Scheme for developers to boost nature ‘failing’ in first year, campaigners warn

A scheme that requires developers to boost nature has delivered just a fraction of the expected new habitat in its first year, campaigners say.

Research by the Wildlife and Countryside Link (WCL) coalition of conservation groups has found that just 609 hectares (1,500 acres) of land has been secured for creation of new habitats off-site from developments, and another 93 hectares (230 acres) have been reported on the site of projects.

The figures, drawn from an official register and freedom of information requests to local authorities across England, suggest that so far, delivery of new habitat for nature is falling well short of the Government’s central estimates of nearly 5,500 hectares a year.

Conservationists warn many developments are claiming exemptions from the “biodiversity net gain” scheme, there is insufficient monitoring and enforcement, and it is failing in its ambitions to provide a boost for England’s struggling wildlife through housing and other development.

The findings come as the Government prepares to overhaul the planning system, with ministers saying they intend to reform environmental regulations to speed up the construction of new homes and infrastructure.

Conservation groups are calling on the Government to make biodiversity net gain more effective by enhancing monitoring and enforcement, reducing exemptions and setting ambitious targets for major infrastructure and marine development.

They also warn the planning reforms must not undermine protections for nature, in the face of legally-binding targets to halt species decline by the end of the decade, and ensure they deliver off-site compensation for wildlife – where harm cannot be avoided – more effectively.

Biodiversity net gain requires developers to finance the creation of habitat that not only replaces what has been lost to development, but boosts habitat overall by 10%.

Under the programme, which applies to England and came into force in February 2024, the gains for nature should ideally be on site.

If that is not possible, they can be delivered off-site by the developer, or purchased through a new private market for “credits” to pay for work elsewhere.

According to the research by the WCL, under the official biodiversity net gain offsite register local authorities reported that as of December 2024, 609 hectares had been secured for nature recovery measures.

In addition, freedom of information requests to English councils show that 93 hectares were reported as being created onsite in developments – although conservationists warn that is harder to monitor and ensure benefit for nature over time.

In total, the first year of the scheme has seen just over 700 hectares of land secured for habitat creation, well below what government agency Natural England has suggested it expects the scheme to deliver annually.

Expectations range from a low of 1,551 hectares, to a likely estimate of 5,428 hectares and an ambitious high estimate of 17,060 hectares a year.

In addition to local authority data, in the biodiversity net gain register two companies have also registered habitat banks across 20 sites totalling 291 hectares, but even including potential sites such as these, there is still a major shortfall, the conservationists warn.

Wildlife and Countryside Link also warns that few councils are going beyond the minimum 10% uplift for nature required by the scheme, a level which it is recognised will likely only balance out wildlife losses and not boost species.

Richard Benwell, chief executive of Wildlife and Countryside Link, said the policy is full of potential “but also full of holes”.

He said those included “holes in ambition, which remains limited to just about offsetting harm to habitats, holes in implementation, with huge numbers of planning applications falling through the gaps, and holes in enforcement, with no way to check that many of the promised gains for nature ever happen”.

He added: “Nature recovery and development can go hand in hand, but only if rules to protect wildlife are effective.

“Ecosystems are critical natural infrastructure and it’s vital that the planning system plays its part by dedicating enough space for nature to thrive.”

Beccy Speight, RSPB chief executive, said: “Biodiversity net gain was meant to help restore nature but with ambition set so low from the very start there was little hope of it delivering for nature or communities.

“One year on, it’s clear this scheme is a huge missed opportunity that’s currently failing on all counts.

“There is widespread support for ensuring most new developments create or restore more habitat for nature than they destroy but for that to happen we need to give local authorities the right tools and resources to support nature recovery.”

An Environment Department (Defra) spokesperson said: “For too long, nature and development have been unnecessarily pitted against each other.

“Communities and the environment deserve better than this broken status quo.

“That is why this government is working closely with the sector to make biodiversity net gain work effectively to protect our natural world.”

The Government said biodiversity net gain should be achieved onsite where possible, and the number of off-site habitat creation areas did not necessarily signify a lack of success to the policy overall.

Defra also said there were now more than 1,000 hectares on the register being managed to deliver for nature, while a new nature restoration fund would help developers meet environmental obligations faster while accelerating infrastructure projects.