Calculation of Community Infrastructure Levy Liability

CIL liability is calculated by multiplying the applicable CIL rate by the gross internal area (GIA) of proposed development. However, within this calculation it is possible for the GIA of any existing buildings on the site that are going to be demolished or re-used (i.e. conversion of change of use) to be deducted from the total floorspace granted planning permission. This ensures that the CIL liability is only applied to new floorspace over and above what is already on a site.

To be able to deduct floorspace that is to be demolished or re-used (i.e. conversion or change of use) the CIL Regulations require that a part of the existing building has to have been in use for a continuous period of at least six months in the three years prior to when planning permission first permits development. If this provision is not met the CIL liability is applied to the total gross floorspace granted planning permission.

Havant Borough Council has developed a CIL Calculator which allows you to calculate the approximate CIL liability for a development. The calculator is intended to provide an indication of the likely CIL liability and should not be used to determine actual CIL liability. This will be calculated by the council once planning permission has been granted.

Havant Borough Council Instalments Policy

The council has adopted a CIL Instalments policy under Regulation 69B of the 2011 amendment. This will enable developers to pay their CIL liability in instalments, subject to the provisions of the CIL regulations. The Instalments Policy can be viewed below.

Details of when payments are required will be sent to developers once planning permission has been granted. Failure to pay the first instalment on time may result in the ability to pay by instalments being withdrawn and surcharges being applied.

Exceptions Policy

The CIL Regulations allow Councils to offer a CIL Exceptions Policy, where developers can apply for relief from paying CIL where there are questions over viability. Havant Borough Council has not adopted a CIL Exceptions Policy.

However, CIL liability does not arise in respect of new development for charities and for social housing. Claim for relief in these circumstances must be made on Form 2 below.

Infrastructure Payments

Under Regulations 73A and B of the Community Infrastructure Levy Regulations (as amended 2014) Havant Borough Council is allowing infrastructure payments in lieu of a financial contribution limited to the provision of a community building in the Denvilles area, as agreed by Full Council on the 10th December 2014.

The policy took effect on the 10th December 2014.

The full report for consideration by Cabinet can be found below (titled Supplementary Planning Information Cabinet 10 December 2014) together with the Council Minutes of 10 December 2014.