Waverley Borough Council has welcomed the Government's announcement that it intends to reform the Community Infrastructure Levy (CIL) Regulations after acknowledging that some homeowners have faced significant charges because of procedural errors under the current system.
In a letter sent to all council leaders in England, the Minister of State for Housing and Planning has confirmed that the Government will consult on changes to the CIL Regulations to ensure householders and self-builders who would otherwise qualify for an exemption are not faced with unexpected CIL liabilities because they have not followed the correct procedures set out in the legislation.
The council has consistently recognised the difficulties experienced by some homeowners affected by the current legislation and has repeatedly called on Government to review the Regulations. Waverley has previously written to Ministers highlighting concerns that the current legislation can produce disproportionate outcomes in some cases and urging the Government to amend the law. Throughout this process, council officers have also been in direct dialogue with officials at the Ministry of Housing, Communities and Local Government to share Waverley's experience and help inform discussions on potential reforms.
The Minister's letter also provides important clarification on the current legal position. It confirms that, under the existing Regulations, householders must obtain confirmation that an exemption has been granted before development commences in order to qualify for relief. These requirements have been in place since the exemptions were introduced in 2014, and reflect the advice consistently provided by Waverley officers in administering the legislation.
The letter further confirms that, while councils have a legal duty to collect Community Infrastructure Levy where it is due, they have discretion over the timing and nature of enforcement activity, allowing authorities to consider what is reasonable and proportionate in the circumstances of individual cases. This reflects Waverley's existing CIL Enforcement Policy and working practices.
Councillor Liz Townsend, Portfolio Holder for Planning and Economic Development, said:
"We welcome the Government's acknowledgement that aspects of the current legislation need to change and its commitment to consult on reforms that will help prevent similar situations arising in future.
"We've long recognised that some homeowners have experienced difficult circumstances under the current Regulations. That's why Waverley has consistently called on Government to review the legislation, as we believed the only lasting solution was to change the law itself. We're pleased the Government has now committed to doing just that.
"Throughout this issue, the council has had a legal duty to administer the Community Infrastructure Levy in accordance with national legislation. The Minister's letter provides helpful clarification of the current legal framework and confirms that the council has been implementing CIL in accordance with the Regulations.
"We look forward to responding constructively to the Government's consultation and helping to develop a system that is clearer, fairer and more proportionate for householders, while continuing to ensure that Community Infrastructure Levy funding supports the infrastructure needed by local communities."
The Minister's letter also confirms that, in exceptional circumstances, councils may consider making discretionary ex gratia compensation payments from their general funds. It makes clear that these would not constitute a waiver or refund of Community Infrastructure Levy and that any decision would be for individual authorities to make, taking into account the facts and circumstances of each case and following appropriate legal advice.
The Government has said it intends to publish its consultation on proposed changes to the Community Infrastructure Levy Regulations as soon as possible.
ENDS