Community Infrastructure Levy (CIL)

Expand all

• Can developments be liable for CIL and S106 Planning Obligations?

  Certain developments may be liable to pay both CIL and S106 Planning Obligations.

• How has my CIL been calculated?

  The CIL charge is calculated by multiplying the net additional floor space* of a development by the CIL rate per square metre. The charge is indexed using the RICS CIL Index.

  *Please note: existing floor space (either to be demolished or reused) can only be deducted from the CIL chargeable amount if it has been in continuous lawful use for six months or more in the last 36 months prior to the date of approval. The building in question must also be standing on the date that planning permission is granted.

  CIL chargeable amount = Floorspace x CIL rate x (Current Index Rate / Index Rate 2015).

• How much CIL will I pay?

  The CIL charge is calculated by the pounds per square metre of net additional floor space (gross internal area). The charges are set out in our  CIL Charging Schedule (PDF 2.01MB), which came into effect on 1 July 2015. Certain zones have a CIL charge of £0 per square metre, as this is needed to maintain the financial viability of some development types and areas.

• How is the development measured?

  CIL is calculated by measuring the Gross Internal Area (GIA) of the whole chargeable development. The approved plans will be measured in accordance with the RICS code of measurement. No deduction is made for separating or internal walls and no allowance is made for head height.

• Can I use my existing building to offset the CIL charge?

  Existing buildings can only be used to offset the CIL charge if it can be demonstrated that it meets the existing use criteria.

  Existing floor space (either to be demolished or reused) can only be deducted from the CIL chargeable amount if it has been in continuous lawful use for six months or more in the 36 months prior to the date of approval.

• How do I prove my building is in lawful use?

  According to Regulation 40(10) of the Community Infrastructure Regulations 2010 (as amended), a building is considered to be in use if it "contains a part that has been in lawful use for a continuous period of at least six months within the period of three years ending on the day planning permission first permits the chargeable development".

  It is the responsibility of the landowner/developer to provide evidence to show that the building(s) are in lawful use. To prove an existing building is in lawful use, you can submit a Certificate of Lawfulness of Existing Use or Development (Article 83A) via the Planning Portal.

  Please see Section 191 of the Town and Country Planning Act 1990 for further legal definitions on lawful developments.

• Is VAT applied to CIL charges?

  The Community Infrastructure Levy is not valid for VAT (value-added tax).

• What if existing buildings on site are going to be demolished?

  Buildings within the chargeable development that are going to be demolished may be deducted from the total chargeable amount of CIL. According to the Community Infrastructure Levy Regulations 2010 (as amended), it must be demonstrated that the building(s) due to be demolished must have been occupied in their lawful use for a "continuous period of at least six months within the period of three years ending on the day planning permission first permits the chargeable development".

  The building due to be demolished must still be standing on the date of the planning permission and until we receive a valid commencement notice. The developer/landowner will be required to submit evidence to enable us to verify the Gross Internal Area (GIA) of each existing building. This must include scaled floor plans with a scale bar shown on the building(s) in question.

• Can I claim exemption or relief from CIL?

  Claims for exemption or relief must be made before any development starts on site (including any demolition of existing buildings). Assessments are made subject to the specific criteria for the type of relief. Annex and Self Build Relief are subject to the submission of the Commencement of Development Notice (Form 6) before any works (including demolition) begin on site.

  Self Build Relief for new dwellings is subject to a two-part process assessed on the criteria and declarations made on Form 7 part 1. Landowners/developers must complete and submit the Self Build Exemption Claim Part 1 (Form 7 Part 1) to us alongside their application before development begins. Following the completion of the development, the Self Build Exemption Claim Part 2 (Form 7 Part 2) must be completed and submitted to us along with the evidence listed within the form. If this evidence is not available, we will conclude that the development does not meet the criteria of Self Build Relief and full payment of the chargeable amount will be due.

  All CIL forms can be found on our Community Infrastructure Levy Forms 0-9 page or via the Planning Portal.

• What happens if I do not receive a Liability Notice?

  It is your responsibility to ensure that there is no CIL liability on your development. We will make every effort to ensure that notices for liable developments are dispatched as soon as possible following planning permission or consent being granted.

  If you do not receive a liability notice, please contact is. It is important that all CIL matters are in place before any works begin on site - including any demolition. Payment of CIL becomes due when works start. We cannot review calculations or assess relief or exemptions once work has begun.

• What happens if I have received a Liability Notice but was not expecting it?

  Liability Notices will be issued for all developments that are liable for CIL. Please email cil@dacorum.gov.uk if you have any queries.

  If you disagree with the calculation of CIL you may request a review (under Regulation 113) within 28 days of the date of the Liability Notice. Reviews must be made before any work (including demolition) begins on site

• Do I have to pay CIL on permitted developments (prior approvals, lawful development certificates)?
  If the development creates additional floor space that falls within the CIL charging schedule then it is liable for CIL. Consents received under a General Consent Order should be supported by submission of a Notice of Chargeable Development (CIL Form 5).
  
  Where existing floor space is to be offset it must be demonstrated that the existing floor space meets the in-use criteria.
  
  All CIL forms can be found on our Community Infrastructure Levy forms 0-9 page.
• Are garages included as floor space?

  Yes. In line with the Community Infrastructure Levy Regulations 2010 (as amended), garages are considered as floor space.

• Where do I send the forms?

  All forms can be submitted by email to cil@dacorum.gov.uk or by post to Strategic Planning and Regeneration, The Forum, Marlowes, Hemel Hempstead, HP1 1DN.

  We will acknowledge all documents received in writing. Development should not begin until written acknowledgement has been received. Please note: proof of delivery lies with the liable party.

• What happens if there is more than one landowner?

  The liability can be shared between multiple landowners who have assumed liability.

  The Assumption of Liability Form (Form 1) must be completed and submitted to us, detailing each liable party. The assumption of liability is highly important as it confirms to us who is accepting liability for the CIL charge for the whole development. If the site is subsequently split (for example, if one plot is sold separately) then both parties would become liable for the whole chargeable development.

  We recommend that legal advice is sought regarding individual responsibility as we cannot advise on individual legal matters.

• What if my development was granted planning permission before the CIL Charging Schedule was introduced?

  The Community Infrastructure Levy applies to all new developments that have been granted planning permission after 1 July 2015, when our  CIL Charging Schedule (PDF 2.01MB) came into effect. The date the planning application for the relevant development was submitted is of no significance, only when planning permission was granted.

  However, if full planning permission was granted before our CIL Charging Schedule came into effect and a S73 application was agreed between us and the developer/landowner to alter the conditions of the planning application after the CIL charge was adopted, then the development will be liable for CIL. The amount of the CIL charge is equal to the increase or difference in the chargeable amount outlined in the original planning permission.

• What happens if I amend my planning application?

  If the amendment requires a new planning application then it will be subject to a new Liability Notice. Where exemptions or relief are sought for the development then a new claim for relief must be submitted to us. If development has already begun under the original application, claims for exemptions and relief may not be approved.

  We strongly advise landowners and developers to understand the impact on their CIL liability before altering their scheme.

• What happens if my planning application is retrospective?

  Retrospective applications will be liable for CIL, but exemptions and relief cannot be claimed.

• Can I pay in instalments?

  We do have an   Instalments Policy (PDF 114KB) in place that allows for the payment of CIL in phases. However, this is subject to specific criteria (predominantly larger CIL payments above £20,000) that must be met. Additionally, a Commencement of Development Notice (Form 6) must be submitted to us prior to any development work (including demolition) starting on site.

  
  
• If I'm building a small extension do I need to pay CIL?

  The development will not be liable for CIL if the planning permission is to extend an existing property and it creates less than 100 square metres of new floor space, and does not constitute either a whole new dwelling or an annexe.

• Is an annexe liable if it is less than 100 square metres in size?

  Annexes are liable for CIL whatever the size.

• Can I appeal the CIL charge?

  If you wish to review the chargeable amount for your development under Regulation 113 of the CIL (Amendment) Regulations 2014, you must complete our  Regulation 113 Review of Chargeable Amount Form (PDF 146 KB) and email it to cil@dacorum.gov.uk.

  All other appeals regarding CIL can be made via the Valuation Office Agency (VOA) or Planning Inspectorate (PINS).

• What happens if I sell the development site?

  The CIL liability is recorded on the Local Land Charges Register.

  If you sell part, or all of the development site, then the new or additional owner(s) should assume liability on completion of the sale. All CIL forms can be found on our Community Infrastructure Levy forms 0-9 page.

  Relief and exemptions do not transfer with the liability and a separate application will have to be submitted and approved by us prior to work starting.

• What happens if I don't pay the CIL charge due?

  Late payment surcharges and interest fees will be added to your liability in line with the CIL regulations.

  Further sanctions will be carried out if payment continues to be withheld.