The Government hopes the main elements of the Act will kick-start urgently needed major infrastructure work to generate thousands of new jobs and billions in new investment.

It will give developers of large scale business and commercial development the option to fast-track major projects.

The measures will also get building going on stalled housing sites by allowing the reconsideration of costly Section 106 agreements, which could unblock 75,000 stalled homes.

Separately 15,000 affordable homes will be delivered from new capital funding and the infrastructure guarantee.

The Act also includes the Government’s controversial plans to allow home extensions to be built without planning approval, as long as neighbours are consulted and agree.

Developers will also be allowed to take planning applications to the Planning Inspectorate where a council has consistently failed to meet statutory requirements to consider applications on time.

Communities and Local Government Secretary Eric Pickles said: “The common sense reforms in this Act will make it possible for local businesses to grow and to create the jobs and opportunities people need to get on in life.

Planning Minister Nick Boles said: “The Growth and Infrastructure Act is a major landmark for the coalition government.

“These new laws will reform our economy so it can boost investment, growth and jobs by streamlining a lot of confusing and overlapping red tape that all too often gets in the way of people’s everyday lives.