Money will be raised for roads and community facilities in Peterborough through a new model of contributions from developers.
The Community Infrastructure Levy (CIL) is expected to raise approximately £18 million towards new infrastructure in Peterborough by 2031.
The introduction of the CIL was agreed by a full meeting of the city council last night (Wednesday, April 15)
The CIL means that a flat fee can be charged for each square metre of floor area in new developments of eligible residential dwellings, supermarkets, convenience retail stores and retail warehouses that get planning permission from April 24 onwards.
The money raised from the levy will be used to fund infrastructure such as roads, schools and community facilities.
A percentage of the levy will be passed on to local communities to help fund infrastructure projects which have been identified as important by residents as part of, for example, a Neighbourhood Plan.
The levy is good news for local people as these changes will make the developer contributions’ system faster.Simon Machen
Simon Machen, corporate director of growth and regeneration at the city council, said: “The levy is good news for local people as these changes will make the developer contributions’ system faster and more straight-forward.
“It will allow greater choice and flexibility when funding the infrastructure we need to support new developments and the wider community.
“Peterborough is growing as fast as almost anywhere in the UK and this new levy will mean that we will have the funding in place to grow in the right way.”
The city council will still use Section 106 planning obligations, although in a scaled back manner, to fund necessary on-site infrastructure improvements such as affordable housing, open space and site specific traffic measures.
For more on the CIL, see http://democracy.peterborough.gov.uk/ieListDocuments.aspx?CId=116&MId=3458&Ver=4. A Q&A can be found in Appendix G in the cabinet report.