CIL red tape set for cut

4 June 2016 – by Louisa Clarence-Smith

The government’s specially appointed task force is to call for a radical overhaul of the community infrastructure levy six years after it was introduced.

Red tape

It will recommend a major policy U-turn, stripping CIL back to its original purpose by funding local infrastructure with a simple, national base tax on all new developments.

Section 106 charges would return for infrastructure requirements on large developments.

The changes are expected to be considered after parliament’s summer recess. The recommendations come from the Department for Communities and Local Government’s CIL review panel, set up as an independent working group chaired by former British Property Federation chief executive Liz Peace.

Changes are likely to need primary legislation and could be inserted into the Neighbourhood Planning and Infrastructure Bill.

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CIL was introduced in 2010 to create a “fairer, faster and more certain and transparent” levy than s106 payments, which can require lengthy negotiations.

However, the regulations have been amended every year, adding layers of complexity.

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