The total amount of liability calculated for a development can be paid in instalments, in accordance with the instalment policies currently adopted for each Charging Schedule area.
It is important to consider developer cashflow. Therefore, CIL payments can be delayed for up to 720 days from commencement (dependant on level of CIL liability) to improve development economics. The benefits to delivery outweigh the fact that local authority receipts will be delayed.
It should be noted that under the regulations, each phase in an outline permission is treated under CIL as a separate chargeable development. The liability notice for each phase is triggered separately at the point where the planning permission ‘first permits’ development of that phase. Liability to pay is then triggered by commencement of the phase.
This policy has been prepared in accordance with regulation 69B of the 2010 Community Infrastructure Regulations (as amended).
The Council will allow payment of CIL by instalments to the total amount of the liability as follows:
| Total Amount of CIL Liability | Number of Instalments | Payment Period and Amounts |
|---|---|---|
| Up to £75,000 | Two | 1st instalment - 25% payable by 60 days from commencement 2nd instalment - 75% payable by 360 days from commencement |
| Greater than £75,000 | Four | 1st instalment - 20% payable by 60 days from commencement 2nd instalment - 20% payable by 360 days from commencement 3rd instalment - 30% payable by 540 days from commencement 4th instalment - 30% payable by 720 days from commencement |
1. Where an outline planning permission permits development to be implemented in phases, each phase of the development is a separate chargeable development and will be collected in accordance with the Instalment Policy.
2. Nothing in this Instalment Policy prevents the person with assumed liability to pay CIL, to pay the outstanding CIL (in whole or in part) in advance of the instalment period set out in this policy.
| CIL Liability | Instalments |
|---|---|
| Up to £3,500 | No instalments - 100% payable 60 days from commencement |
| From £3,501 to £75,000 | 1st instalment - 30% payable by 60 days from commencement 2nd instalment - 70% payable by 360 days from commencement |
| Over £75,000 | 1st instalment - 30% payable by 60 days from commencement 2nd instalment - 30% payable by 360 days from commencement 3rd instalment - 30% payable by 540 days from commencement 4th instalment - 10% payable by 720 days from commencement |
Notes:If any planning permission is phased, then each phase will be a different chargeable amount and will be collected in accordance with this instalment policy. The person(s) with assumed liability to pay, can pay the outstanding CIL payment (in part or full) in advance of the instalment period set out in this policy if they wish. |
|
ApplicationPurbeck CIL Instalment Policy will apply to the payment of CIL as stated above: 1. where the Council has received a valid CIL Assumption of Liability form prior to commencement of the chargeable development; and 2. Where the Council has received a valid CIL Commencement Notice prior to commencement of the chargeable development. Missed instalmentsIf an instalment is missed or paid late, the total liability remaining must be paid immediately and will be subject to late payment interest calculated in accordance with Regulation 87. Disqualifying eventsIf a disqualifying event occurs, the total liability, including any surcharge (see below) will become due seven days after the issue of a Demand Notice, if notification is given by the party liable. If the Council does not receive notification, the total liability, including surcharge, will become due on the day that the Council becomes aware of the disqualifying event. Daily interest charges are applicable from the first day after the due date and late payment surcharges will be imposed after 30 days, 6 and 12 months from the due date. When a disqualifying event occurs, the total CIL liability will become payable. SurchargesIn addition, the CIL Regulations give the Council a discretion to apply surcharges where there has been:
As the surcharges are to ensure that authorities do not suffer financially by having to carry out additional tasks, the Council will normally apply the relevant surcharge. However, the General Manager - Planning and Community Services may in exceptional circumstances consider not applying a surcharge having regard to:
If you are liable for CIL, it is your responsibility to be aware of and follow the correct procedures on all Liability and Demand Notices that are issued in regard to your development. Failure to comply will incur extra costs through surcharges and interest payments, as set out in this Policy and the Community Infrastructure Levy Regulations 2010 (as amended). |
|
CIL becomes due for payment upon commencement of the development, and must be paid in full within 60 days of the commencement date if the contribution sought is up to £60,000. Where the contribution sought exceeds £60,000, the contribution can be paid in accordance with the schedule below.
Nothing in this Instalment Policy prevents payment in advance of the periods set out below.
Where an outline planning permission permits development in phases, each phase is a separate chargeable development and will be collected in accordance with this Instalment Policy. This may apply to schemes which have full planning permission as well as to outline permissions.
| CIL Payable | Instalments |
|---|---|
| Up to £60,000 | Payable 60 days from commencement |
| Greater than £60,000 | 1/3 payable 60 days from commencement 1/3 payable 360 days from commencement 1/3 payable 540 days from commencement |
CIL becomes due for payment upon commencement of the development, and must be paid in full within 60 days of the commencement date if the contribution sought is up to £60,000. Where the contribution sought exceeds £60,000, the contribution can be paid in accordance with the schedule below.
Nothing in this Instalment Policy prevents payment in advance of the periods set out below.
Where an outline planning permission permits development in phases, each phase is a separate chargeable development and will be collected in accordance with this Instalment Policy. This may apply to schemes which have full planning permission as well as to outline permissions.
| CIL Payable | Instalments |
|---|---|
| Up to £60,000 | Payable 60 days from commencement |
| Greater than £60,000 | 1/3 payable 60 days from commencement 1/3 payable 360 days from commencement 1/3 payable 540 days from commencement |
