The Community Infrastructure Levy (CIL) is a charge which developers have to pay to the local authority (North Somerset Council) towards the cost of the infrastructure that will support their development.
The Parish Council gets a proportion of this money:
The CIL Regulations state that a Parish Council must use CIL receipts to support the development of the local council’s area, or any part of that area, by funding:
- the provision, improvement, replacement, operation or maintenance of infrastructure; or
- anything else that is concerned with addressing the demands that development places on an area
More information on the Community Infrastructure Levy and how this affects Backwell
The Community Infrastructure Levy (CIL) is a way of collecting financial contributions from the developer towards the provision of infrastructure required to support growth in North Somerset. The criteria are similar to those of the Section 106 agreement.
CIL charges are based on a tariff of rates that have been set through public consultation and examination by the Planning Inspectorate at North Somerset Council (NSC). The rates are non-negotiable and must be paid within 60 days of commencement of development.
In North Somerset, charges will apply to residential, retail and industrial development, where this results in either the creation of a new dwelling or where there is 100sqm or more of newbuild floorspace.
Certain types of development are nationally exempt from CIL. The main exemptions are affordable housing, self-build development and charitable development for the delivery of charitable purposes. Fixed rates are charged per sqm of new development.
How much will Backwell Parish Council receive:
Town and Parish Councils in North Somerset will receive a proportion of the CIL funds collected from development in their Town or Parish.
The proportion that will be passed to Town and Parish Councils is:
- Where there is no neighbourhood plan in place, 15% of CIL receipts from development within the Parish area up to a maximum of £100 per pre-existing dwelling per annum.
- Where a neighbourhood plan is in place, 25% of CIL receipts from development within the Parish area, with no maximum amount.
Once allocated, the Town/Parish Council has a five year window in which to spend the funds. With NSC’s permission, it is possible to carry funds over if it is thought that a major project could be funded.
There is a temptation to spend CIL receipts quickly on short term/quick win infrastructure projects, however we should also consider the long-term housing growth and resulting infrastructure needs when developing our plans for the spending of CIL. It may take some time for sufficient funds to accumulate for more strategic infrastructure or there may be other funding opportunities which will allow the delivery of more significant infrastructure projects which would benefit the local community.
Further information on the Community Infrastructure Levy in North Somerset can be found on their website.