CIL Update November 2013

CIL News

In April and May of 2013 the Government undertook a consultation process to establish ways in which CIL can be reformed. Since being introduced in 2010 the scheme has fallen under some criticism, so in a bid to iron out any creases that have occurred in the early years the Government have consulted a variety of organisations which have been affected by the legislation in order to make improvements to make its operation as fair, transparent and efficient as possible.

In response to the consultation the Government are amending the legislation in a number of ways including:

  • Allowing credit where changes to proposals have been made since the levy on a site has been paid. This applies to any incomplete site which and has already paid the fee
  • Exempting highway agreements relating to the trunk road network from the Regulation 123 infrastructure list
  • To help to encourage bringing empty buildings back into use  the vacancy test has been extended from being in use for a continuous 6 month period of the last year, to a continuous 6 months within the past 3 years
  • Allowing developers to pay ‘in kind’ by providing infrastructure on land other than the development site in order to implement improvement of local infrastructure under a shorter timescale, and ensuring these payments ‘in kind’ are not subject to EU procurement limits
  • Excluding residential extensions, annexes from the levy
  • Giving self-build homes relief from the levy to be reviewed after a period of 3 years to ensure this is not abused by advertising the properties on the local market after completion
  • Not amending the consultation period of the draft charging schedule at 4 weeks as it is more appropriate to allow local authorities to use their own discretion

Subject to Parliamentary processes changes should come into effect by the end of January 2014.

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