The Community Infrastructure Levy (CIL) is a new charge which allows the Council to raise funds from developers undertaking new build projects. The money raised will be used to pay for infrastructure like transport, schools, health facilities, and parks, needed to support development.
Sections in this guide (click title to view)
- 1. Lambeth CIL
- 2. The Mayor of London's CIL
- 3. How CIL is charged
- 4. Neighbourhood CIL and Cooperative Local Investment Plans (CLIPs)
- 5. CLIPs completed
- 6. CLIPs in progress
- 7. Useful Links
1. Lambeth CIL
The Lambeth CIL came into effect on 1 October 2014. Please see the Approved Charging Schedule. This means that any planning application granted permission on or after that date may be liable to pay CIL if it is over 100 sq.m gross internal floor area, or create one or more new residential dwellings (other than self-build dwellings).
The Lambeth CIL charges (per square metre of gross internal floor area) are:
|Development type||Zone A – Waterloo and Vauxhall||Zone B – Kennington, Oval and Clapham||Zone C – Streatham, West Norwood, Streatham Hill, Tulse Hill, Brixton and Herne Hill|
|Large Retail Development *||£115||£115||£115|
|All other uses not identified above||Nil||Nil||Nil|
(*) Large Retail Development is defined as being either retail warehouses or superstores/ supermarkets, where:
- Retail warehouses: are large stores specialising in the scale of household goods (such as carpets, furniture, and electrical goods), DIY items and other ranges of goods catering for mainly car-born customers.
- Superstores/supermarkets: are shopping destinations in their own right, selling mainly food or food and non-food goods, which must have a dedicated car park.
Because CIL charges relate to land values, and these vary across the borough, there are three CIL charging zones in the Borough. See the CIL charging zones map.
You may apply for statutory relief from CIL for social housing and buildings in operational use for charitable purposes.
Background to CIL
The Government introduced the CIL Regulations in 2010, giving councils the power to charge CIL to help fund infrastructure. CIL is levied on new development, in proportion to the amount of floorspace in the development. In addition the CIL rate depends on development viability, so there are different CIL rates for different forms of development, and in different parts of the borough.
CIL rates are set on the basis of studies to decide on development viability, and the rates recommended by these studies are subject to public consultation and an examination in public before they can be put in place.
In the case of Lambeth, the study, consultation and examination process happened from 2011 to mid 2014. The rates set by the examiner were in most cases the same as those recommended by the viability study, but in the case of hotels and student housing, were reduced from those recommended by the viability study.
Associated Lambeth CIL Policy Statements
As part of the operation of CIL in Lambeth, there are associated policy statements setting out the way that the CIL system is administered. These are:
Regulation 123 list - The CIL regulations state that the Council must publish a list of the infrastructure projects or categories on which income from CIL will be spent. See the Lambeth Regulation 123 List
CIL instalments policy - The Regulations provide for councils to allow payment of CIL on larger projects in instalments, to help cash flow on those projects. The Lambeth instalments policy is the same as that adopted by the Greater London Authority, and has been adopted by a number of other London boroughs. See the GLA / Lambeth instalments policy
CIL Land and Infrastructure Payments - Allows for the payment of CIL Liability, in part or full, through, either provision of land, or infrastructure provision directly by developers, at the discretion of the Council. This will be subject to the Infrastructure provided being included in the published Regulation 123 List. See Land Payments and availability of infrastructure payments statement.
Exceptional circumstances relief policy - There may be individual projects where a matter peculiar to the proposal or the site would make the scheme unviable if the standard CIL charge were to be applied. This policy gives the Council the power to consider granting full or partial relief from the CIL liability if it can be demonstrated to the Council’s satisfaction that payment of the full CIL liability would make the project unviable. See the Lambeth exceptional circumstances relief policy
Charitable CIL relief - The CIL regulations give the Council the power to offer discretionary relief from CIL to charities, for charitable purposes and commercial developments they make, The Council has updated this approach as from 1 December 2014. See the charitable development CIL relief policy
Discretionary Social Housing Relief – Mandatory relief will be applied for social housing provided by Local Authorities or Registered Providers. In addition, in Lambeth, at the Councils discretionary relief may also be considered for discounted market sales. See Discretionary Social Housing Relief statement
The CIL charge will include indexation which will take account of price increases between the time when charging schedules setting out an authority’s rates come into force, and the time at which planning permission is granted.
For more information on CIL email Mary-ellen Mulleny at MMunnelly1@lambeth.gov.uk
2. The Mayor of London's CIL
On 1 April 2012, the Mayor of London introduced a Mayoral Community Infrastructure Levy (CIL) to help fund Crossrail - the cross-London railway project. Lambeth collects the charge in the borough on behalf of the Mayor.
The rate of the Mayor's CIL varies across London, but the Mayor has set the charge in Lambeth at £35 per square metre of net increase in floorspace.
This is a flat rate across the borough and the same rate applies to all types of development, apart from education and health facilities, which are exempt from the Mayoral CIL.
Liability for the Mayoral CIL will be calculated at the same time as that for the Lambeth CIL, and is payable at the same time.
Find out more about the Mayoral CIL
3. How CIL is charged
An approved planning application will be liable to pay CIL if it either results in 100 m² or over of new floorspace, or if it results in a new dwelling (except self-build housing). Please note that CIL is non-negotiable.
As the local planning authority, Lambeth must assess which developments are liable to pay the Community Infrastructure Levy (CIL) and the Mayor’s CIL and then collect the amount due. For the Mayor’s CIL Lambeth must pass this money on to Transport for London.
For more information on CIL and to find the forms described below, visit the Planning Portal website.
How to calculate your CIL liability If you believe that your planning application is liable for CIL and would like to calculate what your liability will be for the Lambeth CIL and Mayor’s CIL, use the CIL Calculator.
The process of CIL collection
Everyone making a planning application must complete a CIL form - Additional Information Requirement form to allow authorities to calculate levy liability. The completed form should be submitted alongside the planning application form. If this information is not included, the planning application will be invalid. Download the guidance notes on how to complete this form.
If CIL applies to the submitted scheme, we will calculate the amount and show the respective amounts on a Lambeth Liability Notice and a Mayoral CIL liability notice issued along with the Planning Decision Notice.
Before development starts the person who will pay CIL must serve an Assumption of Liability Notice (Form 1) on the Council. This will normally be either the landowner or the developer.
Relief or exemption may be available - you can apply for this by completing either the Claiming Exemption or Relief form (Form 2), the Self-Build Exemption form (form SB1-1) or the Self-Build Annex or Extension form (SB2). You must apply for the relief and have it granted before the development starts. For more information on reliefs and exemptions please visit the Lambeth CIL and Mayor of London’s CIL sections on this website and for further guidance, visit the Planning Portal website
The developer must serve a Commencement Notice (Form 6) on the Council once construction begins.
Once the Council receives the Commencement Notice (or becomes aware that development has started), the Council will serve a Demand Notice for the full amount of CIL or, if the development meets the criteria of the instalments policy, a demand notice for payment of the first instalment.
If the Council does not receive a Commencement Notice and the development starts, the full amount of CIL is payable immediately and penalties will be applied.
4. Neighbourhood CIL and Cooperative Local Investment Plans (CLIPs)
The way that developers fund improvements to the local area such as parks, roads and schools has changed. This process was managed through Section 106 agreements (S106) but will now primarily take place through the Community Infrastructure Levy (CIL) for new developments. A percentage of CIL, known as Neighbourhood CIL (NCIL), will be invested in local projects.
In 2014, Lambeth’s Cabinet agreed to:
- Increase the percentage of Neighbourhood CIL (NCIL) for local projects from 15% to 25%
- Develop Co-operative Local Investment Plans (CLIPs) to give people a greater say in priorities and proposals for spending Neighbourhood CIL
- Establish seven CLIP areas along ward boundaries to facilitate community consultation at a workable local and administrative level.
Lambeth Co-operative Local Investment Plan (CLIP) areas
- Waterloo CLIP area: Bishop’s ward
- North Lambeth CLIP area: Prince’s and Oval wards
- Stockwell CLIP area: Larkhall, Stockwell and Vassall wards
- Clapham CLIP area: Clapham Town, Clapham Common, Thornton and Ferndale wards
- Brixton CLIP area: Brixton Hill, Tulse Hill, Coldharbour and Herne Hill wards
- Streatham CLIP area: Streatham Hill, St Leonard’s, Streatham Wells and Streatham South wards
- Norwood CLIP area: Knight’s Hill, Thurlow Park and Gipsy Hill wards
Using these boundaries, the council will consult with local communities on their priorities for investing Neighbourhood CIL in their area.
Local councillors will review this feedback and agree final priorities which will be published in a Co-operative Local Investment Plan (CLIP). The council will use the CLIP to guide future investment decisions over five years.
5. CLIPs completed
Following engagement with local people living and working in the area, the pilot CLIP for Stockwell, Vassall, and Larkhall wards was approved by Cabinet Member decision on 27 March 2017. Subject to project approvals and funding availability, priorities guided by ward councillors will be delivered over five years from April 2017 to March 2022.
You can view the Stockwell CLIP here
For more information about the engagement process for the Stockwell CLIP see here.
Following engagement with local people living and working in the area, the CLIP for Gipsy Hill, Knight's Hill and Thurlow Park wards has been approved by Cabinet Member decision. Subject to project approvals and funding availability, priorities guided by ward councillors will be delivered over five years from January 2018 to December 2022.
You can view the Norwood CLIP here
For more information about the engagement process for the Norwood CLIP see here.
6. CLIPs in progress
North Lambeth CLIP
Following engagement with local people living and working in the area, the Council is now conducting an analysis of the responses and findings will published in Spring 2018.
For more information about the engagement process for the North Lambeth CLIP see here.
The Waterloo CLIP is currently live. You can have your say on your priorities on the Waterloo Commonplace webpage.
For more information about the engagement process for the Waterloo CLIP see here.
Other CLIP areas
Brixton, Clapham and Streatham CLIPs will be developed in 2018.
7. Useful Links
There are a number of websites and links in addition to this website which contains further useful information and guidance for CIL as well as assisting in the determination and calculation of the CIL liability such as the following:-
There are other websites and sources of additional information on the Community Infrastructure Levy. This may be useful for those who want some additional background papers, documents or further information regarding the Community Infrastructure Levy, but there may be further web pages or sites that provide relevant information for your intended purposes. Therefore this list is not exhaustive.
This page will also be refreshed as new sites are identified as being useful links or where the identified web pages are out of date.
|Community Infrastructure Levy - Frequently asked questions||425.33 KB|
|Stockwell CLIP April 2017.pdf||4.25 MB|