months of uncertainty while a new plan is prepared.

Introduction

Horsham District Council’s vision for growth between 2023 and 2040 hit an unexpected roadblock when the Planning Inspectorate advised withdrawing the draft local plan. The decision has left residents, developers and local leaders questioning how the district will manage housing, infrastructure and environmental stewardship in the coming years.

Background on the Rejection

• Plan submitted: July 2024
• Interim hearings: December 2024
• Inspector Luke Fleming recommended withdrawal in April 2025 under Section 22 of the Planning and Compulsory Purchase Act 2004.

The rejection sparked concern that Horsham’s planning process may not be sufficiently aligned with national policy or local priorities.

Why the Plan Was Rejected

Legal Non-Compliance

“The duty to cooperate is not optional,” the Inspector noted, criticising insufficient collaboration with neighbouring councils on cross-boundary matters. Without that cooperation, key elements of the plan would be unenforceable.

Soundness Concerns

Doubts arose over whether the plan could genuinely deliver its housing allocation. Weaknesses in both internal and cross-boundary housing strategies called projected numbers into question.

Water Neutrality Challenges

The Sussex North Offsetting Water Strategy (SNOWS) was central to environmental compliance, yet the Inspector found little evidence it could guarantee true water neutrality.

“The evidence presented does not demonstrate that new development can offset its additional water demand,” the report stated.

Implications for Horsham

With no adopted plan in place, the district faces four key risks:

• Delayed or cancelled housing projects, heightening affordability pressures.
• Greater likelihood of speculative development applications.
• Difficulty securing funding for infrastructure upgrades.
• Uncertainty for residents and businesses planning future investments.

Council Response

Describing the decision as “hugely disappointing”, Horsham District Council has:

• Appealed directly to the Planning & Housing Minister.
• Filed a formal complaint with the Planning Inspectorate.
• Requested an in-depth review of both the findings and the examination procedure.

Full details can be found via Local Government Lawyer.

Next Steps

The Cabinet will vote in August 2025 on formally withdrawing the plan. Meanwhile, strategic discussions are under way to create a revised draft that:

• Meets the duty to cooperate by engaging neighbouring councils earlier.
• Provides robust evidence for water-neutrality measures.
• Aligns housing numbers with demonstrable delivery strategies.

Conclusion

The rejection of Horsham’s local plan underscores the complexity of balancing growth, environmental protection and legal compliance. While the setback is significant, the lessons learned could pave the way for a more resilient, cooperative and environmentally sound strategy in the next draft.

FAQs

Why did the Planning Inspectorate reject the plan?

Key reasons included inadequate duty-to-cooperate evidence, doubts over housing delivery soundness and an insufficient water-neutrality strategy.

How long will it take to prepare a new plan?

The council expects the process to take 18–24 months, including renewed consultations and fresh evidence gathering.

Can development proceed while a new plan is drafted?

Planning applications will still be considered, but without an adopted plan the council has less control, increasing the risk of unplanned or speculative schemes.

What is water neutrality and why is it vital?

Water neutrality ensures that new development does not raise overall water consumption. In environmentally sensitive areas like Sussex North, regulators require clear offsetting measures before permitting growth.

Where can I read the Inspector’s full report?

The document is available on the Planning Inspectorate’s website, and a summary is provided by Local Government Lawyer.