About the Community Infrastructure Levy (CIL)

The Community Infrastructure Levy (CIL) is a tax, introduced by the Planning Act 2008 as a tool for local authorities in England and Wales to help deliver infrastructure to support the development of their area. It came into force on 6 April 2010 through the Community Infrastructure Levy Regulations 2010. New development that creates net additional floor space of 100m2 or more, or creates a new dwelling, is potentially liable for the levy.

CIL in Hertsmere

We adopted CIL on 17 September 2014, with CIL coming into effect from 1 December 2014. This followed endorsement of our Community Infrastructure Levy Charging Schedule by the planning inspectorate in December 2013. All planning applications determined on or after 1 December 2014 may be liable to pay CIL, in accordance with the below charging schedule.

CIL charging schedule

New development in the categories listed below is potentially liable to pay CIL if it creates net additional floor space of 100m2 or more, or creates a new dwelling.

  • Residential Area A (Elstree, Borehamwood, Potters Bar) = £120/m2
  • Residential Area B (Bushey, Radlett) = £180/m2
  • Retail = £80/m2
  • Specialised Accommodation (e.g. Retirement Homes) = £120/m2
  • Hotels = £120/m2

 

It is important to note that CIL rates are subject to indexation. In November of each year, the CIL rate is adjusted based on the national ‘all-in tender price index’, which is published by the Build Cost Information Service (BCIS). Indexation is applied based on the date that planning permission is granted, not the date on which the application is submitted. For example, if you submit a planning application in September 2016 and permission is granted in December 2016, the development will be subject to the indexation rate as at December 2016.

Disclaimer: CIL is a government tax and we do not have powers (under the CIL Regulations) to waive any part of a CIL charge where there has been noncompliance. Failure to read and comply with the CIL Regulations 2010 (as amended) may result in substantial financial cost being incurred by yourself or your client. Please read the Key Points and Consequences of failing to follow the CIL Regulations sections very carefully.

calculating floorspace for CIL.

Important note to agents:

For information, the CIL notices are served to the appointed agent, where one has been provided. We are aware that the final liability lies with the applicant. However, the agent will usually be the one coordinating the works and is therefore responsible for submitting all CIL forms as well as acting in compliance with the CIL Regulations 2010.

Where contact details for an agent have been provided with the planning application, we will not contact the applicant directly. The applicant will only be contacted directly if no agent has been provided or if further instructed to do so. In which case, contact address, as well as telephone contact details for the applicant will need to be provided.

Consequences of failing to follow the CIL Regulations

It is important for applicants or agents to note that their failure to follow the requirements within the CIL Regulations will result in the Council imposing surcharges and late payment interest on the CIL Liability for the development approved in accordance with Part 9, Chapter 1 of the CIL Regulations. In addition, if these measures are unsuccessful in making the applicant or agent (or any other named party which has assumed liability) follow the procedures within the CIL Regulations, it may be appropriate for us to serve a CIL Stop Notice on the development and/or apply to the Magistrates Court for a Liability Order. Failure to comply with CIL Stop Notice or a Liability Order is a criminal offence which could result in an unlimited fine or imprisonment of liable parties.

Consequences of non-payment guidance

Self-build relief requirements guidance

CON29 Searches

The council maintains a Community Infrastructure Levy (CIL) database. All CIL liable and CIL exempt applications are placed on the Local Land Register, as a Local Land Charge. A CON29 search will reveal the planning reference numbers of existing CIL applications, and conveyance solicitors are expected to contact our CIL officer before completing a sales transaction, where there is a CIL encumbrance.

When a property is being resold, we will also need a CIL Transfer of Assumed Liability (Form4) to be completed once the exchange of contracts has been completed. All enquiries should be directed to the Research and Monitoring Officer in the Planning Policy Team: cil.monitoring@hertsmere.gov.uk.

CIL calculator

The below calculator can be used to determine your CIL liability.

CIL calculator (updated November 2018) 

What CIL documentation do I need to submit with my planning application?

Planning applications must be accompanied by a CIL additional information form.

If you answer ‘yes’ to any of questions 2(a), 2(b), 3(a) or 3(b) of the additional information form, you should also submit an assumption of liability form with your application. This form should be submitted even if you intend to claim an exemption or relief from CIL.

If you answer ‘yes’ to any of question 4(a), 4(b), 4(c) or 4(d) of the additional information form, you should also submit the relevant exemption/relief claim form with your application. The forms are available here: 

CIL relief and exemptions

Some developments may be eligible for relief from CIL. Depending on the circumstances. More information can be found here:

Community Infrastructure Levy

If you intend to claim relief, it is important that you do so by submitting the relevant form before you start the development. Ideally, the claim form would have been submitted with your planning application. The relevant forms are available here: 

 

If you fail to submit a commencement notice prior to starting works, you will lose eligibility to claim relief.

Householder Applications For Extensions of a Private Home (with the Postscript HSE)

In February 2014, following approval of our CIL charging schedule, by a Planning Inspector, an amendment to the CIL Regulations had introduced an exemption for residential extensions.

A decision was taken by the Executive, on the 13 January 2016, that we would adopt an approach not to apply CIL to planning applications with the ‘HSE’ postscript. However, the dwelling will have to be the owners main residence, where they will need to be living at the address for a minimum period of three years, once the works have been completed.

CIL Installment Plan

CIL Charging Authorities can choose to allow CIL to be paid in instalments. our Instalment Policy sets out when payment of CIL would be due depending on the total amount of CIL payable, should developers wish to phase their CIL payments rather than pay the full costs on commencement of development. This instalment policy takes effect from 1 January 2019 and will only apply to CIL payable as a result of commencement notices served on or after 1 January 2019. Please read the instalment policy for further guidance.

Cil Installment Plan (167KB)

CIL Monitoring Report 17/18

CIL Monitoring Report 17/18 (117KB)

Contact

If your CIL question has not been answered above, please get in touch by emailing cil.monitoring@hertsmere.gov.uk.