The Government has finalised the highest ever allocation under the Planning Delivery Grant (PDG) to further improve and speed up planning performance.

Local Authorities will receive their share of the £170 million of PDG, Planning Minister Yvette Cooper announced today.

The grant rewards local authorities for progress in online planning, speed in determining applications, improving housing stock provision, and developing plans for their communities.

Yvette Cooper said:

"The £170 million finalised today is the largest so far, up £40 million on last year. The grant is having a major impact on planning services both in improving their performance and in raising the profile of planning departments within local authorities.

"Since 2003 we have now allocated some £350 million which underlies the importance of a well-resourced local planning system to delivering sustainable communities. Some high-performing authorities will receive in excess of £1 million this year."

PDG is often used to invest in planning staff or new IT systems, although the funds are not ring-fenced. The grant has contributed to a six per cent increase in deciding applications on time against a six per cent rise in applications.

The final PDG includes adjustments for some errors made in last year allocations following incorrect performance returns from some local authorities.

To ensure the grant is not rewarding poor performance elements will be withheld where there are problems such as failure to defend against appeals and non-compliance with planning.