Community Infrastructure Levy (CIL)

What is CIL?

CIL is a charge/levy on new development, the purpose of which is to help fund the provision of strategic infrastructure. It is for use in connection with the extra demand placed on infrastructure generated by new development. It can be applied to most residential, commercial and other new development (including some permitted development) and is charged as £/per sq. m of net additional floorspace. The levy is not intended to be the main source of finance for infrastructure in the borough, but it will help to fund the identified gap.

The Mayoral CIL is already in place and is a charge on new development to help fund Crossrail. Whilst this charge is collected by London boroughs, it is passed to the Mayor.

Ealing’s CIL will be in addition to the Mayoral CIL and the monies raised will help fund infrastructure within our own borough.

Legislative requirements

The legislation and guidance needed to set the CIL is in place. The Community Infrastructure Levy Regulations 2010, setting out the scope and procedures, came into force on 6 April 2010. The Community Infrastructure Levy (Amendment) Regulations 2012 came into force on 29 November 2012. Updated CIL guidance was then published by DCLG in December 2012. Links to these documents are provided below.

How the levy is set

The purpose of CIL is to provide a simple and transparent means of collecting funding for strategic infrastructure. The levy is set at a cost/£ per square metre of net additional floorspace. The legislation does however allow authorities to apply differential charging rates if the viability evidence supports this approach. Differential rates can potentially be applied across different parts of a borough or by type of development (e.g. residential/office/retail/leisure) only if the viability evidence warrants this variation.