The Community Infrastructure Levy (commonly called 'the levy' or 'CIL') was launched in April 2010. This is a new way of collecting developer contributions, to help fund infrastructure projects. It also allows local authorities to charge a tariff, at a locally set rate, on many types of new development.
The money can then be used to pay for a wide range of additional infrastructure that is required as a result of development. This can include transport schemes, green infrastructure and community facilities.
Newcastle and Gateshead Councils are working together on the emerging joint Core Strategy and Urban Core Plan and on preparing for the introduction of the Community Infrastructure Levy (CIL). CIL will help to deliver necessary infrastructure to support our ambitions and development growth within the Core Strategy and Urban Core Plan.
The Government has made it clear that from April 2014 they expect CIL to be the main source of funding for major infrastructure schemes that are needed due to new development and growth, such as new roads and schools. In line with recent government guidance, we are committed to ongoing dialogue with you to ensure that CIL rates strike an appropriate balance between the desirability of funding infrastructure from the levy and the potential effects of the imposition of CIL on the economic viability of development across our area.
To understand where and what is viable in NewcastleGateshead, the Councils worked together to produce a high level Viability Assessment (VA) of our areas. The VA report helped us to understand where and at what level to set the Preliminary Draft Charging Schedule rates to achieve this balance. The Councils do not want to set a rate that will deter development growth or threaten the deliverability of the Core Strategy and Urban Core Plan.
Since the PDCS consultation closed, we have reviewed the responses and technical evidence. The next stage is to check that you are content with the updated assumptions being used in our viability model before we publish the updated Viability Assessment and move on to the Draft Charging Schedule consultation.
We have created a questionnaire on our online portal that sets out these assumptions, and allows you to provide comments. We are also interested in your views on what you think the impact of charging CIL will be on our ability to deliver the objectives of the Core Strategy and Urban Core Plan. Please follow the below link to access the questionnaire:
Questionnaire on Viability Assumptions
Page last updated: 9 May, 2013
