The Government has launched a technical consultation on new rules regarding developer contributions which will be used to fund new roads, schools, play areas and other essential infrastructure.
The Community Infrastructure Levy (CIL) has collected almost £1 billion from developers since it was introduced in 2010, in addition to the £5 billion local councils have secured from developers towards affordable housing and infrastructure through Section 106 planning obligations. 227 (67%) English planning authorities are currently charging or progressing towards charging Community Infrastructure Levy.
The proposed changes, initially announced at the 2018 Autumn Budget, attempt to ensure that the infrastructure needs of communities are identified from the outset and allow developers to understand their obligations, identify the cost and impact on a proposal, and to ensure that a viable scheme is presented. It also seeks to increase the types of project that can benefit from CIL, ensuring a wider-range of community priorities are eligible to receive funding.
The public consultation will seek views on:
- Introduction of a new strategic infrastructure tariff – this levy will help fund large-scale projects and benefit multiple communities falling under a combined local authority.
- Widening options on how contributions can be used by councils to benefit their residents.
- Increasing certainty and transparency – new rules will require councils to publish details on what has been collected and spent, so communities understand the benefit of development.
- Ensuring the Community Infrastructure Levy responds to changes in land values.
The consultation will close on 31 January 2019.
How can TFA help?
Our team can assist you in taking part in this important Government review Community Infrastructure Levy. We can assist in shaping coherent policy positions, engaging with key stakeholders in the process to inform the future direction of the Government’s policies to address the housing crisis.
