Planning status and land supply in Derby
For land, planning status decides almost everything a lender will offer, so start with the local position.
Derby City Council is the planning authority. The Derby City Local Plan Part 1: Core Strategy was adopted on 25 January 2017 for 2011 to 2028 with a requirement of 11,000 homes, with South Derbyshire and Amber Valley taking part of the city's unmet need. A new Local Plan for Derby 2023 to 2043 reached its Regulation 19 stage in July 2026 and aims for a minimum of 12,500 new homes.
Derby's five-year housing supply statement at 1 July 2026 uses the standard method figure of 960 homes a year, in place of the adopted plan's 647, and reports a supply of 2.39 years. The statement records a Housing Delivery Test result of 83%, published in December 2024, and notes the government has not published an update since.
What a Derby site is worth to a lender
Land has no index of its own, so lenders and valuers work back from what can be built. A residual appraisal starts with the gross development value, takes off build costs, fees, finance and the developer's profit, and treats what is left as the most the land is worth. As a sense check on the July 2026 Derby averages, six semi-detached houses at £210,000 each would have a GDV of about £1.26 million; the land would be worth only a fraction of that once costs and profit come off.
Without planning permission, a lender values the land on its existing use, such as farmland or a paddock, not on what might be built. On our panel 17 of the land lenders covering Derby consider sites with planning and 5 consider sites without it. Run your own figures through the residual land value calculator.
Stamp Duty Land Tax on land in Derby
Bare land with no dwelling on it is normally taxed at the non-residential rates of Stamp Duty Land Tax: nothing on the first £150,000, 2% on the next £100,000 and 5% above £250,000, with no surcharge for additional property. A £300,000 site would pay about £4,500. If the land comes with a house, residential rates may apply instead, so check with your solicitor. Derby City Council may also charge the Community Infrastructure Levy and seek section 106 contributions once permission is granted, and both belong in the appraisal.
From land loan to build facility
A land bridge is short term, and lenders want to see how it ends. The usual exit is a development loan once the scheme is ready to start, which repays the land bridge and funds the build in stages; see development finance in Derby. Other exits are a sale of the site, often after planning has added value, or a refinance. Our guide to land finance covers the wider rules, including what lenders want to see when you apply.
Land lenders for Derby
For Derby, our panel has 18 lenders that offer bridging to buy land. Each is named below, with a link to our review where we have one. Coverage comes from each lender's own criteria, and we confirm it for the exact address before we approach anyone.
Land finance in Derby: questions
Can I get finance to buy land in Derby without planning permission?
Some lenders consider it, valuing the land on its existing use and lending a lower share of value. On our panel 5 of the land lenders that cover Derby consider land without planning.
Who grants planning permission in Derby?
Derby City Council. Core Strategy adopted 25 Jan 2017.
What tax do I pay when buying land?
Usually Stamp Duty Land Tax at non-residential rates: 0% to £150,000, 2% to £250,000 and 5% above. A £300,000 site would pay about £4,500.
How is a land bridge repaid?
Most often by a development loan when the build starts, or by selling the site, sometimes after planning has been granted.
