Alexa Culver

This Practice Note explains the current position on biodiversity offsetting and mandatory and voluntary nature markets. It explains what biodiversity offsetting is, the defining characteristics of nature markets, drivers for market participants, market rules, the ‘stacking’ of multiple nature benefits and the expected future direction of biodiversity offsets and nature markets.

This Practice Note sets out how environmental delivery plans (EDPs) and the Nature Restoration Levy introduced under Part 3 of the Planning and Infrastructure Act 2025 (PIA 2025) apply to developments in England, with practical advice points and an EDP due diligence checklist for developers.Speed readPIA 2025, Pt 3 reframes environmental delivery in planning, shifting efforts away from site-specific mitigation to strategic approaches delivered via EDPs and a national levy. The key practical tasks for lawyers are to interpret where and how EDPs apply, advise developers to quantify levy and compliance costs, and ensure continued compliance with environmental obligations that are not within EDP scope. Developers should keep options open where levies are voluntary so that cost, planning and reputational risks can be managed.PIA 2025, Pt 3 is to be brought into force by commencement regulations. The Nature Restoration Levy Regulations 2026 (NRL Regulations), SI 2026/1020 came into force on 11 September 2026 and set out the detailed operation of the levy. Government guidance ‘Using the nature