FILE PHOTO: A drone view shows construction work taking place on new homes at Whitstable Heights a new housing development, as the UK government aims to build 1.5 million new homes, in Whitstable, Britain, September 11, 2024. REUTERS/Chris J. Ratcliffe/File Photo

LONDON (Reuters) -Britain said planning applications for new homes near railway stations would receive a default 'yes' in future if they meet certain rules as it steps up efforts to encourage house building by reducing obstacles.

The government wants to build 1.5 million homes before the next election, due in 2029, but figures from the Office for Budget Responsibility earlier this year forecast it will fall short.

Under proposals announced on Tuesday, councils will also be required to alert the housing minister if they intend to reject a new housing development of 150 homes or more, and the minister will have the final say on whether it goes-ahead.

Since winning power last year, Britain's Labour government has said it wants to overhaul what it calls a broken planning system, to allow more building and help drive growth.

"We're making it easier to build well-connected and high-quality homes, using stronger powers to speed things up if councils drag their feet," housing minister Steve Reed said in a statement.

Housebuilders will be encouraged to build more homes near transport hubs because of the positive impact on jobs and growth, the government said.

The new rules about housing near stations will extend to land designated as 'Green Belt', which usually provides protection against urban sprawl.

The changes will be proposed in a new National Planning Policy Framework, which will be consulted on later this year, the government said.

(Reporting by Maya Baylis, Editing by Paul Sandle)