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The Community Infrastructure Levy Regulations 2010

Type Statutory-Instrument

Publication 2010-03-23

Last updated 2026-03-25

State In force

Department King's Printer of Acts of Parliament

Source legislation.gov.uk

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(2) The charitable relief granted in respect of the relevant interest is withdrawn and the relevant person is liable to pay an amount of CIL equal to the withdrawn relief.

(3) The relevant person must notify the collecting authority in writing of the disqualifying event before the end of the period of 14 days beginning with the day on which the disqualifying event occurs.

(4) In this regulation—

“relevant interest” means an interest in land in respect of which charitable relief was granted; and

“relevant person” means the owner of the relevant interest immediately before the disqualifying event occurs.

49

(1) A chargeable development which comprises or is to comprise qualifying dwellings or qualifying communal development (in whole or in part) is eligible for relief from liability to CIL.

(2) For the purposes of this regulation a qualifying dwelling is a dwelling which satisfies at least one of the following six conditions.

(3) Condition 1 is that the dwelling is let by a local housing authority on one of the following—

(a) a demoted tenancy or a prohibited conduct standard contract;

(b) an introductory tenancy or an introductory standard contract;

(d) an arrangement that would be a secure tenancy but for paragraph 4ZA or 12 of Schedule 1 to the Housing Act 1985.

(4) Condition 2 is that all of the following criteria are met—

(a) the dwelling is occupied in accordance with shared ownership arrangements within the meaning of section 70(4) of the Housing and Regeneration Act 2008;

(b) the percentage of the value of the dwelling paid as a premium on the day on which a lease is granted under the shared ownership arrangement does not exceed 75 per cent of the market value (where the market value at any time is the price which the dwelling might reasonably be expected to fetch if sold at that time on the open market);

(c) on the day on which a lease is granted under the shared ownership arrangements, the annual rent payable is not more than three per cent of the value of the unsold interest; and

(d) in any given year the annual rent payable does not increase by more than the percentage increase in the retail prices index for the year to September immediately preceding the anniversary of the day on which the lease was granted plus 0.5 per cent.

(5) Condition 3 is that, in England—

(a) the dwelling is let by a private registered provider of social housing on one of the following—

(i) an assured tenancy (including an assured shorthold tenancy);

(ii) an assured agricultural occupancy;

(iii) an arrangement that would be an assured tenancy or an assured agricultural occupancy but for paragraph 12(1)(h) or 12ZA of Schedule 1 to the Housing Act 1988;

(iv) a demoted tenancy; and

(b) one of the criteria described in paragraph (6) is met.

(6) The criteria are—

(a) the rent is—

(i) subject to the national rent regime, and

(ii) regulated under a standard controlling rents set by the Regulator of Social Housing under section 194 of the Housing and Regeneration Act 2008;

(b) the rent is—

(i) not subject to the national rent regime;

(ii) not regulated under a standard controlling rents set by the Regulator of Social Housing under section 194 of the Housing and Regeneration Act 2008; and

(iii) no more than 80 per cent of market rent;

(i) not subject to the national rent regime; and

(ii) regulated under a standard controlling rents set by the Regulator of Social Housing under section 194 of the Housing and Regeneration Act 2008 which requires the initial rent to be no more than 80 per cent of the market rent of the property (including service charges).

(7) Condition 4 is that, in Wales—

(a) the dwelling is let by a registered social landlord (within the meaning of Part 1 of the Housing Act 1996) on one of the following—

(i) a secure contract, a standard contract or an introductory standard contract;

(ii) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(iii) a prohibited conduct standard contract, and

(iv) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(b) the rent is no more than 80 per cent of market rent.

(7A) Condition 5 is that—

(a) the dwelling is let by a person who is not a local housing authority, a private registered provider of social housing or a registered social landlord (within the meaning of Part 1 of the Housing Act 1996) on one of the following—

(i) an assured tenancy (including an assured shorthold tenancy) , a secure contract, a standard contract or a prohibited conduct standard contract;

(ii) an assured agricultural occupancy;

(iii) an arrangement that would be an assured tenancy or an assured agricultural occupancy but for paragraph 12(1)(h) of Schedule 1 to the Housing Act 1988; and

(b) the following criteria are both met—

(i) the dwelling is let to a person whose needs are not adequately served by the commercial housing market; and

(ii) the rent is no more than 80 per cent of market rent (including service charges); and

(c) a planning obligation under section 106 TCPA 1990 designed to ensure compliance with both criteria at sub-paragraph (b) has been entered into in respect of the planning permission which permits the chargeable development.

(7B) Condition six is that, in England, the following criteria are met—

(a) the first sale of the dwelling is for no more than 70 per cent of its market value (where the market value at any time is the price which the dwelling might reasonably be expected to fetch if sold at that time on the open market); and

(b) a planning obligation has been entered into prior to the first sale of the dwelling designed to ensure that any subsequent sale of the dwelling is for no more than 70 per cent of its market value.

(8) Any claim for relief under this regulation relating to qualifying communal development must be made either—

(a) at the same time as the claim for relief in respect of the qualifying dwellings to which the qualifying communal development in question relates; or

(b) where the qualifying dwellings referred to in sub-paragraph (a) are granted permission through a phased planning permission, in relation to any phase of that permission.

(9) Relief under this regulation, or regulation 49A, is referred to in these Regulations as social housing relief.

(10) Social housing relief is given by deducting the qualifying amount from what would otherwise be the amount of liability to CIL that would arise in respect of the chargeable development.

(11) In this regulation—

“assured agricultural occupancy”, “assured shorthold tenancy” and “assured tenancy” have the same meanings as in Part 1 of the Housing Act 1988;

“demoted tenancy” means a tenancy to which section 20B of the Housing Act 1988 or section 143A of the Housing Act 1996 applies;

“introductory standard contract” has the meaning given by the Renting Homes (Wales) Act 2016 (see section 16 of that Act);

“introductory tenancy” has the same meaning as in Chapter 1 of Part 5 of the Housing Act 1996;

“market rent” means the rent which the lease might reasonably be expected to fetch at that time on the open market;

“national rent regime” means the rent policy set out in the Social Rent Guidance within the Rent Standard Guidance as published by the Regulator of Social Housing in January 2015.

“prohibited conduct standard contract” has the meaning given by the Renting Homes (Wales) Act 2016 (see section 116 of that Act);

“secure contract” has the meaning given by the Renting Homes (Wales) Act 2016 (see section 8 of that Act);

“secure tenancy” has the same meaning as in Part 4 of the Housing Act 1985; and

“standard contract” has the meaning given by the Renting Homes (Wales) Act 2016 (see section 8 of that Act), but does not include—an introductory standard contract,a prohibited conduct standard contract, ora supported standard contract;

“supported standard contract” has the meaning given by the Renting Homes (Wales) Act 2016 (see section 143 of that Act);

“unsold interest” means the freehold interest or the leasehold interest owned by the person providing the dwelling.

50

(1) The amount of social housing relief for which a chargeable development is eligible (“the qualifying amount”) must be calculated in accordance with this regulation.

(2) The qualifying amount is an amount equal to the aggregate of the qualifying amounts at each of the relevant rates.

(3) The relevant rates are the rates, taken from the relevant charging schedules, at which, but for social housing relief, CIL would be chargeable in respect of the parts of the chargeable development which will comprise—

(a) qualifying dwellings; or

(b) qualifying communal development.

(4) The qualifying amount at a given relevant rate (R) must be calculated by applying the following formula—

$$R×A×Ip¯Ic$where— A = the deemed net area chargeable at rate R; Ip = the index figure for the year in which planning permission was granted; and Ic = the index figure for the year in which the charging schedule containing rate R took effect.$

(5) Paragraph (6) of regulation 40 applies to determine the index figure for a given year.

(6) Paragraphs (7) to (10) of regulation 40 apply for the purpose of calculating A with the following modifications—

(a) for GR, substitute QR, and

(b) for KR, substitute KQR

where—

QR = the gross internal areas of the part of the chargeable development which will comprise the qualifying dwellings or qualifying communal development, and in respect of which, but for social housing relief, CIL would be chargeable at rate R; and

KQR = the aggregate of the gross internal areas of the following—

(i) relevant retained parts of in-use buildings; and

(ii) for other relevant buildings, relevant retained parts where the intended use following completion of the chargeable development is a use that is able to be carried on lawfully and permanently without further planning permission in that part on the day before planning permission first permits the chargeable development.

(7) Where—

(a) social housing relief has been granted in relation to a development; and

(b) planning permission is granted under section 73 of TCPA 1990 in respect of that development; and

(c) the amount of social housing relief calculated in accordance with this regulation that the development is eligible for has not changed as a result of the planning permission referred to in sub-paragraph (b),

anything done in relation to an application for social housing relief made under regulation 51 (social housing relief: procedure) in relation to the development referred to in sub-paragraph (a) is to be treated as if it was done in relation to development that the planning permission referred to in sub-paragraph (b) relates to.

(8) In this regulation—

(a) a reference to part of a chargeable development which will comprise qualifying dwellings includes a reference to part of a chargeable development which comprises qualifying dwellings;

(b) “relevant retained part” means part of a building which will be—

(i) on the relevant land on completion of the chargeable development (excluding new build),

(ii) part of the chargeable development on completion, and

(iii) chargeable at rate R but for social housing relief;

(c) “building”, “in-use building”, “new build”, “relevant building” and “relevant charging schedules” have the same meaning as in regulation 40.

51

(1) A person wishing to benefit from social housing relief must submit a claim in accordance with this regulation.

(2) The claimant must—

(a) assume liability to pay CIL in respect of the chargeable development for which relief is claimed; and

(b) be an owner of the relevant land.

(3) The claim must—

(a) be submitted to the collecting authority in writing on a form published by the Secretary of State (or a form to substantially the same effect);

(b) subject to paragraph (4A), be received by the collecting authority before commencement of the chargeable development;

(d) be accompanied by—

(i) a relief assessment, and

(ii) evidence that the chargeable development qualifies for social housing relief (by reference to the conditions mentioned in regulation 49 , the criteria mentioned in regulation 49A(2) or regulation 49C).

(4) Subject to paragraph (4A), a claim for social housing relief will lapse where the chargeable development to which the claim relates is commenced before the collecting authority has notified the claimant of its decision on the claim.

(4A) Paragraphs (3)(b) and (4) do not apply where the provision of qualifying dwellings or qualifying communal development in respect of a chargeable development changes after the commencement of that development.

(5) As soon as practicable after receiving a valid claim for social housing relief, the collecting authority must notify the claimant in writing of—

(a) its decision on the claim and the reasons for the decision; and

(b) if relief is granted, the qualifying amount,

and provide an explanation of the requirements of regulation 67(1).

(6) If social housing relief is granted in respect of the chargeable development the claimant is deemed to benefit from an amount of relief equal to the qualifying amount.

(7) A chargeable development ceases to be eligible for social housing relief if, before that chargeable development is commenced—

(a) a commencement notice is not submitted to the collecting authority;

(b) the claimant’s assumption of liability is withdrawn or otherwise ceases to have effect; or

(8) In this regulation “relief assessment” means an assessment of the extent to which the chargeable development is eligible for social housing relief which—

(a) identifies the qualifying dwellings and the gross internal area of those dwellings; ...

(aa) identifies the qualifying communal development (if any) and the gross internal area of that development; and

(b) includes a calculation of the qualifying amount.

(9) Paragraph (10) applies where a charging authority issues a statement (in accordance with regulation 49B(3)(a)) giving notice that discretionary social housing relief will no longer be available in its area.

(10) Any claim for discretionary social housing relief received by the collecting authority on or before the day mentioned in regulation 49B(3)(a) in respect of a chargeable development situated in the charging authority’s area must be considered by the collecting authority.

52

(1) This regulation applies where—

(a) social housing relief has been granted in respect of a chargeable development;

(b) an owner (O) of the relevant land makes a material disposal of land on which qualifying dwellings or qualifying communal development will be situated to another person (P1); and

(c) the disposal is made before those qualifying dwellings are made available for occupation or that qualifying communal development is made available for use.

(2) P1 is deemed to benefit from an amount of social housing relief equal to the qualifying amount for the qualifying dwellings or qualifying communal development which will be situated on the land O disposed of to P1.

(3) The qualifying amount mentioned in paragraph (2) must be calculated in accordance with regulation 50, and for the purposes of that calculation—

(a) the value of QR is the gross internal area of the part of the chargeable development—

(i) which will comprise qualifying dwellings or qualifying communal development and be situated on the land O disposed of to P1, and

(ii) in respect of which, but for social housing relief, CIL would be chargeable at rate R; and

(b) the value of E is the value of E as calculated at the time social housing relief was granted in respect of the chargeable development.

(4) The person (P2) who, before O disposed of the land, benefited from social housing relief in respect of the part of the chargeable development situated on that land is deemed to benefit from an amount of relief equal to the residual amount.

(5) The residual amount is the difference between the amount of social housing relief from which P2 benefited before O disposed of the land and the amount from which P1 is deemed to benefit calculated in accordance with paragraph (2).

(6) O must notify the collecting authority in writing of the disposal as soon as practicable after it occurs.

(7) The notification must—

(a) state the gross internal area of the qualifying dwellings or qualifying communal development which will be situated on the land which has been disposed of;

(b) be accompanied by a map or plan which identifies the location of those dwellings or development (as the case may be); and

(8) O must send a copy of the notification to P1 and (if P2 is not O) P2.

(9) On receiving the notification the collecting authority must send an acknowledgment of receipt to O, P1 and (if P2 is not O) P2.

53

(1) This regulation applies whenever a disqualifying event occurs before the end of the clawback period in respect of a chargeable development for which social housing relief has been granted.

(2) A disqualifying event is any change in relation to a qualifying dwelling or qualifying communal development such that it ceases to be a qualifying dwelling or qualifying communal development.

(3) The material disposal of a qualifying dwelling or qualifying communal development does not cause it to cease being a qualifying dwelling or qualifying communal development if—

(a) the proceeds of sale are spent on a qualifying dwelling or qualifying communal development ;

(b) the proceeds of sale are transferred to the Secretary of State, the Welsh Ministers, a local housing authority , the Greater London Authority or the Homes and Communities Agency;

(d) the disposal is made to the Regulator of Social Housing under section 167 or 253 of the Housing and Regeneration Act 2008; ...

(da) the disposal is a first sale of a dwelling in respect of which social housing relief has been granted under regulation 49 on the basis that the dwelling satisfies condition six in that regulation, and the first sale meets the criteria set out in paragraph (7B) of that regulation; or

(e) discretionary social housing relief has been granted in relation to the dwelling or qualifying communal development, and the dwelling or development (as the case may be) is disposed of in accordance with regulation 49A(2).

(4) The relevant person is liable to pay an amount of CIL (“the withdrawn amount”) equal to the difference between the qualifying amount immediately before the disqualifying event and the qualifying amount immediately after the disqualifying event.

(4A) Where—

(a) the relevant person is liable to pay the withdrawn amount; and

(b) the dwelling in respect of which the relevant person is benefitting from social housing relief was (immediately before it ceased to be a qualifying dwelling) a qualifying dwelling which satisfied condition 5 of regulation 49,

for the purposes of regulation 87 (late payment interest), payment of the withdrawn amount is to be treated as being due on commencement of the chargeable development.

(5) The qualifying amounts mentioned in paragraph (4) must be calculated in accordance with regulation 50 and paragraph 6 of Schedule 1, and for the purposes of that calculation the value of E is the value of E as calculated at the time social housing relief was granted in respect of the chargeable development.

(6) The relevant person must notify the collecting authority in writing of a disqualifying event before the end of the period of 14 days beginning with the day on which it occurs.

(7) The notification must—

(a) state the gross internal area of the dwelling which has ceased to be a qualifying dwelling (if any); ...

(aa) state the gross internal area of the development which has ceased to be qualifying communal development (if any); and

(b) be accompanied by a map or plan which identifies the location of the dwelling mentioned in sub-paragraph (a) or the development mentioned in sub-paragraph (aa).

(8) As soon as practicable after receiving notice of the disqualifying event, the collecting authority must notify the relevant person in writing of the withdrawn amount.

(9) The notification must be accompanied by an explanation of how the withdrawn amount was calculated.

(10) In this regulation “relevant person” means the person benefiting from social housing relief in respect of the dwelling which has ceased to be a qualifying dwelling , or the development which has ceased to be qualifying communal development.

54

(1) A collecting authority may serve an information notice on—

(a) a person claiming social housing relief;

(b) a person who has made a material disposal of land in accordance with regulation 52; or

(2) The information notice may require the person to give such information, documents or materials as are specified in the notice, and which are in the person’s possession or control, which the collecting authority considers relevant to assist it in—

(a) determining the extent to which a chargeable development is eligible for social housing relief; and

(b) calculating the qualifying amount in respect of the chargeable development.

(3) An information notice must inform the person on whom it is served of the possible consequences of a failure to comply with the notice[^f00035].

(4) A requirement of the information notice is complied with by giving the required information to the collecting authority in writing or sending the required documents or materials to the collecting authority (as the case may be) before the end of the period of 14 days beginning with the day on which the notice is served.

(5) A reference in this regulation to a chargeable development includes a reference to part of a chargeable development.

Discretionary relief for exceptional circumstances

55

(1) A charging authority may grant relief (“relief for exceptional circumstances”) from liability to pay CIL in respect of a chargeable development (D) if—

(a) it appears to the charging authority that there are exceptional circumstances which justify doing so; and

(b) the charging authority considers it expedient to do so.

(2) Paragraph (1) is subject to the following provisions of this regulation.

(3) A charging authority may only grant relief for exceptional circumstances if—

(a) it has made relief for exceptional circumstances available in its area;

(b) a planning obligation under section 106 of TCPA 1990[^f00036] has been entered into in respect of the planning permission which permits D; and

(i) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(ii) considers that to require payment of the CIL charged by it in respect of D would have an unacceptable impact on the economic viability of D, ...

(iii) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(4) The Mayor may not grant relief for exceptional circumstances in respect of a chargeable development unless a claim for that relief is referred to the Mayor by a London borough council or MDC in accordance with regulation 58(3).

Exceptional circumstances: notification requirements

56

(1) A charging authority which wishes to make relief for exceptional circumstances available in its area must—

(a) issue a statement which—

(i) gives notice that relief for exceptional circumstances is available in its area, and

(ii) states the date on which the charging authority will begin accepting claims for relief for exceptional circumstances;

(b) publish the statement on its website;

(i) at its principal office, and

(ii) at such other places within its area as it considers appropriate; and

(d) send a copy of the statement to the collecting authority (if it is not the charging authority).

(2) A charging authority which no longer wishes relief for exceptional circumstances to be available in its area must—

(a) issue a statement giving notice to that effect and stating the last day on which it will accept claims for relief for exceptional circumstances;

(b) publish the statement on its website;

(i) at its principal office, and

(ii) at the places at which the document mentioned in paragraph (1) was made available for inspection under paragraph (1)(c)(ii), or, if the charging authority considers that any such places are no longer appropriate, such other places within its area as it considers appropriate; and

(d) send a copy of the statement to the collecting authority (if it is not the charging authority).

(3) The day mentioned in paragraph (2)(a) must be no earlier than the end of the period of 14 days beginning with the day on which the statement mentioned in that paragraph is published on the charging authority’s website.

Exceptional circumstances: procedure

57

(1) Relief for exceptional circumstances must be claimed in accordance with this regulation.

(2) This regulation is subject to regulation 58 in the case of a chargeable development situated in the area of a London borough council or MDC.

(3) The person claiming relief (“the claimant”) must be an owner of a material interest in the relevant land.

(4) A claim for relief must—

(a) be submitted to the charging authority in writing on a form published by the Secretary of State (or a form to substantially the same effect);

(b) be received by the charging authority before commencement of the chargeable development;

(d) be accompanied by—

(i) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(ii) an assessment carried out by an independent person of the economic viability of the chargeable development,

(iii) an explanation of why, in the opinion of the claimant, payment of the chargeable amount would have an unacceptable impact on the economic viability of that development,

(iv) where there is more than one material interest in the relevant land, an apportionment assessment, and

(v) a declaration that the claimant has complied with paragraph (6).

(5) For the purposes of paragraph (4)(d) an independent person is a person who—

(a) is appointed by the claimant with the agreement of the charging authority; and

(b) has appropriate qualifications and experience.

(6) The claimant must—

(a) send a copy of the completed claim form to the owners of the other material interests in the relevant land (if any);

(b) notify those owners that the particulars referred to in paragraph 4(d) are available on request; and

(7) As soon as practicable after receiving a claim for relief, the charging authority must notify the claimant in writing of its decision on the claim and (where relief is granted) the amount of relief granted and provide an explanation of the requirements of regulation 67(1).

(8) Where relief is granted the charging authority must send a copy of the decision to—

(a) the collecting authority (if it is not the charging authority); and

(b) the person by whom the planning obligation mentioned in regulation 55(3)(b) is enforceable (if that person is not the collecting authority or the charging authority).

(9) A claim for relief for exceptional circumstances will lapse where the chargeable development to which it relates is commenced before the charging authority has notified the claimant of its decision on the claim.

(10) A chargeable development ceases to be eligible for relief for exceptional circumstances if there is a disqualifying event.

(11) A disqualifying event occurs if—

(a) before the chargeable development is commenced—

(i) charitable or social housing relief or an exemption for self-build housing or residential annexes or extensions is granted in respect of the chargeable development, or

(ii) an owner of a material interest in the relevant land makes a material disposal of that interest; or

(b) at the end of the period of 12 months beginning with the day on which the charging authority issues its decision on the claim, the chargeable development has not been commenced.

(12) Where a disqualifying event occurs an owner of a material interest in the relevant land must—

(a) notify the charging authority in writing of the disqualifying event before the end of the period of 14 days beginning with the day on which it occurs; and

(b) send a copy of the notification to the owners of the other material interests in the relevant land (if any).

(13) On receipt of the notification the charging authority must send a copy to—

(a) the collecting authority (if it is not the charging authority); and

(b) the person by whom the planning obligation mentioned in regulation 55(3)(b) is enforceable (if that person is not the collecting authority or the charging authority).

(14) Paragraph (15) applies where a charging authority issues a statement (in accordance with regulation 56(2)(a)) giving notice that relief for exceptional circumstances will no longer be available in its area.

(15) Any claim for relief for exceptional circumstances received by the charging authority on or before the day mentioned in regulation 56(2)(a) must be considered by the charging authority.

Exceptional circumstances: procedure in London

58

(1) Regulation 57 applies to a claim for relief for exceptional circumstances in respect of a chargeable development situated in the area of a London borough council or MDC (“the local charging authority”) subject to the following modifications.

(2) A claim for relief for exceptional circumstances must be submitted to the local charging authority.

(3) As soon as practicable after receiving a claim for relief, the local charging authority must refer the claim to the Mayor if the Mayor has made relief for exceptional circumstances available in the Mayor’s area, and the local charging authority either—

(a) has not made relief for exceptional circumstances available in its area, or

(b) considers that, despite the amount of relief that it proposes to grant in respect of the chargeable development, to require payment of any remaining CIL charged by it or any CIL charged by the Mayor (or both) would still have an unacceptable impact on the economic viability of the chargeable development.

(4) A local charging authority refers a claim to the Mayor by—

(a) sending to the Mayor a copy of the claim form and the particulars mentioned in regulation 57(4)(d); and

(b) where the local charging authority proposes to grant relief, informing the Mayor in writing of the amount of that relief.

(5) If a claim is referred to the Mayor in accordance with paragraph (3) the Mayor must, as soon as practicable after receiving the referral—

(a) decide whether to grant relief on the amount of CIL chargeable by the Mayor in respect of the chargeable development; and

(b) notify the local charging authority in writing of the Mayor’s decision and the amount of relief (if any) granted.

(6) As soon as practicable after receiving the Mayor’s decision, the local charging authority must notify the claimant in writing of the decision on the claim and the amount of any relief granted (including, where relevant, any separate decisions and amounts in respect of relief granted by the local charging authority and the Mayor) and provide an explanation of the requirements of regulation 67(1).

(7) Where relief is granted the local charging authority must send a copy of the decision to—

(a) the Mayor;

(b) the collecting authority (if it is not the borough);

(c) the person by whom the planning obligation mentioned in regulation 55(3)(b) is enforceable (if that person is not the collecting authority or the charging authority).

(8) Notification of a disqualifying event must be submitted to the local charging authority, and the local charging authority must send a copy of that notification to—

(a) the collecting authority (if it is not the local charging authority); and

(b) the person by whom the planning obligation mentioned in regulation 55(3)(b) is enforceable (if that person is not the collecting authority or the charging authority).

PART 7 — APPLICATION OF CIL

Application to infrastructure

59

(1) A charging authority must apply CIL to funding the provision, improvement, replacement, operation or maintenance of infrastructure to support the development of its area.

(2) CIL applied by the Mayor to funding infrastructure must be applied to funding the provision, improvement, replacement, operation or maintenance of roads or other transport facilities, including, in particular, funding for the purposes of, or in connection with, scheduled works within the meaning of Schedule 1 to the Crossrail Act 2008[^f00037].

(3) A charging authority may apply CIL to funding the provision, improvement, replacement, operation or maintenance of infrastructure outside its area where to do so would support the development of its area.

(4) For the purposes of this regulation, any reference to applying CIL includes a reference to causing it to be applied, and includes passing CIL to another person for that person to apply to funding the provision, improvement, replacement, operation or maintenance of infrastructure.

(5) This regulation is subject to regulations 59A, 59E, 59F, 60 and 61.

Reimbursement of expenditure incurred and repayment of loans

60

(1) A charging authority may apply CIL to reimburse expenditure already incurred on infrastructure.

(2) Where a charging authority, other than the Mayor, has borrowed money for the purposes of funding infrastructure, it may apply CIL to repay that money, and any interest, if the conditions set out in paragraphs (4) and (5) are both met.

(3) Subject to paragraph (7A), Where the Greater London Authority or a functional body has borrowed money for the purposes of funding infrastructure consisting of roads or other transport facilities, the Mayor may apply CIL to repay that money, and any interest, if the conditions set out in paragraphs (4) and (5) are both met.

(4) Condition 1 is that the charging authority has collected CIL, or CIL has been collected on its behalf, for at least one full financial year before the date on which CIL is to be applied to repay the money.

(5) Condition 2 is that the total amount to be applied in any one financial year does not exceed the relevant percentage of CIL collected by or on behalf of the charging authority in the preceding financial year.

(6) For the purposes of paragraph (5), the relevant percentage is such percentage as the Secretary of State may direct or, in the absence of a direction, zero per cent.

(7) A direction under paragraph (6)—

(a) must be made in respect of authorities generally;

(b) must be in writing;

(c) may be substituted or revoked at any time, any substitution or revocation being made by a further direction in writing.

(7A) Until 31st March 2043, where the Greater London Authority or Transport for London has borrowed money for the purposes of, or in connection with, the provision of the scheduled works within the meaning of Schedule 1 to the Crossrail Act 2008, the Mayor may apply CIL to repay that money and any interest.

(8) In this regulation “functional body” means—

(a) Transport for London ...

(b) ....

Administrative expenses

61

(1) A charging authority may apply CIL to administrative expenses incurred by it in connection with CIL.

(2) A collecting authority which collects CIL on behalf of a charging authority may apply that CIL to administrative expenses incurred by it in connection with that collection.

(3) In relation to a charging authority which collects CIL charged by it—

(a) in years one to three, the total amount of CIL that may be applied to administrative expenses incurred during those three years, and any expenses incurred before the charging schedule was published, shall not exceed five per cent of CIL collected over the period of years one to three;

(b) in year four, and each subsequent year, the total amount of CIL that may be applied to administrative expenses incurred during that year shall not exceed five per cent of CIL collected in that year.

(4) In relation to a collecting authority which collects CIL on behalf of a charging authority—

(a) in years one to three the total amount of CIL that may be applied to administrative expenses incurred in connection with that collection during those three years, and any expenses incurred before the charging schedule was published, shall not exceed four per cent of CIL collected on behalf of the charging authority over the period of years one to three;

(b) in year four, and each subsequent year, the total amount of CIL that may be applied to administrative expenses incurred in connection with that collection during that year shall not exceed four per cent of CIL collected on behalf of the charging authority in that year.

(5) In relation to a charging authority which does not collect CIL charged by it—

(a) in years one to three the total amount of CIL that may be applied to administrative expenses incurred during those three years, and any expenses incurred before the charging schedule was published, shall not exceed the relevant percentage of CIL collected over the period of years one to three;

(b) in year four, and each subsequent year, the total amount of CIL that may be applied to administrative expenses incurred during that year shall not exceed the relevant percentage of CIL collected in that year.

(6) In paragraph (5) the relevant percentage is five per cent less any CIL which is applied by the collecting authority pursuant to paragraph (4).

(7) For the purposes of this regulation reference to CIL collected in a year includes the value of acquired land acquired by virtue of a land payment made in that year.

(7A) For the purposes of this regulation reference to CIL collected in a year includes the value of infrastructure provided, or to be provided, by virtue of an infrastructure payment accepted in that year.

(8) In this regulation—

(a) year one begins on the date on which the charging authority’s first charging schedule takes effect[^f00038] and ends at the end of the first subsequent full financial year;

(b) years two to four are the consecutive financial years that follow; and

(c) in relation to a collecting authority, the reference to a charging authority in this paragraph is a reference to the charging authority on behalf of whom CIL is collected.

Reporting

62

(1) A charging authority must prepare a report for any financial year (“the reported year”) in which—

(a) it collects CIL, or CIL is collected on its behalf; or

(b) an amount of CIL collected by it or by another person on its behalf (whether in the reported year or any other) has not been spent.

(2) Nothing in paragraph (1) requires an authority to prepare a report about CIL which it collects on behalf of another charging authority.

(3) For the purposes of paragraph (1), CIL collected by a charging authority includes land payments made in respect of CIL charged by that authority, and CIL collected by way of a land payment has not been spent if at the end of the reported year—

(a) development (within the meaning in TCPA 1990) consistent with a relevant purpose has not commenced on the acquired land; or

(b) the acquired land (in whole or in part) has been used or disposed of for a purpose other than a relevant purpose; and the amount deemed to be CIL by virtue of regulation 73(9) has not been spent.

(3A) For the purposes of paragraph (1), CIL collected by a charging authority includes infrastructure payments made in respect of CIL charged by that authority, and CIL collected by way of an infrastructure payment has not been spent if at the end of the reported year the infrastructure to be provided has not been provided.

(4) The report must include—

(a) the total CIL receipts for the reported year;

(b) the total CIL expenditure for the reported year;

(c) summary details of CIL expenditure during the reported year (other than in relation to CIL to which regulation 59E or 59F applied) including—

(i) the items of infrastructure to which CIL (including land payments) has been applied,

(ii) the amount of CIL expenditure on each item,

(iii) the amount of CIL applied to repay money borrowed, including any interest, with details of the infrastructure items which that money was used to provide (wholly or in part),

(iv) the amount of CIL applied to administrative expenses pursuant to regulation 61, and that amount expressed as a percentage of CIL collected in that year in accordance with that regulation; ...

(ca) the amount of CIL passed to—

(i) any local council under regulation 59A or 59B; and

(ii) any person under regulation 59(4);

(cb) summary details of the receipt and expenditure of CIL to which regulation 59E or 59F applied during the reported year including—

(i) the total CIL receipts that regulations 59E and 59F applied to;

(ii) the items to which the CIL receipts to which regulations 59E and 59F applied have been applied; and

(iii) the amount of expenditure on each item;

(cc) summary details of any notices served in accordance with regulation 59E, including—

(i) the total value of CIL receipts requested from each local council; and

(ii) any funds not yet recovered from each local council at the end of the reported year.

(d) the total amount of —

(i) CIL receipts for the reported year retained at the end of the reported year other than those to which regulation 59E or 59F applied;

(ii) CIL receipts from previous years retained at the end of the reported year other than those to which regulation 59E or 59F applied;

(iii) CIL receipts for the reported year to which regulation 59E or 59F applied retained at the end of the reported year; and

(iv) CIL receipts from previous years to which regulation 59E or 59F applied retained at the end of the reported year.

(e) in relation to any infrastructure payments accepted by the charging authority—

(i) the items of infrastructure to which the infrastructure payments relate,

(ii) the amount of CIL to which each item of infrastructure relates,

(5) The charging authority must publish the report on its website no later than 31st December following the end of the reported year.

(6) For the purposes of this regulation—

(a) the value of acquired land is the value stated in the agreement made with the charging authority in respect of that land in accordance with regulation 73(6)(d);

(b) the value of a part of acquired land must be determined by applying the formula in regulation 73(10) as if references to N were references to the area of the part of the acquired land whose value is being determined.

(7) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Infrastructure: amendment to section 216 of the Planning Act 2008

63

(1) Section 216(2) of PA 2008 (application) is amended as follows.

(2) At the end of paragraph (e) insert “ and”.

(3) At the end of paragraph (f) for “, and” substitute “.”.

(4) Omit paragraph (g).

PART 8 — ADMINISTRATION

Notice of chargeable development

64

(1) This regulation applies where planning permission is granted for development by way of a general consent.

(1A) Paragraph (2) does not apply to a development—

(a) to which regulation 42 applies; ...

(aa) in relation to which no CIL is payable because an exemption for residential extensions was granted; or

(b) in relation to which the chargeable amount, calculated under regulation 40, is zero.

(2) Before any development authorised by a general consent is commenced, a notice of chargeable development must be submitted to the collecting authority in respect of that development.

(3) The notice must—

(a) be submitted in writing on a form published by the Secretary of State (or a form to substantially the same effect); and

(b) include the particulars specified or referred to in the form.

(4) The notice must be accompanied by a plan which identifies —

(a) the land to which the notice relates;

(b) any building that is relevant for the purpose of calculating E or KR under regulation 40 and Schedule 1;

(d) the development which is the subject of the notice.

(5) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(6) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(7) A person who submits a notice of chargeable development must notify the collecting authority in writing of any changes to the information provided in that notice before the chargeable development is commenced.

(8) A collecting authority may request a person who has submitted a notice of chargeable development to provide it with such further information, documents or materials which the collecting authority considers relevant to assist it in calculating the chargeable amount.

(9) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Liability notice

65

(1) The collecting authority must issue a liability notice as soon as practicable after the day on which a planning permission first permits development.

(2) A liability notice must—

(a) be issued on a form published by the Secretary of State (or a form to substantially the same effect);

(b) include a description of the chargeable development;

(d) state the chargeable amount;

(da) where the chargeable amount may be paid by way of instalments, include a copy of the charging authority’s current instalment policy (if any);

(e) state the amount of any exemption for residential annexes or extensions, charitable relief or relief for exceptional circumstances granted in respect of the chargeable development;

(f) where social housing relief or an exemption for self-build housing has been granted in respect of the chargeable development, state—

(i) the particulars of each person benefiting from the relief or exemption, and

(ii) for each of those persons, the amount of relief or exemption from which the person benefits; and

(g) contain the other information specified in the form.

(3) The collecting authority must serve the liability notice on—

(a) the relevant person;

(b) if a person has assumed liability to pay CIL in respect of the chargeable development, that person; and

(4) The collecting authority must issue a revised liability notice in respect of a chargeable development if—

(a) the chargeable amount or any of the particulars mentioned in paragraph 2(e) or (f) change (whether on appeal or otherwise); or

(b) the charging authority issue a new instalment policy which changes the instalment arrangements which relate to the chargeable development.

(5) A collecting authority may at any time issue a revised liability notice in respect of a chargeable development.

(6) A liability notice issued in accordance with paragraph (4) or (5) must be served in accordance with paragraph (3).

(7) A collecting authority may withdraw a liability notice issued by it by giving notice to that effect in writing to the persons on whom it was served.

(8) Where a collecting authority issues a liability notice any earlier liability notice issued by it in respect of the same chargeable development ceases to have effect.

(9) A liability notice issued in respect of a chargeable development ceases to have effect if liability to CIL would no longer arise in respect of that chargeable development.

(10) Subject to paragraph (11), a liability notice issued in respect of a chargeable development ceases to have effect once all outstanding amounts due in respect of that chargeable development have been paid to the collecting authority.

(11) A liability notice issued in respect of a chargeable development ceases to have effect at the end of the clawback period if—

(a) charitable or social housing relief , or an exemption for residential annexes or self-build housing, has been granted in respect of that chargeable development; and

(b) no disqualifying event occurs before the end of the clawback period (or, if a disqualifying event under regulation 54D(2)(b) has occurred and the collecting authority may take no further action in relation to that event).

(12) In this regulation “relevant person” means—

(a) in the case of a general consent, the person who has submitted a notice of chargeable development;

(b) in the case of phased planning permission granted subject to a condition requiring that further approval is obtained before commencing development, the person who has applied for that approval;

Local land charges

66

(1) The chargeable amount payable in respect of a chargeable development is a local land charge.

(2) Subject to paragraph (3), the chargeable amount ceases to be a local land charge once all outstanding amounts of CIL due in respect of the chargeable development have been paid to the collecting authority.

(3) The chargeable amount ceases to be a local land charge at the end of the clawback period if—

(a) charitable or social housing relief , or an exemption for residential annexes or self-building housing, is granted in respect of the chargeable development; and

(b) no disqualifying event occurs before the end of the clawback period (or, if a disqualifying event under regulation 54D(2)(b) has occurred and the collecting authority may take no further action in relation to that event).

(4) The chargeable amount ceases to be a local land charge if liability to CIL would no longer arise in respect of the chargeable development.

(5) For the purposes of the Local Land Charges Act 1975[^f00039], the collecting authority is the originating authority as respects a local land charge created in accordance with this regulation.

Commencement notice

67

(1) Where planning permission is granted for a chargeable development, a commencement notice must be submitted to the collecting authority no later than the day before the day on which the chargeable development is to be commenced.

(1A) This regulation does not apply to a development—

(a) to which regulation 42 applies; ...

(aa) in relation to which no CIL is payable because an exemption for residential extensions was granted; or

(b) in relation to which the chargeable amount, calculated under regulation 40, is zero.

(2) A commencement notice must—

(a) be submitted in writing on a form published by the Secretary of State (or a form to substantially the same effect);

(b) identify the liability notice issued in respect of the chargeable development;

(d) include the other particulars specified or referred to in the form.

(3) A person submitting a commencement notice must serve a copy of it on each person known to that person as an owner of the relevant land.

(4) On receiving a valid commencement notice the collecting authority must send an acknowledgment of its receipt to the person who submitted it.

(5) Where charitable or social housing relief has been granted in respect of the chargeable development, the acknowledgement must state the date on which the clawback period ends (on the assumption that the chargeable development is commenced on the intended commencement date).

(6) Subject to paragraphs (6A) and (6B), where a collecting authority receives a valid commencement notice any earlier commencement notice received by it in respect of the same chargeable development ceases to have effect.

(6A) Paragraph (6B) applies where—

(a) a commencement notice (A) has ceased to have effect under paragraph (6); and

(b) the person who submitted A wishes to implement the planning permission to which A related.

(6B) Where this paragraph applies—

(a) notice must be given in writing to the collecting authority that A is to have effect again before commencing the development to which A relates; and

(b) when the collecting authority receive this notice, A is to have effect and any other commencement notices previously received by the collecting authority in respect of the chargeable development cease to have effect.

(7) A person who has submitted a commencement notice may withdraw it at any time before the commencement of the chargeable development to which it relates by giving notice in writing to the collecting authority.

(8) A commencement notice is valid if it complies with the requirements of paragraph (2).

Deemed commencement of chargeable development

68

A collecting authority must determine the day on which a chargeable development was commenced (“the deemed commencement date”) if it—

(a) has not received a commencement notice in respect of the chargeable development but has reason to believe it has been commenced; or

(b) has received a commencement notice in respect of the chargeable development but has reason to believe that it was commenced earlier than the intended commencement date.

Demand notice

69

(1) The collecting authority must serve a demand notice on each person liable to pay an amount of CIL in respect of a chargeable development.

(2) A demand notice must—

(a) be issued on a form published by the Secretary of State (or a form to substantially the same effect);

(b) state the date on which it was issued;

(d) state the intended commencement date or, where the collecting authority has determined a deemed commencement date, the deemed commencement date;

(e) state the amount payable by the person on whom the notice is served (including any surcharges imposed in respect of or interest applied to the amount) and the day on which payment of the amount is due;

(f) where the amount payable is to be paid by way of instalments[^f00040], state the amount of each instalment and the day on which payment of the instalment is due; and

(g) include the other information specified in the form.

(3) The collecting authority may at any time serve a revised demand notice on a person liable to pay an amount of CIL.

(4) The collecting authority must serve a revised demand notice on a person on whom it has served a demand notice if any of the particulars mentioned in paragraph (2)(d), (e) or (f) change (whether on appeal or otherwise).

(5) Where a collecting authority serves a demand notice on a person, any earlier demand notice served on that person in respect of the same chargeable development ceases to have effect.

Payment periods

70

(1) This regulation applies where—

(a) a person has assumed liability to pay CIL in respect of a chargeable development (D);

(b) the collecting authority has received a commencement notice in respect of D; and

(2) The amount of CIL payable (A) to all charging authorities in respect of D is payable in accordance with the following paragraphs.

(3) Where—

(a) A is charged by both the Mayor of London and a London borough council or MDC; and

(b) the London borough council or MDC has issued an instalment policy on or before the commencement date stated in the commencement notice received under paragraph (1)(b),

A is payable in accordance with that instalment policy.

(4) Where—

(a) A is charged by both the Mayor of London and a London borough council or MDC;

(b) the London borough council or MDC has not issued an instalment policy on or before the commencement date stated in the commencement notice received under paragraph (1)(b); and

(c) the Mayor of London has issued an instalment policy on or before the commencement date stated in the commencement notice received under paragraph (1)(b),

A is payable in accordance with the Mayor’s instalment policy.

(5) Where—

(a) A is charged by a London borough council or MDC but not by the Mayor of London; and

(b) the London borough council or MDC has issued an instalment policy on or before the commencement date stated in the commencement notice received under paragraph (1)(b),

A is payable in accordance with that instalment policy.

(5A) Where—

(a) A is charged by the Mayor of London but not by a London borough council or MDC; and

(b) the Mayor has issued an instalment policy on or before the commencement date stated in the commencement notice received under paragraph (1)(b),

A is payable in accordance with that instalment policy.

(6) Where—

(a) A is charged by a charging authority other than the Mayor of London or a London borough council or MDC; and

(b) the charging authority has issued an instalment policy on or before the commencement date stated in the commencement notice received under paragraph (1)(b),

A is payable in accordance with that instalment policy.

(7) In all other cases, A is payable in full at the end of the period of 60 days beginning with the intended commencement date of D.

(8) Where an amount payable in accordance with this regulation is not received in full on or before the day on which it is due—

(a) the unpaid balance of A becomes payable in full immediately; and

(b) the collecting authority must send a copy of any demand notice which it serves as a result of the non-payment to each person known to the authority as an owner of the relevant land.

(9) Where—

(a) the amount of CIL in respect of a chargeable development which is granted planning permission is payable in accordance with an instalment policy; and

(b) a new planning permission (B) is later granted in relation to the development under section 73 of TCPA 1990,

then the amount of CIL in respect of the development granted by B is payable in accordance with that instalment policy.

Payment in full

71

(1) The amount of CIL payable in respect of a chargeable development (D) is due in full on the intended commencement date if—

(a) nobody has assumed liability to pay CIL in respect of D;

(b) the collecting authority has received a commencement notice in respect of D; and

(2) Where the collecting authority determines a deemed commencement for a chargeable development, the amount of CIL payable in respect of that chargeable development is due in full on the deemed commencement date.

(3) Where the collecting authority transfers liability to pay an amount to the owners of the relevant land[^f00041], payment of that amount is due in full immediately.

(4) Where a person is liable to pay an amount as a result of a disqualifying event, payment of that amount is due in full—

(a) at the end of the period of seven days beginning with the day on which a demand notice requiring payment of the amount is issued, if the collecting authority receives notification of the disqualifying event; or

(b) immediately, if the collecting authority does not receive notification of the disqualifying event.

Payment: general

72

(1) This regulation applies to CIL which is paid in money.

(2) Payment must be made to the collecting authority.

(3) Payment is deemed to have been received by the collecting authority on the day on which it receives the cleared funds.

(4) On receiving a payment the collecting authority must send an acknowledgment of receipt to the person making the payment.

Payment in kind

73

(1) A charging authority may accept one or more land payments in satisfaction of the whole or part of the CIL due in respect of a chargeable development.

(2) A land payment is an acquisition of land from a person who would be liable to pay CIL in respect of a chargeable development on commencement of that chargeable development.

(3) Where CIL is paid by way of a land payment the amount of CIL paid is an amount equal to the value of the acquired land.

(4) Paragraph (1) is subject to the following provisions of this regulation.

(5) A charging authority must aim to ensure that acquired land is used for a relevant purpose.

(6) A charging authority may not accept a land payment unless—

(a) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(b) the acquired land is acquired by the charging authority or a person nominated by the charging authority (with that person’s agreement);

(c) the person from whom the land will be acquired has assumed liability to pay CIL in respect of the chargeable development; and

(d) an agreement to make the land payment is entered into before the chargeable development is commenced.

(7) The agreement mentioned in paragraph (6)(d)—

(a) must be in writing and state the value of the land to be acquired; and

(b) may not form part of a planning obligation entered into under section 106 of TCPA 1990.

(8) Where a person other than the charging authority is to acquire the land, the charging authority may not enter into the agreement mentioned in paragraph (6)(d) unless it is satisfied that the person acquiring the land intends to use it for a relevant purpose.

(9) If acquired land is used for a purpose other than a relevant purpose, the charging authority must deem an appropriate cash amount held by it to be CIL.

(10) The appropriate cash amount in respect of a given land payment must be calculated by applying the following formula—

$$N×VA$where—Nthe area of the part of the acquired land not used for a relevant purpose;Athe area of the acquired land; andVthe value of the acquired land as stated in the agreement entered into in accordance with paragraph (6)(d).$

(11) For the purposes of this regulation, the value of acquired land must be determined by an independent person and is the price that the land might reasonably be expected to obtain if sold on the open market on the day the valuation takes place.

(12) The price referred to in paragraph (11) shall not be assumed to be reduced on the ground that the whole of the acquired land is to be placed on the open market at the same time.

(13) For the purposes of this regulation, land is used for a relevant purpose if it is used to provide or facilitate (in any way) the provision of infrastructure to support the development of the charging authority’s area.

(14) In this regulation—

“acquired land” means land acquired by way of a land payment;

“independent person” means a person who—is appointed by a person other than the charging authority with the agreement of—the charging authority, andthe person liable to pay CIL in respect of the chargeable development, andhas appropriate qualifications and experience; and

“land” includes existing buildings and other structures, land covered with water, and any estate, interest, easement, servitude or right in or over land.

Payment in kind: further provision

74

(1) This regulation applies where the CIL payable in respect of a chargeable development is payable (in whole or in part) by way of one or more land or infrastructure payments.

(2) References in regulations 36, 69 and 70 to an amount which is payable (however expressed) include references to a land or infrastructure payment which is payable.

(3) A land payment is deemed to have been received on the day on which the land which is the subject of the payment is acquired.

(3A) An infrastructure payment is deemed to have been received on the day on which the funds to be used to provide that infrastructure have either been used to provide it or are subject to an arrangement made in accordance with regulation 73A(9)(b).

(4) For the purposes of regulation 70—

(a) an instalment may be paid by way of a land payment , an infrastructure payment or in money, or a combination of the three; and

(b) more than one instalment may be paid by way of a given land or infrastructure payment.

(5) For the purposes of regulation 70(8), the unpaid balance must be paid in money.

(6) Where the collecting authority has determined a deemed commencement date in respect of the chargeable development in accordance with regulation 68, the amount of CIL payable in respect of that chargeable development is due in full and must be paid in money.

(7) An agreement to make a land or infrastructure payment is void if, and to the extent that, it purports to bind a charging authority to accept a land or infrastructure payment other than in accordance with these Regulations.

Overpayment

75

(1) Where a person (P) is liable to pay CIL and the amount paid by P proves to be greater than the amount for which P is liable, the collecting authority must, as soon as practicable, repay the overpayment.

(2) But the collecting authority is not required to repay an overpayment where—

(a) it is satisfied that the amount of the overpayment is less than any reasonable administrative costs which it would incur in making the repayment; or

(b) the overpayment is a result of a land or infrastructure payment.

(3) Where a person is entitled to a repayment, the collecting authority must pay that person an additional amount by way of interest on the repayment at a rate which is the higher of—

(a) 0.5% per annum; and

(b) a percentage per annum equal to the Bank of England base rate less one percentage point.

(4) Paragraph (3) does not apply where—

(a) the overpayment is as the result of an application made under section 73 of TCPA 1990; and

(b) the chargeable amount was calculated correctly in relation to that application and the chargeable development it was made in relation to.

Payments to charging authorities

76

(1) This regulation applies where a collecting authority collects CIL on behalf of a charging authority.

(2) The collecting authority must pay to a charging authority an amount (X) equal to the payments it receives (Y) in respect of CIL charged by that charging authority less—

(a) that part of Y which (in accordance with regulation 61(4)) the collecting authority applies to administrative expenses incurred by it in connection with collecting Y; and

(b) any overpayment (including interest) which the collecting authority has repaid under regulation 75.

(3) Subject to paragraph (4), X must be paid to the charging authority by the collecting authority by the end of the financial quarter in which Y is received.

(4) Where the collecting authority first collects CIL on behalf of the charging authority, X must be paid to the charging authority by the end of the first full financial quarter following the day on which the collecting authority first receives a payment of CIL charged by that charging authority.

(5) In this regulation “financial quarter” means a period of three months ending with the last day of March, June, September or December.

Duty to supply information to collecting authority

77

(1) The relevant person (where that person is not the collecting authority) must supply the collecting authority with the following information within 14 days of the day on which planning permission first permits a chargeable development—

(a) sufficient information to identify the planning permission;

(b) the name and address of the person who applied for the planning permission;

(d) the address of the site to which the planning permission relates;

(e) the date on which planning permission first permitted the chargeable development; and

(f) any information held by the relevant person which the relevant person considers the collecting authority requires in order to calculate the chargeable amount.

(2) In paragraph (1) “relevant person” means the person who granted planning permission.

(3) This regulation does not apply where planning permission is granted by way of a general consent.

Requests for information by collecting authority

78

(1) A collecting authority may request, by notice given in writing, a relevant person to supply to it such relevant information as is specified in the notice.

(2) Information requested under paragraph (1) must be supplied by the person requested to supply it if it is in that person’s possession or control, and it must be so supplied within 21 days of the day on which the request is made.

(3) A relevant person may, so far as that person does not have the power to do so apart from under this regulation, supply relevant information to a collecting authority even if it is not requested to supply the information.

(4) Information is relevant information for the purposes of this regulation if it is information which the collecting authority requires for the purposes of carrying out its functions under these Regulations.

(5) In this regulation “relevant person” means—

(a) a charging authority;

(b) a local planning authority (within the meaning of TCPA 1990); or

(d) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Use of information by collecting authority

79

(1) In carrying out its functions under these Regulations a collecting authority may use information obtained under any other enactment provided it does not fall within paragraph (2).

(2) Information falls within this paragraph if—

(a) it was obtained by a committee of the authority in its capacity as a police authority; or

(b) it was obtained by the authority in its capacity as an employer.

PART 9 — ENFORCEMENT

CHAPTER 1 — SURCHARGES AND INTEREST

Surcharge for failure to assume liability

80

Acollecting authority may impose a surcharge of £50 on each person liable to pay CIL in respect of a chargeable development if—

(a) nobody has assumed liability to pay CIL in respect of the chargeable development; and

(b) the chargeable development has been commenced.

Surcharge: apportionment of liability

81

(1) Where a collecting authority is required to apportion liability to pay CIL between each material interest in the relevant land, it may impose a surcharge of £500 in respect of each of those interests.

(2) A surcharge imposed in respect of a material interest under paragraph (1) is payable by the owner of that interest.

(3) A surcharge is not payable under this regulation where the collecting authority is required to apportion a surcharge.

Surcharge for failure to submit a notice of chargeable development

82

(1) Where—

(a) planning permission is granted for a chargeable development (D) by way of a general consent; and

(b) D is commenced before the collecting authority has received a notice of chargeable development,

the collecting authority may impose a surcharge equal to 20 per cent of the chargeable amount payable in respect of D or £2500, whichever is the lower amount.

(2) Where the collecting authority is required to apportion liability between each material interest in the relevant land in respect of D—

(a) the surcharge must be apportioned on the same basis; and

(b) the owner of a material interest must pay the part of the surcharge apportioned to that interest.

(3) In all other cases the surcharge is payable by the person liable to pay CIL in respect of D.

Surcharge for failure to submit a commencement notice

83

(1) Subject to paragraph (1A), where a chargeable development (D) is commenced before the collecting authority has received a valid commencement notice in respect of D, the collecting authority may impose a surcharge equal to 20 per cent of the chargeable amount payable in respect of D or £2500, whichever is the lower amount.

(1A) Subject to paragraph (1B), where a relevant development is commenced before the collecting authority has received a valid commencement notice in respect of the development, then instead of any surcharge which may be imposed under paragraph (1) the collecting authority must impose a surcharge equal to 20 per cent of the notional chargeable amount or £2,500, whichever is the lower amount.

(1B) A collecting authority is not required to impose a surcharge under paragraph (1A) where it is satisfied that the amount of the surcharge is less than any reasonable administrative costs which it would incur in relation to the surcharge.

(2) Where a person has assumed liability to pay CIL in respect of D, the collecting authority must notify in writing each person known to it as an owner of the relevant land of the imposition of the surcharge.

(3) Where the collecting authority is required to apportion liability between each material interest in the relevant land in respect of D—

(a) the surcharge must be apportioned on the same basis; and

(b) the owner of a material interest must pay the part of the surcharge apportioned to that interest.

(4) In all other cases the surcharge is payable by the person liable to pay CIL in respect of D.

(5) In this regulation—

“notional chargeable amount” means the amount of CIL that would have been payable, calculated in accordance with regulation 40 and Schedule 1, in relation to the development, as if the relief had not been granted;

“relevant development” means a chargeable development in relation to which a person has been granted—an exemption for residential annexes;an exemption for self-build housing;charitable relief; orsocial housing relief.

Surcharge: disqualifying events

84

(1) This regulation applies where a person who is required to notify the relevant authority of a disqualifying event fails to do so before the end of the period of 14 days beginning with the day on which the disqualifying event occurs.

(2) The relevant authority may impose a surcharge equal to 20 per cent of the chargeable amount payable in respect of the chargeable development to which the disqualifying event relates, or £2500, whichever is the lower amount.

(3) Where the disqualifying event occurs before commencement of the chargeable development, the surcharge is payable on commencement of that chargeable development.

(4) In all other cases the surcharge is payable on the day that it is imposed.

(5) Where the disqualifying event occurs in relation to a grant of social housing relief, the surcharge is payable by the relevant person within the meaning of regulation 53(10).

(5A) Where the disqualifying event occurs in relation to an exemption for residential annexes, the surcharge is payable by the relevant person within the meaning of regulation 42C(6).

(5B) Where the disqualifying event occurs in relation to an exemption for self-build housing, the surcharge is payable by the relevant person within the meaning of regulation 54D(8).

(6) Where the disqualifying event occurs in relation to a grant of charitable relief, an owner of a material interest in the relevant land in respect of which charitable relief was granted must pay an appropriate portion of the surcharge.

(7) The appropriate portion is an amount which bears to the total surcharge the same proportion as the value of the material interest bears to the total value of all the material interests in the relevant land in respect of which charitable relief was granted.

(8) For the purposes of paragraph (7) the value of a material interest must be determined in accordance with paragraphs (4) and (5) of regulation 34.

(9) Paragraphs (10) and (11) apply where the disqualifying event occurs in relation to a grant of relief for exceptional circumstances.

(10) Where liability in respect of the chargeable development is apportioned between each material interest in the relevant land—

(a) the surcharge must be apportioned on the same basis; and

(b) the owner of a material interest must pay the part of the surcharge apportioned to that interest.

(11) In all other cases the surcharge is payable by the person liable to pay CIL in respect of the chargeable development.

(12) In this regulation “relevant authority” means—

(a) where the disqualifying event occurs in relation to a grant of relief for exceptional circumstances, the charging authority;

(b) in all other cases, the collecting authority.

Surcharge for late payment

85

(1) Where—

(a) a person (P) is liable to pay an amount (A) under these Regulations; and

(b) A is not received in full after the end of the period of 30 days beginning with the day on which payment of A is due,

the collecting authority may impose a surcharge on P equal to five per cent of A or £200, whichever is the greater amount.

(2) If any part of A is not received after the end of the period of six months beginning with the day on which payment of A is due, the collecting authority may impose a surcharge on P equal to five per cent of the unpaid amount or £200, whichever is the greater amount.

(3) If any part of A is not received after the end of the period of 12 months beginning with the day on which payment of A is due, the collecting authority may impose a surcharge on P equal to five per cent of the unpaid amount or £200, whichever is the greater amount.

Surcharge for failure to comply with an information notice

86

(1) This regulation applies where a person (P) fails to comply with any requirement of an information notice before the end of the period of 14 days beginning with the day on which the notice is served.

(2) The collecting authority may impose a surcharge on P equal to 20 per cent of the relevant amount or £1000, whichever is the lower amount.

(3) In paragraph (2) “relevant amount” means the amount of CIL P is liable to pay in respect of the chargeable development.

Late payment interest

87

(1) Where—

(a) a person (P) is liable to pay an amount (A) under these Regulations; and

(b) A is not received (in whole or in part) on the day payment of A is due,

P must pay interest (“late payment interest”) on the relevant amount.

(2) Late payment interest must be calculated—

(a) for the period starting on the day after the day payment was due and ending on the day the unpaid amount is received; and

(b) at an annual rate of 2.5 percentage points above the Bank of England base rate.

(3) Late payment interest is not payable on late payment interest.

(4) Paragraph (2)(a) applies even if the day on which payment of A is due is a non-business day within the meaning of section 92 of the Bills of Exchange Act 1882[^f00042] (computation of time).

(5) In this regulation “relevant amount” means—

(a) where A is an unpaid instalment (payable in accordance with regulation 70), the unpaid balance of the amount payable by P in respect of the chargeable development;

(b) in all other cases the unpaid amount.

Surcharges and interest: general

88

(1) ... Interest payable by a person under this Chapter must be collected by treating it as if it were part of the CIL that person is liable to pay.

(2) A surcharge or interest paid to a collecting authority under this Chapter must be treated for the purposes of Part 7 as if it were CIL.

(3) A surcharge paid to a collecting authority under this Chapter must be treated—

(a) for the purposes of regulations 59A (payment of CIL to local councils) and 59E (use of CIL in an area to which regulation 59A does not apply), as if it were not CIL; and

(b) for all other purposes of Part 7 as if it were CIL.

CHAPTER 2 — CIL STOP NOTICES

Preliminary steps

89

(1) This regulation applies if—

(a) an amount which has become payable in respect of a chargeable development has not been paid; and

(b) the collecting authority considers it expedient that development should stop until the amount has been paid.

(2) The collecting authority may issue a notice warning of its intention to impose a CIL stop notice (“warning notice”) in respect of the chargeable development.

(3) A warning notice must be served on—

(a) the person who is liable for the unpaid amount;

(b) each person known to the authority as an owner of the relevant land;

(d) any other person whom the collecting authority considers may be materially affected by a CIL stop notice.

(4) A warning notice must be in writing and must—

(a) state the date of the notice;

(b) set out the authority’s reasons for issuing the warning notice;

(d) state that payment of the unpaid amount is due in full immediately;

(e) state the period after which a CIL stop notice may be issued if the unpaid amount is not paid (which must not be less than three days or more than 28 days after the warning notice is issued); and

(f) specify the effect of, and possible consequences of failure to comply with, a CIL stop notice[^f00043].

(5) The collecting authority must display a copy of the warning notice on the relevant land.

Service of CIL stop notice

90

(1) This regulation applies if—

(a) the collecting authority has issued a warning notice in respect of a chargeable development; and

(b) the amount specified in the warning notice is unpaid (in whole or in part) at the end of the period specified in the notice.

(2) The collecting authority may serve a CIL stop notice in respect of the chargeable development.

(3) A CIL stop notice must be served on—

(a) the person who is liable to pay the unpaid amount;

(b) each person known to the authority an owner of the relevant land;

(d) any other person whom the collecting authority considers may be materially affected by the CIL stop notice.

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The Community Infrastructure Levy Regulations 2010

Social housing relief

49

Social housing relief: qualifying amount

50

Social housing relief: procedure

51

Social housing relief: disposal of land before occupation

52

Withdrawal of social housing relief

53

Social housing relief: information notice

54

Discretionary relief for exceptional circumstances

55

Exceptional circumstances: notification requirements

56

Exceptional circumstances: procedure

57

Exceptional circumstances: procedure in London

58

PART 7 — APPLICATION OF CIL

Application to infrastructure

59

Reimbursement of expenditure incurred and repayment of loans

60

Administrative expenses

61

Reporting

62

Infrastructure: amendment to section 216 of the Planning Act 2008

63

PART 8 — ADMINISTRATION

Notice of chargeable development

64

Liability notice

65

Local land charges

66

Commencement notice

67

Deemed commencement of chargeable development

68

Demand notice

69

Payment periods

70

Payment in full

71

Payment: general

72

Payment in kind

73

Payment in kind: further provision

74

Overpayment

75

Payments to charging authorities

76

Duty to supply information to collecting authority

77

Requests for information by collecting authority

78

Use of information by collecting authority

79

PART 9 — ENFORCEMENT

CHAPTER 1 — SURCHARGES AND INTEREST

Surcharge for failure to assume liability

80

Surcharge: apportionment of liability

81

Surcharge for failure to submit a notice of chargeable development

82

Surcharge for failure to submit a commencement notice

83

Surcharge: disqualifying events

84

Surcharge for late payment

85

Surcharge for failure to comply with an information notice