Agenda item

Community Infrastructure Levy (CIL) Partial Review: Draft Charging Schedule (DCS) Consultation

This report provides an update on the Haringey CIL; sets out the next steps for the partial review of the Council’s CIL Charging Schedule; and seeks that the Regulatory Committee recommends Cabinet’s approval to: publish the Draft Charging Schedule and associated evidence base documents for public consultation; give delegated authority to the Director for Housing, Regeneration and Planning to finalise and approve the proposed Submission documents, including any proposed modifications to the Submission documents arising from consultation; and submit the Draft Charging Schedule, the Council’s responses to the representations submitted, and the necessary procedural and evidence base documentation for examination.

 

Minutes:

Rob Krzyszowski, Head of Planning Policy, Transport & Infrastructure, introduced the report as set out.  The Haringey CIL came into effect in 2014, and the rate for the East of the Borough was set at £15 per sqm.  A previous consultation had been carried out in 2017 to increase the rate, but this had not been implemented due to the impact it would have had on approved outline planning applications at the time.  BNP Paribas has carried out a viability assessment and recommended that the rate be increased to £50 per sqm for the East.  Officers considered that this rate was the limit for the area based on the evidence provided.  If the rate was set too high, with no evidence base, then the charging schedule would be rejected at examination stage, and the Council would be left with the existing rate.  It was expected that the new rate could be implemented in early 2021, and no further increases should be required (the rates would increase in line with inflation).

 

Officers responded to comments and questions from the Committee:

-           Page 5, student accommodation 2nd bullet point should read as £85.

-           The new rate would apply to new permissions applied for from the date of implementation – it would not affect developments where permission had already been granted.

-           Increasing the rate in 2017 would have resulted in issues with approvals for outline planning applications, as viability assessments would have been calculated based on the old CIL rate.  An increase in the CIL rate would have resulted in a loss of affordable housing for the Hale Wharf and Ashley Gardens developments.

-           Comparisons had been made with neighbouring boroughs, however it was not directly comparable as each borough would have their own affordable housing policy, and this would have an impact on the CIL rate set.

-           Consultation would be targeted at the Planning Policy database.  It was anticipated that developers would consider that the rate was set too high, but unless alternative evidence could be provided, officers felt that the Council was in a good position to present the proposed rate at examination stage.

-           There would be other consultations on neighbourhoodCIL spending, separate to this consultation.

 

RESOLVED that

 

i.          The update on the Haringey CIL be noted;

ii.         The next steps for the partial review of the Council’s CIL Charging Schedule be noted;

iii.       Cabinet be recommended to approve the public consultation, in accordance with Regulation 16 of the CIL Regulations 2010, for the following Proposed Submission documents, prior to their submission for examination:

-           The Haringey CIL Draft Charging Schedule (Appendix B) as revised and updated from the Preliminary Draft Charging Schedule;

-           Community Infrastructure Levy: Eastern Haringey Viability Update Study prepared by BNP Paribas (October 2019) (Appendix C);

iv.       Cabinet be recommended to delegate authority to the Director for Housing, Regeneration and Planning, following consultation with the Cabinet Member for Climate Change and Sustainability, to finalise and approve the Proposed Submission documents (as set out in recommendation 3), in accordance with section 212 of the Planning Act 2008 and Regulation 19 of the CIL Regulations 2010 (as amended) for submission for examination, including to:

-              Make modifications to the Submission documents arising from consultation and throughout the examination, including undertaking any necessary further consultation to ensure the legal requirements are met;

-              Submit the Draft Charging Schedule, the Council’s responses to the representations submitted to the Draft Charging Schedule, and the necessary procedural and evidence base documentation, together with any proposed modifications.

Supporting documents: