A new breed of funding infrastructure!
Many of you may have or have not heard the phrase - Community Infrastructure Levy commonly known as a CIL… So what is a CIL, simply put it is a charge being introduced on planning permission, when planning permission is required for the development of a building. CIL’s are proposed to aid in the scaling back of s106 agreements and aims to provide a more transparent system of funding infrastructure.
It is proposed that a CIL will be charged upon granting of a full planning permission, modifications to permissions, consent granted following enforcement or appeal and for major infrastructure works. It is suggested that GPDO works for minor household developments will not be subject to a CIL nor will change of use applications up to 100 square meters, it is also suggested that changes within use class orders is exempt as are temporary buildings...unless of course they become permanent?
Under the proposals one party or a joint party must assume liability for the CIL, these will be the people or parties that are responsible for paying the CIL. The level of payment will be set upon grant of planning permission and is proposed to be collected once liability has been assumed or development commences... in the case of larger GPDO applications a separate form will have to be submitted.
The amount a CIL will cost will depend upon either the geographical area or the intended use and it is proposed that revenue generated by the CIL charge can only be used for infrastructure related uses and this could include road, drainage, parks, rights of way, etc.
The CIL system will incorporate an appeals system should you disagree with the amount, notices etc...it is proposed that CIL’s will be introduced on the 6 April 2010. Authorities that decide to adopt the CIL will be required to complete and adopt costed infrastructure plans for their area and a draft charging schedule...in light of this it could be some time before CIL’s are adopted by many authorities given the timescales it can take for them to formally adopt documents...regardless this is an area not to be discounted when considering any type of development we will keep you advised.
For further information please contact Davies & Co.