Waverley Borough Council has written to the Secretary of State for Housing, Communities and Local Government, the Rt Hon Angela Rayner MP, urging the Government to reform the national legislation surrounding the Community Infrastructure Levy (CIL).
In the letter, Councillor Paul Follows, Leader of Waverley Borough Council, raises serious concerns about the current CIL regulations, which he describes as inflexible, complex and unfair to homeowners undertaking residential projects such as extensions or annexes.
“The Community Infrastructure Levy was meant to be a simpler, faster and more transparent way to fund local infrastructure,” said Cllr Follows. “But in practice, it’s a confusing and unforgiving process where small, honest mistakes can leave residents facing life-changing financial penalties.”
Under current rules, some residential improvements such as large home extensions can incur significant charges if homeowners unintentionally fail to follow the strict application process. For example, missing a step, such as not submitting a commencement notice before work begins, can result in the loss of exemption and automatic liability for the full levy. In such cases, councils have no legal discretion to intervene.
Waverley Borough Council is working within its limited powers to address the issue. Proposals are being developed for a discretionary review scheme, enabling homeowners to request a reassessment where they believe CIL has been applied incorrectly. The council is also reviewing its enforcement policy to provide greater clarity and consistency.
“If the council makes an error, we’ll do everything we can to put it right,” added Cllr Follows. “But when a resident makes an honest mistake, our hands are tied. That’s why we need national reform. Councils must be given the flexibility to act with fairness and common sense.”
While the council supports the principle that development should contribute to local infrastructure, it believes the current CIL system is disproportionate for small-scale household projects. It is calling for urgent legislative change to make the system clearer, fairer, and more aligned with its original purpose.
“Of course infrastructure matters, and developers should pay their fair share,” said Cllr Follows. “But it’s hard to justify the same bureaucracy and penalties for someone simply trying to build a granny annexe or extra bedrooms. We’re asking the Government to act now on reforms promised more than a decade ago.”
ENDS