UK Ministry of Housing, Communities and Local Government (MHCLG) 
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Challenge
While many Local Planning Authorities (LPAs) recognise the potential of cutting-edge technologies to revolutionise their planning processes, justifying the initial and ongoing investment can be a significant hurdle. New research, commissioned by Nottingham City Council, now provides compelling evidence that the investment in 3D (three dimensional) modelling and geospatial technology not only brings tangible benefits but delivers substantial financial returns.
Approach
Nottingham City Council’s pioneering use of both 2D (two dimensional) and 3D geospatial data demonstrates how modern tools can transform their strategic and operational planning processes. The planning team imports detailed 3D digital models, provided by architects and developers, directly into their own digital model of the city, so that they can instantly visualise how the proposed development will integrate within the existing urban environment. Planning officers then thoroughly assess each scheme and check how it aligns with Nottingham’s Local Plan and vision for the development of the city. The technology developed has become an invaluable tool, facilitating more productive discussions between planning officers, applicants, other teams within the council and planning committee members. This has streamlined and significantly accelerated decision-making for major planning proposals and improved the outcomes for everyone involved.
With support from the Ministry of Housing, Communities and Local Government’s PropTech Innovation Fund, Nottingham City Council has expanded its digital capabilities to create more immersive consultation tools, strengthen partnerships with University of Nottingham and University of Bradford and commit to knowledge sharing with other Local Planning Authorities, creating a practical blueprint for other LPAs to follow.
As part of this work and to support other LPAs to experience similar benefits, it’s important to demonstrate the value for money resulting from adopting this advanced technology. Nottingham City Council therefore commissioned ConsultingWhere to conduct a comprehensive analysis of the financial impact of its 3D modelling tools across various planning functions. The 3D modelling tools included the development of a digital twin – an accurate, realistic virtual representation of the city. The analysis incorporated considerations such as the monetary value of making quicker, more informed decisions within development management, for the urban design team to assess site capacity, and for the sustainability of schemes and its use to attract inward investment.
The study’s methodology included a comprehensive literature review, interviews with officers and developers to uncover the benefits and financial modelling using cost-benefit analysis and real-world validation through the experience of City of Bradford Metropolitan District Council. Although the requirements of each LPA are different, this work provides a viable framework for other LPAs to assess and justify their own digital transformation journey.
Results
The financial case for investment in 3D modelling and geospatial technology is compelling. The independent analysis, carried out by ConsultingWhere, revealed a benefit to cost ratio of 2:1 for a small subset of internal planning processes, demonstrating that the financial benefits significantly outweigh the investment costs. This means that for every £1 of investment in the use cases quantified in the study, the LPA can expect to see a return of £2 in efficiency and monetary savings over a 10-year period.
Further potential benefits were also identified for developers and planning consultants, although these need to be validated by wider consultation.
The use of 3D visualisations by the urban design team and planning officers during the pre-application stage, for design review panels and at planning committee meetings, made it easier and quicker for key stakeholders including officers, developers, and planning committee members to:
- review proposals and reach a common understanding
- reach consensus at every decision-point.
This led to faster, improved decision-making and planning officer time-savings. This cost-benefit analysis provides LPAs with evidence to support investment proposals and funding applications.
Next steps
The benefits of 3D technology can scale much more widely into other planning functions such as public consultation, site identification, housing delivery, and enforcement. The potential also extends beyond planning to other sectors such as environment, transport and safety which would bring further public sector benefits for the costs.
For more information, see the Nottingham 3D ROI report.