Case study 2: Cranbrook, Devon

Cranbrook in East Devon represents a strong example of proactive local authority intervention in land assembly, as well as entrepreneurial thinking about different sources of funding including retained business rates.

Cranbrook is a large scale new community in Devon, to the north east of the city of Exeter strategically placed beside an existing railway line. It was brought forward by a consortium of private developers named East Devon Community Partners, as a commercially driven model with no publicly controlled land. It sits within East Devon District Council’s Local Plan. Outline planning was submitted in 2003 with construction beginning in 2010. Since then, three phases have been brought forward. By the end of 2015, 1,000 homes had been occupied, Cranbrook Town Council had been setup with the aim to transfer assets to them in the long term. In 2026 the population now stands at around 7,000 people with over 3,000 homes and phase 3 nearing completion.  

Phase one of Cranbrook’s development included a primary school that opened with the first homes, a local centre with shops, and a community centre. The town is constructed around a new 35-hectare country park, which plays a vital role in active living and flood resistance. A low carbon district heating network was also established, led by East Devon District Council in partnership with developers and E.ON energy. However, the delivery of Cranbrook’s town centre took longer than expected. Ultimately, ongoing delays in beginning the centre’s construction led to East Devon District Council (EDDC) stepping in. EDDC recognised that it was not sufficient to designate land for the town centre, secure Section 106 agreements and expect the market to adequately deliver. Market conditions, developer priorities and build-out rates meant that public facilities could not be delivered within the expected timescales.  

A significant catalyst for delivery came in 2017 when Enterprise Zone status was awarded to four sites, including Cranbrook Town Centre. This enabled EDDC to retain business rates growth within the district, creating a ring-fenced fund for investing in the delivery of the town centre. The fund has provided both revenue and capital investment, supporting a dedicated project team as well as projects that would otherwise have been commercially unviable without local authority intervention. This has included investment in land acquisition and the delivery of new buildings. Sustained financial support from the Enterprise Zone is also helping unlock larger projects, including the planned Health and Wellbeing Centre within the town centre. 

Control of land has been fundamental to EDDC’s delivery model. Areas of the town centre are being transferred to the Council through Section 106 agreements, while additional land has been purchased using Enterprise Zone funding. Without public ownership or assembly of land, the timing of development would be dependent on developers and their build-out programmes, limiting the Council’s ability to ensure community facilities are delivered when needed. To support delivery, EDDC operates beyond its statutory planning function. Planners working within the council’s place, assets and leisure service form a dedicated delivery team that sits outside the planning service, ensuring statutory planning responsibilities remain separate while enabling closer collaboration. This team works with planning colleagues and external partners to deliver community and economic infrastructure, taking a proactive role in masterplanning, identifying funding opportunities and coordinating development partnerships. 

An adopted Cranbrook Town Centre Masterplan provides a clear long-term vision for development. It also enables EDDC to align governance, land ownership and funding models, supported by a dedicated portfolio holder focused on delivering a town centre that meets local needs and flexibility. Since the COVID-19 pandemic, the council has also adapted its vision in response to changing market conditions. Traditional retail-led town centre development is no longer the primary focus, with greater emphasis now placed on creating mixed-use centres that support everyday living. Temporary uses, one-off events and regular markets have become increasingly important in generating activity and attracting visitors. EDDC’s focus has therefore shifted towards creating a vibrant, adaptable town centre with a strong local identity. Building that identity remains one of the council’s biggest challenges in the new town, and it continues to work closely with residents on this. 

delivering town centres in modern times requires us to tear up our old playbook of passive regulation. It really requires bold local governments, creative financial planning and an absolute willingness for local authorities to step in, seek to control land and also create supportive, adaptive policies to support delivery.”East Devon Corporate Lead, Placemaking & Major Projects

Cranbrook town centre square and a cafe. – Image credit: Lee Vilenski, CC