Planning Obligations, Community Infrastructure Levy and Viability

Planning obligations are secured under Section 106 of the Town and Country Planning Act (1990).  This is a legal agreement between the Council and the developer,  which is negotiated when granting a planning permission. It ensures that developers carry out or contribute financially towards infrastructure or services required by proposed developments.  For example, new play areas for a new housing estate, or road improvements which will be needed. 

The Community Infrastructure Levy (CIL) is a levy which the Council charges on many new developments.  The CIL is charged per square metre on many new buildings, based on their use and location.  The CIL does not replace the need for Planning Obligations, which will continue to be secured to cover on-site measures that are needed to make a specific development acceptable, such as access works, drainage and greenspace management, and affordable housing.

The City Council abide by the fundamental principle that planning permission may not be bought or sold. We will only seek a planning obligation if it would be wrong on land use planning grounds to grant planning permission without it.

For further information on planning obligations and CIL contact:

Planning Obligations Monitoring Officer



Approved Developer Contribution Models

Local Training and Employment Planning Guidance


Viability Appraisal

Where proposals for development accords with all relevant policies, no viability assessment will be required. However, where on viability grounds it is not possible to comply with the associated local plan polices then a financial viability appraisal will be required.

The Council has produced a Guidance Note for Developers on Viability Appraisal  in Newcastle upon Tyne (January 2020) (pdf, 1mb) to guide developers on the Council’s assessment of viability considerations and appraisals submitted with planning applications.



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