Introducing CIL – when it takes effect - Public forum - Planning Advisory Service (PAS)
Introducing CIL – when it takes effect
All being well I will hopefully be introducing CIL at some point next year.
From what I have read charging authorities select a date and say something like: CIL will take effect on developments that are granted planning permission on or after said date.
As an Authority when we introduce a new policy we tend to select a date and say it will take effect on applications registered on or after a said date. This is the approach favored by my Development Management colleagues as they do not want a policy or in this case CIL introduced halfway through an assessment process (although there will be a big build up before we introduce so not to ‘catch anyone out’)
The CIL regulations appear to say very little on the subject. Regs 28(1) states that "A charging schedule takes effect at the beginning of the day specified for that purpose in the charging schedule".
Am I missing something obvious, does CIL have to take effect on developments that are granted planning permission on or after said date, or can it take affect on applications registered on or after said date.
Thanks
Matt
Hertfordshire
Richard Holmes, modified 10 Years ago.
Introducing CIL – when it takes effect
New Member Posts: 13 Join Date: 20/10/11 Recent PostsI agree it seems ambiguous. I assumed a charging schedule applies to all development granted after the commencement date and I intend that we will state that in our charging schedule. I suppose the danger would be whether developers applying after the commencement date would challenge you on the basis that developments submitted before CIL but granted after would get the benefit of no S.106 or CIL. Could that be a State Aid issue?
It's well established and understood that CIL applies to any development for which the planning permission is issued after a charging schedule has come into effect. That is irrespective of when the application was made or when a resolution to grant permission was passed. It also applies to cases where planning permission was granted on appeal after the bringing into effect of a CS.
I agree with Tony - see regulation 128(1) of the Community Infrastructure Levy Regulations 2010 which says: “liability to CIL does not arise in respect of development if, on the day planning permission is granted for that development, it is situated in an area in which no charging schedule is in effect”. By implication that must mean that liability does arise if on the day permission is granted a charging schedule is in effect.
We're having the same discussion at the moment. The CIL guidance allows a charging authority to determine their own charging schedule, which we took as the ability to introduce a phased adoption (i.e. only those applications validated after the adoption date would be liable for CIL). However, the regs (and our Examiner) are clear that the key date for CIL liability is the determination date, and as long as there's a charging schedule in place, you must pay any CIL levy.
We felt our approach was fair as it doesn't "move the goalposts" during the determination process, but we're going to have to work with the regs. We're thinking instead of giving a long lead in time before adoption (still to be decided). If it's long enough, it will give applicants enough time to submit their applications and hopefully determine the application within the timeframe.
Does anyone else have any ideas/suggestions?
Developers should be well aware that CIL is coming in from the consultation process that has taken place. We intend to charge on any decisions issued after the adoption date planned for 27th July. Therefore, to forwarn people we have been including the following as an autosignature on all email correspondence from the planning team:
IMPORTANT NOTE: The Council intends to commence charging the Community Infrastructure Levy (CIL) in July 2015. Any planning decisions issued after adoption of a CIL Charging Schedule will be CIL liable. To enable the Council to calculate the levy liability an Additional Information Requirement form (PDF) will be required to validate applications from 24th April 2015 for major outline or full planning applications, and 29th May 2015 for minor outline or full planning applications. Further details, including details of the Draft Charging Schedule and examination updates can be found at: www.southend.gov.uk/cil.
And similar information has been given during pre-application discussions; and we are writing to all those who currently have an application with us that may not be determined before the adoption date. We are however endeavouring to determine all outstanding major applications before the 27th July when CIL charging should commence.