Editor's note: This brief was summarised by The Property AI Newsroom from a report by Gov.UK Housing. Read the original article for full details.

Government Announces Major Devolution Reforms Impacting Housing and Planning

The UK Government has set out reforms to devolve power from Whitehall to regional authorities, including new powers over housing, planning, and regeneration. The announcement was made by Communities Secretary Steve Reed at the Remaking the State Annual Conference 2026 in London.

The reforms are part of the English Devolution and Community Empowerment Act, which makes devolution the default option for regions that want it. Under the Act, mayors will receive new powers over key areas such as transport, planning, housing, and regeneration. The Government describes this as the biggest transfer of power out of Whitehall in a generation.

The speech highlighted that England has some of the widest regional inequalities in Europe, with significant economic divides both between and within communities. The Government aims to address these divides by redistributing decision-making closer to local communities and integrating services at the local level.

A new Overnight Visitor Levy was also announced as a first step towards fiscal devolution. This measure will allow local leaders to generate revenue from the over 130 million overnight visits England receives each year, with funds directed towards local priorities.

For letting agents and inventory clerks, these changes could mean that local authorities and mayors will have greater influence over housing policy, planning decisions, and regeneration projects in their areas. The reforms are intended to make public services more accountable and responsive to local needs.