Heritage as opportunity: how to unlock the power of heritage capital for a sustainable future

At a recent conference on listed properties, one delegate posed a pointed question: “Will local authorities support the future of historic buildings, or will valuable assets be lost in bureaucratic gridlock?” It’s a timely query but rather than dwell on the difficulties, it invites us to reimagine our heritage landscape as one of immense potential.

Across the UK, local authorities are staggering under the weight of financial pressures. Some are teetering on the edge of bankruptcy; others have already issued Section 114 notices, effectively admitting that they can no longer meet their statutory obligations. Despite council tax rises, deep and wide-ranging cuts are widespread. These financial constraints are impacting all areas of local service provision (let’s not forget Birmingham’s very public bin collection woes) – but one of the most quietly tragic victims of this austerity is our historic built environment. The deterioration of our historic environment is not only a cultural loss, but a missed opportunity to unlock significant value – economic, environmental, and social – through what is increasingly recognised as “heritage capital.”

Despite financial pressures on local authorities, a transformative opportunity lies before us: to activate the untapped power of our historic built environment. While some councils are navigating severe budget constraints, this moment offers a chance to think creatively, invest strategically, and embrace our heritage as a catalyst for economic, social, and environmental renewal.

The term “heritage capital” is gaining traction in policy and planning circles, reflecting a shift in how we understand the role of historic places. Far from being burdens or nostalgic relics, heritage assets embody unique value. They contribute not only to cultural value but also offer economic potential through tourism, investment, and regeneration. Historic buildings should no longer be seen as static relics or development challenges, but as dynamic assets that generate cultural value, economic opportunity, and environmental benefits. From driving tourism and small business growth to supporting social cohesion and place identity, heritage is poised to play a central role in building sustainable communities.

Our existing planning frameworks, including conservation areas, listed building protections, and the National Planning Policy Framework, provide a strong foundation. But there is a growing recognition that we can go further – streamlining processes, investing in skilled personnel, and harnessing innovation – to make heritage work better for everyone.

Local authorities have a crucial role to play in unlocking this potential. By empowering planning departments, especially with skilled conservation and sustainability officers, councils can accelerate projects that bring buildings back to life turning vacant buildings into homes, community spaces, or local businesses that contribute to vibrant high streets and town centres.

Heritage is also a natural ally in the fight against climate change. The adaptive reuse and retrofit of historic buildings represents one of the most sustainable strategies we have. Rather than defaulting to demolition and rebuild, conserving the embodied carbon in existing structures is a smart, climate-conscious choice. And modern techniques in sensitive retrofit—when guided by expert knowledge—can dramatically enhance energy efficiency, comfort, and accessibility, all while preserving architectural character.

It’s time to challenge outdated perceptions that heritage buildings are incompatible with sustainability goals. On the contrary, they are key to achieving them. The path forward lies in integration: combining conservation expertise, sustainable design, and pragmatic planning to unlock shared value.

To do this, we need to build capacity. Central government support through funding, training, and streamlined policy can empower local teams to lead confidently. Modernised planning systems can enable faster, more transparent decisions while maintaining high standards. And with greater flexibility and digital tools, we can make it easier for developers and communities to invest in heritage-led regeneration.

Community engagement is just as essential. When local people are invited to help shape the future of historic places – through neighbourhood planning, community ownership, or creative reuse – heritage becomes a source of pride and unlocks social value. Public support grows, and with it, long-term investment.

We already know the rewards. Towns and cities that preserve and adapt their heritage see tangible benefits: increased visitor footfall, thriving local economies, higher property values, and improved well-being. These are not distant aspirations – they are achievable outcomes when heritage is recognised as an engine of inclusive, place-based growth.

The UK’s rich and diverse historic environment offers us a remarkable foundation for the future. With vision, investment, and collaboration, we can harness heritage capital to address today’s most urgent challenges – from climate action and housing to economic recovery and community resilience.

Let’s shift the narrative. Heritage is not a burden – it’s a solution. Our historic buildings are ready to serve new purposes and tell new stories. All we need is the ambition to unlock their full potential.