The Community Infrastructure Levy (CIL) is a planning charge on new development and is a way of assisting local authorities to deliver infrastructure to support the development of their area.
Lichfield District Council has recently adopted its CIL Charging Schedule, and all planning applications submitted to Lichfield District Council which gain permission after 13 June 2016 (regardless of the date of submission) may be liable to pay CIL.
The CIL is calculated on a per square metre basis, and the Schedule states that CIL will be payable on the following developments:
- Development of buildings into which people normally go, where the area of new build is more than 100 square metres; and
- The creation of 1 or more dwellings (even where the floorspace is less than 100 square metres) (note below the exception for self build developments).
Different types of development will be liable to pay different amounts as set out in the table below (please refer to the full Charging Schedule for maps of the Charging Zones):
CIL Charge (per sq. m)
- Market houses within Strategic Development Allocations and the Broad Development Location defined in the Local Plan Strategy 2008-2029 adopted 17 February 2015 - £14
- Market houses in lower value zone (refer to Figure 1 in the Schedule) - £25
- Market houses in higher value zone (refer to Figure 1 in the Schedule) -£55
- Supermarket - £160
- Retail Warehouse - £70
- Neighbourhood Convenience Retail - £20
- All other development including residential apartments - £0
Various types of developments are not liable to pay CIL, including:
- Development (for anything other than a new dwelling) which creates less than 100 square metres of floor space;
- The creation of structures or buildings into which people do not normally go, or only go intermittently; and
- Mezzanine floors added to existing buildings (provided no other works are involved).
Other types of development will benefit from exemptions or relief from paying CIL:
- Development of a self build home, extension or annex;
- Development of social housing;
- Development which will be used for charitable purposes; and
- Apartments, which are subject to a nil charge.
Where existing buildings, which are on the site of the building to be developed, are being demolished, the floor space of the demolished building/s can be deducted from the floor space being built, thus leading to a reduced or zero CIL charge. However, there are various requirements which need to be met in order to benefit; for example, the development being demolished must have been in use for 6 continuous months in the 3 years prior to the planning permission authorising the development.
Landowners and Developers with interests in the Lichfield District Council area should therefore be wary of how CIL may affect the viability of their schemes, particularly because the requirement to pay CIL could have a major effect on the value of land which they intend to sell or purchase. The introduction of the CIL may also have an impact on Option or Promotion agreements which are being entered into.
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