The Government has published for consultation the draft regulations and detailed proposals for implementing the Community Infrastructure Levy (CIL) – the new discretionary development charge which comes into force in April 2010. CIL charges will be based on simple formulae which will relate the size of the charge to the size and character of the development paying it. Payment will be due at the commencement of development and not at planning consent stage. The Government has signalled that CIL will be levied on buildings rather than development. More generally the Government is proposing a ‘de minimus’ threshold of 100 square metres for non-residential development below which CIL will not be payable. Householder development by homeowners will not be liable.
Although a golf course, a theme park, a marina or a quarry would not in itself be liable to pay CIL, any buildings associated with these developments (for example, a clubhouse, a cafe, a customs building or an office) could be liable to pay CIL on the same floor space basis as for other buildings. Government proposes to use powers under Section 209 of the Planning Act 2008 to provide a more detailed definition of ‘development’ for CIL purposes. CIL will be charged on most types of residential, commercial and industrial buildings.
However, the department has acknowledged that there are some buildings into which people do not normally go and the Government considers that local planning authorities would not undertake infrastructure planning with these in mind. For example, an electricity sub-station may be visited intermittently for maintenance but it is not a building that is used by people sufficiently to have any bearing on the infrastructure planning undertaken by the relevant authority.
Because the 2008 Planning Act does not define ‘building’ in the same way as in the Town and Country Planning Act 1990, development such as roads, railways, pipelines, overhead cables and wind turbines would not be liable to pay CIL, even though such things are building operations for some planning purposes.
Planning and housing minister John Healey said: “The CIL remains an important component of our long-term plans. It is a fairer, clearer, more legitimate and more predictable way of seeking contributions from developers towards the costs of local infrastructure compared with the existing system. First floated in the Green Paper, this new statutory charge on development continues to benefit from support within both the local government and developer communities after two years of discussion and debate.”
http://www.planningportal.gov.uk/england/professionals/en/1115316719532.html