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CIL Liability Notice Apportionment

Former Member, modified 7 Years ago.

CIL Liability Notice Apportionment

Having looked through the CIL regs and other posts on here, I can't seem to find an answer for a CIL Liability Apportionment.

Luckily, this is just for residential use and not a mixed use so it shouldn't be too difficult...in theory.

We have a planning application that's been decided which compromises a piece of land with a bunglalow currently on it, which is due to be demolished. The application is granted to permit three new dwellings to be built on the site. Three parties have assumed liability, one for each new home. These three houses aren't all the same size - one is significantly smaller than the other two.

I was wondering how we would calculate and issue the liability notice(s) for the three properties, would we:

1. Calulcate and issue liability notices of their own merits so that if and when one of the three submits their commencement notice the others won't have to pay their CIL until they submit their own commencement notices.

2. As per regulation 34 would we use the 'Apportionment Formula' to assume the market value of the properties if they were to sell them at the time of calculation and work out the percentage each of them would pay for the total 'blanket' CIL for the site. Then we would have to work out how the commencement notices would reflect the other owners outstanding CIL. For example if the two houses which are larger would be around £300,000 at market value and the smaller would be £200,000 market value the calcuation (I believe) would be:

Applicant 1 & 2 - £300,000 (price of property) x £34,960 (total amount of CIL payable - which is an estimate NOT a correct figure) ÷  £800,000 (total amount of 'material interest' of all properties combined) = £13,110 (this would be the amount these liable parties would pay each)

Applicant 3 - £200,000 x £34,960 ÷ £800,000 = £8,740

3. Or is there another way the regs work to produce and issue the liability notices for this occurance?

Any help would be appreciated, our wise Tony Beckett has left and we would like to issue the liability notices as soon as the agent has confirmed which new build properties the applicants will be liable for.

Carol Gore, modified 7 Years ago.

RE: CIL Liability Notice Apportionment

Enthusiast Posts: 42 Join Date: 20/10/11 Recent Posts

We would normally treat them with the apportionment calculation as they all come under the same single planning application.  In addition, we wouldnt state that they could submit individual commencement notices either, as commencement is any material operations under that planning application, so any works started is commencement of that planning application, regardless of the fact their are three dwellings there.  They could only be treated differently if they had either a phased application (showing each property as its own phase, with the infrastructure - such as access creation etc as its own phase too) or if they all submit their own planning applciation for each plot.

Happy to hear anyone elses take on this.