Planning applications liable for CIL
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The CIL Charging Schedule came into effect on 1 July 2014.
Not all developments are liable for CIL. However, as the charging authority, we determine whether a proposed development is liable to pay CIL. To determine this, all planning applications for full planning permission must include a completed 'CIL determination form'. This includes householder applications and reserved matters following an outline planning permission, and applications for lawful development certificates. Where applications are submitted without a completed CIL determination form, the planning application will not be registered or progressed until an appropriately completed form is received.
Help completing the CIL determination form is available on the Planning Portal.
The definitions for CIL Liability are set out in the CIL Regulations. In addition to this the Government has issued Community Infrastructure Levy Guidance which is in a question and answer format that covers the majority of queries about CIL.
Is my application proposal liable for CIL?
The following types of planning applications are liable for CIL:
- Any development that realises new floorspace
- Development that results in the creation of one or more new dwellings
- Any development that proposes the conversion of an existing building that is not an in-use building (a building that has been in lawful use for a continuous period of six months within the preceding 3 years.)
Providing that the development does not comprise works that are:
- For the purpose of creating or carrying works out to a building into which people do not normally go
- For the purpose of creating or carrying works out to a building which people only access intermittently for the purposes of inspecting or maintaining fixed plant or machinery, Any development that realises new floorspace
- Development that only affects the interior of a building
- The conversion of any building previously used as a dwelling to two or more separate dwelling houses.
If you are uncertain whether your proposal is liable for CIL, you should submit a CIL Question Form with your application. We can then work out whether CIL is payable or not.
How is a development's size calculated?
The size of development is calculated on the basis of its Gross Internal Area (GIA). The Royal Institute of Chartered Surveyors has produced guidance on how to calculate GIA and this is contained in a document called Code of Measuring Practice 6th Edition.
My planning application is liable for CIL, what do I need to do now?
For details of the CIL process, please refer to the CIL process guidance note.
The CIL Question Form is a planning application requirement. You must submit this form with your application if your proposal is liable for CIL. The CIL question form guidance will help you complete the form.
How much will I have to pay?
Eligible developments that receive planning permission from 1 July 2014 will be charged in accordance with the rates set out in the CIL Charging schedule. The amount payable is calculated when planning permission is granted. Example calculations of CIL Liability are shown in guidance note 1 - example calculations of CIL liability (PDF).
CIL Indexation
CIL payments must be index linked from the year that CIL was introduced to the year that planning permissions are granted. The index we must use is the national All-in Tender Price Index published by the Build Cost Information Service (BCIS).
Relief from CIL charges
The CIL Regulations make provision for certain types of CIL Liable development to receive exemption from the CIL Charge. The CIL Regulations make provision for two types of exemption, mandatory exemptions, i.e. exemptions that always apply, and discretionary exemptions, i.e. exemptions that the council, as charging authority, have resolved to make available.
The mandatory exemptions are:
The council has resolved to offer the following discretionary
- Charitable Developments for Investment (Regulation 44, CIL Guidance Note 4: Charitable Development)
- Charitable Development as State Aid (Regulation 45, CIL Guidance Note 4: Charitable Development)
- Low Cost Home Ownership of Social Housing (Regulation 49A, CIL Guidance Note 3: Social Housing Relief) Detailed information on the processes for claiming this relief is contained in Section 7 of the Community Infrastructure Levy Guidance.
It should be noted that above exemptions, with the exception of Minor Developments and Residential Annexes and Extensions, must be applied for and are not attributed as a matter of right. Minor Developments and Residential Annexes and Extensions exemptions will be determined by the Council as part of the administration process of the application.
The CIL Regulations set out specific requirements for the applicant and the charging authority for progressing the CIL Charge. It should be noted that the above exemptions are only available if ALL of the CIL requirements are met and the appropriate forms and notices are submitted at the appropriate time. Details of the process and the requirements for applicants are set out in the "I Have Submitted My Application and CIL Determination Form, What Happens Next?" section set out below.
Where the CIL Regulations requirements have not been met exemptions can not be made available and the full CIL charge becomes payable immediately, or upon commencement of development.
Further information and examples of calculating social housing and charitable relief are shown in the guidance notes below:
Paying in instalments
The CIL regulations make provision for the council, as the charging authority, to make available a discretionary scheme of payments by instalments, which it is required to publish on its website. The council has resolved to operate such a scheme and has published it in Instalment Policy. The policy makes provision for instalments for developments where the total value of CIL is over £10,000 and sets out the periods of payment and the amount of the total CIL charge to be paid at each instalment.
It should be noted that the instalment policy can only be made available where the requirements of the CIL Regulations have been met and the required notices have been submitted at the appropriate times. If the CIL Regulations requirements have not been met then the full amount of the CIL Charge becomes payable immediately or upon commencement of the development.
If my application is granted, what happens next?
Following the submission of both the planning application and the CIL Determination Form, they will be validated to ensure that the application and form contain the appropriate information for the application to be considered and determined. If not the application and/or Form will be sent back to the applicant advising what extra information is required. If the application and form are acceptable the planning application will be considered and determined.
If the planning application is refused permission then no further action will be taken in respect of CIL (other than a Decision Notice being issued).
Where the application is permitted the council will issue a Liability Notice, which sets out the level of the CIL Charge that applies to the permitted development, together with the planning Decision Notice, which permits the development.
Once the Decision Notice and the Liability Notice has been issued the applicant will need to complete and submit the following prior to the commencement of development:
- Assumption of Liability Notice
This notice applies to all applicants and notifies the council of who will legally be paying the CIL Charge. This notice must be completed and be returned to the council prior to the commencement of any of the permitted development. .
- Commencement Notice
This notice applies to all applicants and notifies the council of when the permitted development will actually start. This notice must be completed and returned to the council prior to the commencement of any of the permitted development.
- Claim for relief form
This notice only applies to applicants who are seeking exemptions to the CIL Charge. There are separate forms for each type of exemption. Again this form should be completed and submitted to the council prior to the commencement of any of the permitted development.
- Demand Notice: The council will then issue a 'Demand Notice' for the CIL payment.
It should be noted that the above forms should be completed and submitted to the council prior to development commencing. Where the forms are submitted after development has commenced the council cannot offer any exemptions or instalments, and the full amount of the CIL Charge is liable to be paid within 60 days of the commencement of the development.
It should also be noted that in certain circumstances, such as developments where permanent permission is sought for a development only granted temporary consent, or where an extension of time application is submitted, the development is deemed to have commenced on that day that the subsequent application is permitted, not the actual commencement date of the development. Consequently all forms in such cases would need to be submitted to the council prior to the issue of the decision notice for the application in order for the development to retain any exemptions and instalments.
When the Assumption of Liability Notice and the Commencement Notice has been received the council will issue a Demand Notice. This Notice sets out the amount of the CIL Charge to be paid, the amount of exemption or relief from CIL that has been granted, what instalments are being allowed and the date when each instalment, or the total CIL Charge, is due to be paid.
There may be instances where there are changes in ownership of land or responsibility in respect of the development. In such cases the CIL Liability may change. Where such changes take place the developer must notify the council of the changes. To do this the applicant will need to submit one or both of the following:
- Withdrawal of assumption of liability form
This form is used where responsibility for a development changes prior to the commencement of development and the requirement for the CIL Charge has not been triggered. This form can only be submitted prior to the commencement of the development and submission of such a form nullifies any social housing exemption previously granted to the development. - Transfer of assumed liability form
This form is used for cases where responsibility for a development changes after the development has commenced, and consequently the requirement for the CIL Charge has been triggered.
Permitted development and prior notification development
In rare cases, 'permitted development' (that is development which does not require planning permission) may be of sufficient scale to be liable to CIL. You must serve a notice of chargeable development to us before the development starts. The CIL charge is then calculated and applied as though planning permission had been issued.
CIL Forms
Assumption of liability notice
Claim for relief form
Withdrawal of assumption of liability
Transfer of assumed liability
Notice of chargable development
Commencement notice
SB1-1 Self build exemption claim form (part 1)
SB1-2 Self build exemption claim form (part 2)
SB2 Self Build Annex or Extension Claim Form
What happens if I do not pay the charge?
Unlike Section 106 obligations, CIL payment is mandatory and non-negotiable. If you do not pay on time you will be subject to a penalty without further notification and any agreement for you to pay by instalments will be withdrawn. There are strong enforcement powers and penalties for failure to pay, include 'stop notices', surcharges and prison terms.
Appeals
You can appeal against the council's decision in relation to your CIL liability. Please note that appeals must be made within 60 days of the liability notice being issued. Appeals can only be made after you have first formally asked us to recalculate the CIL amount.
Further details can be found on the Planning Portal.
What will CIL monies be spent on?
The proceeds raised through the charge can then be used by the Council to fund necessary infrastructure where there is insufficient or no funding to deliver it. It is a requirement that the Council prepares and publishes a list of all infrastructure that could be delivered through CIL. This list is set out in the Council document Regulation 123 List of Infrastructure.
Further information
Further details can be found on the Planning Portal.
Call 01495 235215 or email planadmin@caerphilly.gov.uk.
