(12 November), Leeds City Council became the first in Yorkshire to formally adopt the Community Infrastructure Levy (CIL), which it intends to implement from 6 April 2015. CIL will affect all major planning applications made to the Council after December.
John Brooks, Turley Leeds Office Director, said:
“Developers in Leeds need to take note that the Council’s decision to go ahead with CIL is irreversible – the General Election is unlikely to alter its course either. So, to avoid incurring this additional cost for existing projects, applications need to be submitted this side of Christmas.”
CIL will affect residential, supermarket, comparison retail and office developments. The charges will apply as follows:
- Housing developers can expect to be charged £90 per square metre in the north of Leeds, varying between £5 and £45 per sq m. in all other areas of the Leeds District
- Supermarkets of 500 square metres and above will be required to pay between £110 and £175 per square metre depending upon their location within or outside the City Centre
- Office developments in the City Centre will be charged £35 per sq m. of floor space
- Publicly funded developments or those for not-for-profit organisations will not be subject to a charge – all other uses will pay £5 per sq m.
CIL funding will contribute to local infrastructure schemes, including: River Aire Flood Alleviation Scheme; secondary and primary education; community sports facilities; public realm improvements, and; public health facilities.
Amanda Beresford, Partner and Head of Planning at Shulmans, said:
“Where it is not possible to get planning permission before CIL applies it is important to ensure that all contracts, options and development agreements relating to relevant developments take account of the liability to pay CIL and any calculations of CIL take full account of any available exemptions in assessing viability.”
“Also, remember that for residential developments affordable housing will still be covered by S106 Obligations and that the new rate is 35%.”