Most new development which creates net additional floor space of 100 square metres (Gross Internal Area) or more, or creates a new dwelling, is potentially liable for the levy.
The levy only applies in areas where a local authority has consulted on, and approved, a charging schedule that sets out its levy rates and has been published on its website. If in any doubt, do contact your local authority to check.
Some developments may be eligible for relief or exemption from the levy. There are strict administrative procedures required to be eligible for these reliefs or exemptions – and typically these must be granted before you start any material operation on site.
How and when CIL is levied is set out in law, and it is not negotiable. The Community Infrastructure Levy Regulations 2010 (as amended) apply. Planning Practice Guidance has helpful supporting notes (although the regulations always take precedence if there is any apparent inconsistency between the two). You can purchase consolidated regulations from specialist legal firms.
Please remember to use the correct formulae for calculation (Schedule 1 of the CIL Regulations) – incorrect calculations can mean substantial over or underestimates of liability.
CIL can be complex; do seek professional advice. Quod’s CIL team is available at email@example.com