Planning Advisory Service (PAS) Logo
Planning Advisory Service (PAS)
Open group | Started - July 2012 | Last activity - Today

CIL Income – Calculation of admin costs 5% and Neighbourhood Fund 15%

Former Member, modified 10 Years ago.

CIL Income – Calculation of admin costs 5% and Neighbourhood Fund 15%

Does anybody know if the 5% that can be retained for admin costs on CIL income is applied before or after the 15% is calculated for passing on to the Neighbourhood Fund. i.e. if you receive £1,500,000 CIL in 2013/14, is the admin retention £75,000 and the Neighbourhood funding £213,750; or is the Neighbourhood funding £225,000 and the admin retention £63,750? The guidance is unclear, it says that 5% of total receipts can be retained for income costs, but in the examples of provision of Neighbourhood Funding it takes 15% of total income. Any advice is appreciated! Thanks.
Former Member, modified 10 Years ago.

Re: CIL Income – Calculation of admin costs 5% and Neighbourhood Fund 15%

We (Bristol) take both off from the total received. So if we received £1,000 of CIL we would put £50 to admin, £150 to Neighbourhood Funding and £800 to strategic infrastrucure as set out in the Regulation 123 list. Hope this helps Jim
Former Member, modified 10 Years ago.

Re: CIL Income – Calculation of admin costs 5% and Neighbourhood Fund 15%

Shropshire also take the same approach as Bristol (taking both the 5% admin and 15 or 25% neighbourhood fund at the same time), this ensures that the 5% admin and 15% or 25% neighbourhood fund are actually 5% and 15% or 25%. If you took one and then the other then strictly speaking the second element would be slightly less than the actual percentage specified. Whilst this would be acceptable for the admin fee (as 5% is the maximum), you would not be compliant with the Regs if you took the neighbourhood fund after the admin fund as it would be somewhat less than 15% or 25% which are specified amounts within the Regulations. Thanks Dan
Former Member, modified 10 Years ago.

Re: CIL Income – Calculation of admin costs 5% and Neighbourhood Fund 15%

DCLG have referred this to their legal advisors and confirmed that: "both the 5% and the 15 or 25% are calculated on the total CIL receipts".