Agenda item

[Report of the Assistant Director for Planning. To be introduced by the Cabinet Member for Housing, Regeneration and Planning. Following the consultation on the Community Infrastructure Levy Preliminary Draft Charging Schedule, and associated governance arrangements for CIL spending, and draft Regulation 123 list, Cabinet will be asked to note the findings of the consultation, approve governance arrangements for the spending of Haringey CIL, and agree that, an updated draft Planning Obligations SPD will consulted on.

The Cabinet Member for Housing, Regeneration and Planning introduced the report which provided a summary of the comments received in the consultation on the CIL [Community Infrastructure Levy]. The report further sought agreement to: consultation on the Planning Obligations SPD, the CIL governance arrangements, and a new revised Regulation 123 List.

The Cabinet Member for Housing, Regeneration and Planning highlighted:

• That seeking agreement to consultation on the Planning obligations SPD, would strengthen the Council’s position on obtaining more funding for affordable housing for the borough. This exercise would also help to formalise the Council’s approach on viability assessments and to enable a firmer approach, in respect of affordable housing numbers, with developers at the planning application stage. The SPD would also support ensuring new developments meet their zero carbon commitments and include the addition of affordable workspace clauses.

• Cabinet previously agreed consultation on the CIL and this was carried out between March and May 2017. This considered increases in the CiL rates to maximise the benefits of regeneration activities. In the consultation an important issue had been raised which had not been detected by the Scrutiny Panel which had previously undertaken a review of CIL. This was the fact that, for outline applications the Council had already granted, the new CIL rate will be applicable to the subsequent reserved matters applications. In these circumstances, the LPA has determined the application based upon a balance of obligations and viability predicated on a CIL liability rate of £15m². The imposition of a change in CIL to £130m² would have a significant detrimental impact on delivering these regeneration schemes and the levels of affordable housing negotiated. Evidence indicated that the increase should take place in Jan 2019 so in the medium to longer term the Council can obtain the CiL return and in the more immediate term continue to preserve the affordable housing already negotiated.

• The revised 123 list which sets out what the CIL would be spent on was important to update, to ensure it reflected the priorities of the Council.

In response to a question from Councillor Engert, the following information was noted:

There was no association between the lower CIL rate in Tottenham and the High Road West Scheme agreements. The Housing Zone was also currently running at 40% affordable housing. This was a complex scheme and involved multiple landowners. The Cabinet Member with officers were working hard to get buy in from these landowners to build a new area with a new health centre and new housing.

The Cabinet Member drew Cabinet’s attention to the recommendations at 3.3 and clarified that the reference to paragraph 5.16 should be 6.16 and the reference to paragraph 5.13 and paragraph 5.15 should read 6.13 and 6.15. The Cabinet Member further clarified that Appendix B was attached at pages 209 to 222 and that appendix C was attached at pages 223 to 275.

Taking account of the changes to paragraph 3.3 outlined above and further to considering the Regulatory comments set out in the tabled pack:

RESOLVED

1.    That Cabinet note the findings of the PDCS consultation (at Appendix A).

2.    That Cabinet agree to defer consultation on the Draft Charging Schedule (DCS), until such time as its publication will not put known development within Tottenham Hale at viability risk.

3.    That Cabinet to adopt the revised Regulation 123 List (Para 6.16) and the governance arrangements for the spending both the strategic (Para 6.13) and neighbourhood (Para 6.14 – 6.15) portions of CIL for inclusion in the existing CIL Charging Schedule (at Appendix B).

4.    That Cabinet approve publication of the Draft Revised Planning Obligations Supplementary Planning Document (provided at Appendix C) for public consultation in accordance with the Haringey Statement of Community Involvement.

Reason for Decision

As the Council has been collecting CIL since November 2014, it is necessary that it put in place clear governance arrangements for spending both the neighbourhood and strategic portions of CIL monies.

Having been subject to consultation, the revised Regulation 123 List will help provide clarity about the types of infrastructure the Council will consider eligible for funding through the strategic portion of CIL.

The revised Planning Obligations Supplementary Planning Document (SPD) will give greater clarity to the Council’s priorities for the collection of Section 106 planning contributions.

Alternative options considered

The Council has had regard to legal advice in regard to whether the proposed PDCS was likely to be found sound at Examination in Public, and whether it would have a significant adverse impact on emerging developments in the Tottenham Hale area. The conclusion of this is that it could indeed have a prejudicial impact on development with existing outline consents, and consequentially the CIL charging schedule is recommended to be delayed. More details on the legal opinion are included at Paragraphs 5.6 – 5.10.