© 2016
Community
Infrastructure Levy
The
Community
Infrastructure
Levy (CIL) is a
charge that
local
authorities in
England and Wales can impose on new
developments to help fund infrastructure
that supports the development of the area.
We provide a complete planning service via
Plans for Planning or we can supply the
plans for you to do your own planning
application.
Key Points
What Is It?
Essentially it’s another tax but it’s a tax that local authorities can set themselves
so some are greedier than others. You should expect that it won’t apply for a
domestic extension but that hasn’t stopped some council’s imposing it when
they shouldn’t. If you plan a 6m deep six bay two storey garage then you may be
over 100m² in area so should do a search on your local authority website to see
what they are likely to charge:
•
A planning charge introduced by the Planning Act 2008.
•
Enables local authorities to raise funds from developers undertaking new
building projects.
•
Funds infrastructure such as roads, schools, parks, health facilities, and
community centres.
Who Pays It?
•
Developers of new residential or commercial projects that meet certain size
or use criteria.
•
The amount is typically calculated per square metre of new floor space.
When Is It Charged?
•
Usually applies to developments that:
o
Create 100 square metres or more of new floor space, or
o
Involve the creation of a new dwelling (even if below 100 m²).
How Is It Calculated?
•
Each local authority sets its own CIL rates in a CIL Charging Schedule, based
on:
o
Type of development (e.g., residential, retail, commercial).
o
Location within the authority (some areas may have different rates).
•
Rates are index-linked and updated annually to reflect inflation.
Exemptions and Reliefs:
Some types of development may be exempt or eligible for relief, including:
•
Self-build homes
•
Affordable housing
•
Charitable developments
•
Extensions or annexes to homes (under certain conditions)
Use of CIL Funds:
•
Must be used to support the development of the area through
infrastructure.
•
A portion (called the Neighbourhood Portion, usually 15-25%) goes directly
to local communities to spend on local priorities.