CIL Update

The Government has confirmed its intention to continue with Community Infrastructure Levy as a means of funding infrastructure provision. CIL was introduced by the Labour Government in April 2010. The Coalition states that it will be continued “because it provides a fairer system to fund new infrastructure. The levy will give councils the option to raise funds from developers building new projects in their area, and provide a more certain and flexible system for housebuilders, cutting the costs of lengthy legal negotiations.” (Greg Clark, Decentralisation Minister, 18 November). The Government’s announcement says that CIL will be reformed to ensure that neighbourhoods share the advantages of development by receiving a proportion of the funds councils raise from developers. These will be passed directly to the local neighbourhood so community groups can spend the money locally on the facilities they want, either by contributing to larger projects funded by the council, or funding smaller local projects like park improvements, playgrounds and cycle paths. This announcement coincides with the publication of an updated overview document – The Community Infrastructure Levy: An overview and a summary document – The Community Infrastructure Levy: Summary.