Court approvals surge as NSW councils lag on planning decisions, sparking housing debate

A newly released review shows the NSW Land and Environment Court handled a record 1,108 development-related appeals in 2025, averaging over three cases daily and marking the highest annual total since 2006. Analysis of 743 publicly available judgments found 706 appeals were approved, often after court-directed conciliation, leaving only 37 refusals - a 95% success rate for developers. The surge is linked to councils missing statutory timelines for assessing applications, allowing developers to claim a deemed refusal and take matters to court.

Notable approvals included the demolition of a 32-room Paddington boarding house, an $80 million over-55s estate in Yamba, a fast-food precinct at Kariong, and a 20-storey office tower by Bathla in Blacktown. Planning Minister Paul Scully criticised the delays as costly amid a housing crisis, while wealthy eastern suburbs recorded the highest appeal rates. Experts say the pattern reflects developers targeting valuable sites and “decision shopping,” raising concerns about legal costs, loss of local insight, and the effectiveness of recent state planning reforms.