Development Checklist No 10 - Community Infrastructure Levy and Section 106 Agreements

Check 10.1: Adoption: Check whether the local authority has adopted community infrastructure levy (CIL) or is likely to have done so by the time your project is due to commence after obtaining planning permission.

Check 10.2: Rates of charge:  If it has or will, find the rate(s) of charge that apply to one or more of the different type(s) of development within your project.

Check 10.3: Commencement of Project: If CIL is not yet operational in the area, check whether it is possible to reduce or avoid  CIL by starting the project or a phase of it before the tax commences to operate.

Check 10.4:  Budget:  Where CIL will be chargeable, account for its payment(s) in the cash flow budget etc.

Check 10.5: Section 106 Agreement:   Where CIL is not adopted by the local authority, check whether any payment or other obligation will arise under a Section 106 Agreement. 

[Please note: Even where CIL has been adopted, site-specific planning obligations may arise under a Section 106 Agreement.]  

Check 10.6:  London Levy: Check for a project in London whether the Mayor's "CIL tariff"  will apply.

Check 10.7: Other Tariffs:   Where CIL does not yet apply check whether any other kind of tariff or levy applies to your project.

Check 10.8:  Exemptions:  Check whether your project is eligible for any CIL exemptions and reliefs.

Exemptions and Reliefs:

• Rebuild of Premises: A project which is a rebuilding of equal or less size than the original should not result in a charge to CIL. Following planning permission the commencement of a rebuild which is more than 110 percent of the original premises may give rise to a charge.