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Lambeth proposes increase in CIL

Words: Laura Edgar
Money / iStock-185267728

Lambeth Council has announced that it wants to increase the amount developers will pay through the community infrastructure levy (CIL) to help the council to deliver its goals.

Current rates were set in 2014 but the council explains that they no longer reflect the growth and increased value of developing property in the borough.

Proposed modifications to the CIL rates would see developers make a larger financial contribution depending on the type of project and its location.

The proposed changes were submitted for examination in June. The resulting examiner’s report made no more amendments and the proposals have been sent for further independent evaluation.

Matthew Bennett, deputy leader of Lambeth Council and cabinet member for planning, investment and new homes, said increasing the levy would enable the council to  “invest more money from investment and growth to benefit our diverse communities right across the borough”.

CIL zones

  • Zone A - would include Waterloo and Vauxhall Nine Elms
  • Zone B - would remain as Kennington, Oval and Clapham
  • Zone C - Brixton, Tulse Hill and Herne Hill
  • Zone D - Streatham and West Norwood

If the changes are adopted, Lambeth will be split into four zones (see box) rather than three under the existing CIL charging schedule. The new CIL rates will include:

  • Higher rates for residential development of £500 per square metre in Zone A, £350 per square metre in Zone B, £250 per square metre in Zone C and £200 per square metre in Zone D.
  • Higher rates for offices at £225 per square metre in Zones A and B. Office developments in Zones C and D will not be charged.
  • Higher rates for hotels at £200 per square metre in Zone A while a lower rate of £75 per square metre will be charged in the rest of the borough.
  • Large retail developments with over 280 square metres in floor space will be charged a flat £225 per square metre across the entire borough.

Bennett added: “Lambeth Council is committed to working with our development partners to ensure that the whole borough can benefit from some of the exciting construction projects in the pipeline.”

The examiner’s report will be presented to the council later this year and will be asked to approve the changes. If approved, the new rates would be in place by 1 January 2022.

Image credit | iStock