Labour must beware the pitfalls of its new towns policy

‘Homes are not just buildings, but catalysts for thriving, inclusive communities. By setting higher standards now, we can build a healthier society.’ Photograph: Robert Stainforth/Alamy

As a former town planning policy adviser to both Tony Blair and David Cameron, I have only one question about Labour’s proposed new towns: who will benefit from the significant increase in land value arising from granting planning permission for them (Labour will aim to reveal new town sites within first year in power, 20 May)?

Postwar new town legislation forced landowners to sell land to the state at the existing use value. The surplus from the later resale of the land at market prices paid for infrastructure and affordable housing. Angela Rayner gave no suggestion that Labour would deploy such heavy artillery. But if it does, it would be well advised not to announce new town locations until it has control of the land, “grey belt” or otherwise.