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MPs have demanded that the government explain what 鈥渟ustainable development鈥� means after Chancellor George Osborne said it would give companies a presumption in favour of development in yesterday鈥檚 Budget.

The environmental audit committee has produced a report that welcomes. the rule, but it critical of the government for not defining the term.

鈥淲e are concerned that the intention to introduce a presumption in favour of sustainable development might not be accompanied by a statutory description of what that means.

鈥淎s a result, the principles of sustainable development 鈥攍iving with environmental limits, ensuring a strong, healthy and just society, achieving a sustainable economy, promoting good governance and using sound science responsibly鈥攁re unlikely to be adequately represented in the planning process,鈥� the report said.

The Chancellor yesterday confirmed that there would be a 鈥渘ew presumption in favour of sustainable development鈥� in a major shakeup of the planning system.

The report, entitled Sustainable Development in the Localism Bill, was released on Tuesday rather than being a direct response to the Budget.