Do I Need Planning Permission for a Commercial Property?

If you are buying, leasing, extending or making changes to a commercial property, it is important to understand whether planning permission is required before you commit to the project.

The answer will depend on what you are proposing to do.

You do not need planning permission simply because a property is being used for commercial purposes. However, permission may be required if you want to change how the property is used, extend the building, alter its external appearance or carry out other development.

There are also situations where you may not need to make a full planning application but still need another type of approval, such as prior approval, advertisement consent or Listed Building Consent.

This can make the process confusing, particularly if you have never dealt with the planning system before.

Below, we explain the main situations in which planning permission may be required for a commercial property, as well as the checks to make before starting work or agreeing to buy or lease premises.

 

When Does a Commercial Property Need Planning Permission?

Planning permission is generally required when you carry out what the planning system defines as development.

For commercial properties, this could include:

  • constructing a new commercial building
  • extending an existing building
  • materially changing how a property is used
  • making certain external alterations
  • installing external equipment
  • creating a new shopfront
  • carrying out development within the grounds of a commercial property


However, not every change to a commercial property requires a full planning application.

Some works are not considered development at all, while others may already have planning permission through what are known as permitted development rights.

A useful starting point is therefore to ask two questions:

What is the property lawfully used for now?

and

What exactly are you proposing to change?

Those two points can make a significant difference to whether planning permission is required.

 

Common Commercial Projects and Whether Planning Permission May Be Required

The table below provides some common examples.

 

Proposal Is planning permission likely to be required?
Construct a new commercial building Usually
Build a substantial extension Usually
Carry out some smaller commercial extensions Not always – permitted development rights may be available
Refurbish the interior of a building Usually not for planning purposes
Change a shop into an office Often not, as both can fall within Class E
Change an office into a shop Often not, as both can fall within Class E
Change a shop into a restaurant Often not for the change of use itself if both uses fall within Class E
Change a shop into a hot-food takeaway Planning permission will normally need to be considered
Convert Class E premises into flats Permitted development may be available, but prior approval is normally required
Install a new shopfront May require planning permission
Install an extraction flue May require planning permission
Install external air-conditioning equipment May require planning permission
Put up commercial signs Advertisement consent may be required
Alter a listed commercial building Listed Building Consent may be required

 

These are general examples rather than confirmation for a particular property. The site’s planning history, location, existing permissions and local restrictions can all affect the answer.

 

Do I Need Planning Permission to Change the Use of a Commercial Property?

Possibly.

A change of use happens when you start using a building or piece of land for a different purpose.

However, not every change of use needs planning permission.

The planning system groups many building uses into use classes. Where the existing and proposed uses fall within the same use class, moving from one to the other will generally not amount to a change that requires planning permission.

For commercial property owners, one of the most important of these is Class E.

 

What Is Class E?

Class E is formally known as the Commercial, Business and Service use class.

It covers a broad range of commercial activities, including many:

  • shops
  • offices
  • cafés
  • restaurants
  • banks and professional services
  • gyms and indoor recreation facilities
  • health centres and clinics
  • nurseries
  • research and development uses
  • light industrial activities that are suitable within a commercial, business or service area


This gives many commercial properties a degree of flexibility.

For example, imagine you take on premises that are lawfully being used as a shop and you want to turn them into an office.

Both activities can fall within Class E.

In many circumstances, this means planning permission is not required simply to change from the shop use to the office use.

The same principle can apply to several other changes within Class E.

However, there are some important qualifications.

You still need to check that the existing lawful use really is Class E. You also need to consider whether previous planning permissions contain conditions restricting how the building can be used.

Any physical alterations you make to accommodate the new business may also require separate permission.

So, although Class E provides considerable flexibility, it should not automatically be assumed that you can use every Class E building for every Class E purpose without making any further checks.

 

What Is a Lawful Use?

The term lawful use describes the use of a property that is recognised as lawful for planning purposes.

This is important because the business currently operating from a property does not necessarily tell you the full story.

For example, a building might currently look like an ordinary retail unit, but its planning history could contain specific permissions, conditions or restrictions that affect what it can legally be used for.

This is one reason why checking the planning history of a commercial property is so important before buying it, taking a lease or changing its use.

Where there is uncertainty, it may be possible to apply for a Lawful Development Certificate to formally establish that an existing or proposed use is lawful.

We explain this in more detail later in the article.

 

What Is a Sui Generis Use?

You may also come across the planning term sui generis.

It sounds complicated, but it essentially refers to a use that falls outside the standard planning use classes.

Some commercial activities have their own distinctive planning impacts and are therefore treated separately.

Examples can include:

  • hot-food takeaways
  • pubs and drinking establishments
  • nightclubs
  • betting offices
  • certain vehicle-related uses


Because these uses fall outside Class E, converting a Class E property to one of them may require planning permission.

For example, there is an important planning difference between converting a shop into a restaurant and converting it into a hot-food takeaway.

A restaurant can fall within Class E.

A hot-food takeaway is generally treated as sui generis.

That means a proposal to convert a shop into a takeaway will normally require much more careful planning.

The council may look at issues such as:

  • noise
  • cooking smells
  • extraction equipment
  • opening hours
  • deliveries
  • waste storage
  • parking
  • highway safety
  • the effect on neighbouring properties


This is why it is important to check the exact proposed use rather than assuming all food businesses are treated in the same way.

 

Can I Change a Commercial Property Into Residential Use?

In some circumstances, yes.

There are permitted development rights that can allow certain buildings within Class E to change to residential use without making a conventional full planning application.

One important route is known as Class MA, which relates to changes from Class E commercial, business and service uses to Class C3 residential use.

However, this does not mean you can simply convert any shop or office into flats without contacting the council.

The development must meet the relevant legal requirements, and an application for prior approval is normally required.

The building also needs to meet the qualifying conditions for the permitted development right.

For example, its previous use, planning history and location can all be important.

There are also certain types of land and buildings where Class MA cannot be used, while an Article 4 Direction may remove the permitted development right in particular areas.

If the proposal does not qualify for permitted development, a full planning application may instead be required.

For anyone considering buying a commercial building specifically to convert it into residential accommodation, checking this position before purchasing the property can be extremely important.

 

Can I Change a Commercial Property Into Residential Use?

 

What Is Permitted Development?

Permitted development rights are planning permissions that have already been granted nationally for particular types of development.

If your proposal falls completely within the rules of a permitted development right, you may not need to make a normal planning application.

Commercial permitted development rights can cover certain:

  • changes of use
  • extensions
  • alterations
  • industrial and warehouse developments
  • changes from commercial to residential use


Every permitted development right has its own limitations and conditions.

This means it is not enough to establish that a permitted development right exists. Your specific proposal must comply with all applicable requirements.

A common mistake is to think:

“It is permitted development, so I don’t need to do anything.”

That is not always the case.

Some permitted development rights require an application to the local planning authority for prior approval before the development can begin.

 

What Is Prior Approval?

Prior approval is different from a normal planning application.

With a full planning application, the council considers the proposal against the wider development plan and relevant planning considerations.

With prior approval, the principle of the development has already been granted under permitted development legislation, provided all relevant requirements are met.

The council instead considers particular matters specified by that permitted development right.

These can vary depending on the proposal, but may include issues such as:

  • transport and highways
  • contamination
  • flooding
  • noise
  • the impact on nearby commercial activities
  • natural light
  • fire safety in relevant cases


Prior approval, therefore, tends to be more focused than a full planning application.

However, it is still an application process.

You also need to demonstrate that the development genuinely qualifies for the permitted development right you are relying on.

This is why understanding the difference between planning permission, permitted development, and prior approval is important. 

 

Do Internal Alterations to Commercial Premises Need Planning Permission?

Normal internal refurbishment works will generally not require planning permission in their own right.

For example, a business may be able to:

  • install internal partitions
  • replace flooring
  • redecorate
  • alter internal layouts
  • install counters or shelving
  • carry out a commercial fit-out


Without needing planning permission simply for those works.

However, there are important exceptions.

Firstly, the works may form part of a wider change of use that does require planning consideration.

Secondly, Building Regulations may apply even when planning permission does not.

Thirdly, additional controls apply to listed buildings.

If your commercial property is listed, internal works that affect its special architectural or historic interest can require Listed Building Consent.

This is one of the clearest examples of why “I don’t need planning permission” does not necessarily mean “I don’t need any consent”.

 

What Is the Difference Between Planning Permission and Building Regulations?

Planning permission and Building Regulations are separate systems.

This often causes confusion.

Planning permission is mainly concerned with whether development is acceptable in planning terms. This can include the use of the property, design, appearance, neighbouring amenity, highways and the wider impact of the proposal.

Building Regulations deal with the technical standards of building work, including matters such as:

  • structural safety
  • fire safety
  • insulation
  • ventilation
  • drainage
  • accessibility
  • electrical safety


A project can therefore:

  • need planning permission and Building Regulations approval
  • need one but not the other
  • require neither
  • require additional consents as well


It is important to establish all of the approvals required for your particular project rather than treating planning permission as the only consideration.

 

planning conditions

 

Do Commercial Extensions Need Planning Permission?

Commercial extensions may require planning permission, although permitted development rights apply to some types of commercial and industrial premises.

Whether you can rely on permitted development will depend on factors including:

  • what the building is currently used for
  • the size of the proposed extension
  • where it will be positioned
  • the dimensions of the existing building
  • previous development on the site
  • the location of the property
  • whether permitted development rights have been restricted


If the extension does require planning permission, the council may consider matters such as its:

  • size and scale
  • design
  • appearance
  • effect on neighbouring properties
  • impact on parking
  • access arrangements
  • servicing requirements
  • impact on the highway
  • effect on heritage assets


For larger commercial developments, additional reports or technical information may also be needed.

 

Do External Alterations to a Commercial Property Need Planning Permission?

Some external alterations require planning permission, even when there is no change to the property’s use.

Examples could include:

  • installing a new shopfront
  • significantly changing doors or windows
  • installing roller shutters
  • external cladding
  • extraction flues
  • ventilation equipment
  • refrigeration equipment
  • air-conditioning units
  • external plant or machinery


Whether permission is needed depends on the nature and extent of the works.

This is particularly relevant for restaurants, cafés and takeaways.

You might establish that the proposed use itself is acceptable, but still need planning permission for an extraction system or other external equipment needed to operate the business.

For this reason, we recommend reviewing the whole project rather than assessing the change of use and building works separately.

 

Do I Need Planning Permission for a Shopfront?

A new or substantially altered shopfront can require planning permission.

Councils often pay particular attention to shopfront design where premises are located:

  • in a conservation area
  • within a historic town centre
  • in a listed building
  • within an area covered by specific design policies


The council may consider the design of the shopfront, materials, proportions, signage, accessibility and how it relates to the wider building and street.

Even relatively modest shopfront changes can therefore benefit from early consideration.

 

Do I Need Planning Permission for a Shopfront?

 

Do I Need Planning Permission for Commercial Signs?

Commercial signs are dealt with through a separate part of the planning system known as advertisement consent.

Not every sign needs a specific application.

Some advertisements can be displayed without applying for express consent, provided they comply with the relevant rules.

Others require an advertisement consent application.

This can depend on matters such as:

  • the type of sign
  • its size
  • its position
  • whether it is illuminated
  • the type of illumination
  • the building it is attached to
  • the surrounding area


Signs on listed buildings require particular care, and separate Listed Building Consent may also be required.

This means a business could have permission to operate from a building but still need a separate approval for its proposed signage.

 

What If the Commercial Property Is Listed?

A listed building has additional legal protection because of its special architectural or historic interest.

If your commercial property is listed, you may require Listed Building Consent for works that affect its character.

Importantly, this is not limited to the outside of the building.

Internal changes can also require consent.

Examples might include alterations to:

  • historic walls
  • staircases
  • doors
  • windows
  • fireplaces
  • ceilings
  • decorative features
  • original layouts
  • shopfronts


Planning permission and Listed Building Consent are separate.

Depending on the project, you may need one, both or additional approvals.

If you are considering taking on listed commercial premises, it is sensible to investigate the building’s status and planning history before committing to significant alterations.

 

What If the Property Is in a Conservation Area?

Conservation areas are designated as having special architectural or historic interest.

Being in a conservation area does not mean that no development can take place.

However, councils are required to pay particular attention to preserving or enhancing the character and appearance of these areas.

As a result, alterations such as shopfront changes, signage, extensions and external equipment may require more careful consideration.

Local restrictions can also affect permitted development rights.

 

What Is an Article 4 Direction?

An Article 4 Direction allows a local planning authority to remove particular permitted development rights from a defined area.

In simple terms, something that would normally be permitted development elsewhere may require a planning application at your property because the council has removed that particular right locally.

Article 4 Directions are particularly important when considering certain commercial-to-residential conversions.

For example, an area may have restrictions designed to protect important employment or commercial premises from being converted to housing without a full planning application.

This is why checking the national permitted development rules alone is not always enough.

You also need to understand whether any local restrictions apply to the site.

 

Why Does the Planning History of a Commercial Property Matter?

Before changing the use of a commercial building or carrying out significant works, it is worth reviewing its planning history.

Planning decisions from previous years can still affect what you can do today.

Previous planning permissions may contain planning conditions.

A planning condition is a requirement or restriction attached to a planning permission.

For commercial premises, conditions might control matters such as:

  • opening hours
  • delivery times
  • the permitted use
  • noise
  • external lighting
  • extraction equipment
  • servicing
  • parking
  • outside storage
  • the hours particular equipment can operate


For example, a property may fall within Class E, but an earlier planning permission could contain a condition restricting it to a particular activity.

In those circumstances, simply looking at the current use classes could give you the wrong answer.

Planning history should therefore be part of the assessment, particularly when buying or leasing a property for a specific business.

 

Buying or Leasing Commercial Premises? Check the Planning Position First

One of the best times to investigate planning is before you become legally or financially committed to a property.

Imagine you find what appears to be an ideal unit for your business.

The location is right, the building is large enough, and the rent works for you.

You sign a lease and then discover that:

  • your proposed use requires planning permission
  • the council’s policies do not support that use in the location
  • opening hours are restricted
  • the extraction system you need would be difficult to obtain permission for
  • the property is listed
  • there is an Article 4 Direction
  • previous planning conditions restrict what the building can be used for


Those issues can have a major effect on whether the premises are suitable.

Before purchasing or leasing a commercial property, useful planning checks can include:

  • the lawful existing use
  • the property’s planning history
  • existing planning conditions
  • the proposed use class
  • relevant permitted development rights
  • Article 4 Directions
  • conservation area status
  • listed building status
  • local planning policies
  • whether physical alterations are required
  • whether signage or external plant needs consent

These checks can help identify problems before significant money is committed.

 

What If I Am Not Sure Whether Planning Permission Is Required?

If the position is unclear, it is usually better to establish it before beginning work.

There are several ways this can be approached.

 

Review the Planning History

The first step is often to understand what permissions have previously been granted and whether any conditions affect the property.

 

Establish the Lawful Existing Use

It is important to establish what the building is legally being used for rather than simply assuming its use from the current occupier.

 

Check the Proposed Use

The existing and proposed uses can then be compared to establish whether they fall within the same use class or whether a material change of use may occur.

 

Check Permitted Development Rights

If the proposal would ordinarily need planning permission, there may be a permitted development route available instead.

 

Check Local Restrictions

Article 4 Directions, heritage designations and previous planning conditions may affect what would otherwise be permitted.

 

Consider a Lawful Development Certificate

Where formal confirmation would be useful, an application for a Lawful Development Certificate may be appropriate.

 

What Is a Lawful Development Certificate?

A Lawful Development Certificate, often shortened to LDC, provides formal confirmation from the local planning authority about whether an existing or proposed use, operation or development is lawful for planning purposes.

There are certificates for both existing and proposed development.

For example, you might consider applying for a certificate where you believe that changing the use of your commercial premises does not require planning permission but want formal confirmation of that position.

This can be particularly useful where:

  • you are buying or selling a property
  • a lender requires certainty
  • you are taking a commercial lease
  • the planning history is unclear
  • you want evidence for a future property transaction
  • significant investment depends on the development being lawful


An LDC is not the same as planning permission.

The council is not deciding whether it thinks the proposal is a good idea in planning terms. It is a matter of deciding whether the proposal is lawful based on the relevant facts and planning law.

 

what is a lawful development certificate

 

What Does the Council Consider If I Need Commercial Planning Permission?

If a full planning application is required, the council will assess the proposal against its planning policies and other relevant planning considerations.

Exactly what matters will depend on the development.

Common issues for commercial applications include:

 

The Proposed Use

Is the use suitable for this location?

For example, a commercial use that generates noise late at night might be more difficult next to residential properties.

 

Neighbouring Properties

Could the development create unacceptable noise, disturbance, smells, overlooking or other impacts?

 

Highways and Parking

Will customers, employees or deliveries create additional traffic? Is there suitable access? Is adequate parking or cycle storage available?

 

Deliveries and Servicing

How will goods be delivered and waste collected? Could these activities affect surrounding properties or traffic?

 

Opening Hours

Late-night or early-morning opening can be an important consideration where homes are nearby.

 

Design and Appearance

Does the proposed building or alteration fit appropriately with its surroundings?

 

Heritage

Would the proposal affect a listed building, conservation area or another heritage asset?

 

Noise and Odour

This can be particularly important for restaurants, takeaways, industrial premises and developments involving machinery.

Depending on the proposal, reports may be required to demonstrate that these issues have been properly considered.

 

What Information Might a Commercial Planning Application Need?

A commercial planning application can involve more than completing an application form.

Depending on the project, supporting documents could include:

  • site location plans
  • existing and proposed drawings
  • planning statements
  • design and access information
  • transport information
  • parking assessments
  • noise assessments
  • heritage assessments
  • ecology information
  • flood risk information
  • ventilation or extraction details
  • odour assessments
  • lighting details
  • drainage information


Not every application requires every document.

The information needed should be proportionate to the proposal and the issues affecting the site.

Identifying these requirements early can help avoid unnecessary delays once the application is submitted.

 

How Long Does Commercial Planning Permission Take?

For many smaller commercial planning applications, the statutory determination period is normally eight weeks from validation.

Major development normally has a 13-week determination period.

These are statutory timescales rather than guarantees that every decision will be issued within that period.

Applications can take longer where, for example:

  • further information is required
  • amendments are requested
  • technical issues need resolving
  • consultees raise concerns
  • the council has a significant workload
  • an extension of time is agreed

You should also allow time before the application is submitted.

Preparing drawings, planning documents and technical reports can form an important part of the programme.

If a business opening, property purchase or development programme depends on planning permission, this should be factored into your timescales from the outset.

 

Can I Start Work Before Planning Permission Is Granted?

If planning permission is required, starting development without it can create significant risk.

In some circumstances, a retrospective planning application can be made after development has taken place, but there is no guarantee that permission will be granted.

The council can take planning enforcement action where development has been carried out without the necessary permission.

Depending on the circumstances, this could require:

  • an unauthorised use to stop
  • works to be changed
  • unauthorised development to be removed
  • particular planning requirements to be complied with


Unauthorised development can also cause difficulties later when selling, refinancing or leasing a property.

Establishing the planning position before starting work is generally far safer than attempting to resolve problems afterwards.

 

Do I Need a Commercial Planning Consultant?

Not every minor alteration to a commercial property requires professional planning advice.

However, speaking to a commercial planning consultant can be particularly useful where:

  • you are unsure whether planning permission is required
  • you are buying or leasing a property for a particular use
  • you want to change the use of commercial premises
  • your proposal involves a sui generis use
  • you want to convert commercial property to residential
  • permitted development or prior approval may apply
  • the property has a complicated planning history
  • planning conditions affect the site
  • the building is listed
  • the site is in a conservation area
  • an Article 4 Direction may apply
  • the proposal could affect nearby homes or businesses
  • you are planning a commercial extension
  • a previous planning application has been refused


Planning issues are often easier and less expensive to address before a project is committed to.

We can review the site, its planning history and your proposals to establish what approvals are likely to be required and identify potential planning issues at an early stage.

Where an application is necessary, we can also advise on the most appropriate planning strategy, prepare and manage the application and communicate with the local planning authority throughout the process.

 

Need Advice About Planning Permission for a Commercial Property?

Commercial planning does not have to be unnecessarily complicated.

The important thing is establishing the position early.

Whether you are taking on new business premises, changing the use of an existing building, extending a commercial property, or planning a larger development, we can help you understand what permissions are required and the best way to move your project forward.

At MPD Built Environment Consultants, our commercial planning consultants support property owners, businesses and developers with commercial planning matters ranging from initial feasibility advice and change of use through to planning applications, prior approval and appeals.

If you have a commercial property or development in mind, speak to our team to discuss your plans.