developers – The Community Planning Toolkit

Local Planning System

Planning permissions and local plans are not isolated decisions or policies – they are part of a local planning system which is joined up to national policies…

Planning permissions and local plans are not isolated decisions or policies - they are part of a local planning system which is joined up to national policies...

In more detail

The local planning system is based on the idea that alongside the rights of landowners, the wider community has an interest in and rights to do with how land and buildings are developed.

These rights and interests arise from:

the effect that development has on immediate neighbours
the wider effects of development, for example on the capacity of local infrastructure and on the local taxpayers who maintain it
the idea of neighbourhood community: that all of us who live in an area have a legitimate interest in its value as a place in which to live and work.

Balance

The planning system aims to balance these rights and interests - personal and social - with a view to deciding what development should go ahead. The system is concerned with spatial planning: not simply how individual plots of land and buildings should be used and developed; but also how they relate to each other to create places. This includes transport links and other links between them and the shared systems for serving them; and the relationships between where people live and where they will work. By balancing the rights of people with an interest in a place, the planning system is our shared way of shaping places.

Democratic and Coherent

It is a democratic system - the authorities in charge of the planning system are the councils we elect.

The video above is of the Planning Committee meeting in Birmingham which took place on 23 June 2016.

The system is participative as well as representative: we are able to take part through consultation on planning decisions and as participants in making plans. But the system is based on law and on objective policy which aims to ensure that all parties are treated fairly. Local plans are subject to a National Planning Policy Framework which is based on law agreed by Parliament. When decisions about planning permission are made, they have to fit with national and local policy. When a new local plan is made, it must fit with existing national and local policy - in the form of the local development framework).

Limiting and Enabling

The planning system says what can or cannot be developed. It does not say what will be developed - that is up to the owners of the land. Local plans set limits and enable development within those limits. They are not prescriptive. The planning system allows for some development to go ahead that is outside the terms of what local plans enable. In these cases, however, the developer may have to pay some contribution to the community to compensate.

Key Facts:

The local planning system balances the righst and interests of land-owners with the wider community. It is democractic because the authorities in charge of it are the councils we elect. But planning decisions must fit in with local and national planning policy. New local plans must fit in with national policy and the existing local framework. Plans set limits on development, but they enable development within those limits. Plans and planning decisions are enabling rather than prescriptive: they say what may happen; not what will happen.

Page Links from here

The Plain English Guide to the Local Planning System is published as a PDF by government

The CPRE website has a useful section Planning Explained and the Planning Help site

In this toolkit, have a look at:

National Planning Policy Framework

Local Development Framework

OR you can use the navigation menu above right to look at other parts of the toolkit.

BIRMINGHAM COMMUNITY PLANNING TOOLKIT DEFINITION SHEET This sheet may be reproduced in paper or electromic or any other form but please mention it was made by Chamberlain Forum Limited for Birmingham City Council supported by Department for Communities and Local Government.

created: 2016-07-26 19:49:34

by: admin

status: f published

Local Development Framework

The policies and rules set out by your local council which help them to decide how to deal with development proposals. Neighbourhood plans (led by the community) and local plans (led by the council) form part of the framework alongside other higher level documents.

In more detail

The Local Development Framework is the spatial planning strategy for a council area. It describes how the area can be developed and the restrictions on development and explains why they exist. The local development framework is made up of:

the local core development strategy - which is related to the overall strategy of the council for developing the whole area it sovers
local development documents - which are high level plans which might cover several neighbourhoods
a statement of community involvement - describes how communities can be involved in shaping the framework
local development scheme - lists the schedule
annual monitoring reports

And may also include:

supplementary planning documents (SPDs - these include local plans and neighbourhood plans)
local development orders (these include community-led development orders as well as those declared by the council)
details of any simplified planning zones.

Plans are hierarchical. The Local Development Framework in your area MUST fit inside the terms of the National Planning Policy Framework. Supplementary Planning Documents - including neighbourhood plans - MUST fit within the terms of the Local Planning Framework.

The video above is an explanation of the Local Development Framework by Ron Tate of the Royal Town Planning Institute

Key Facts:

The Local Development Framework is the spatial planning strategy for your area. It consists of a number of documents which you can find online and/or by contacting your council planning department. The Local Planning Framework includes policy that any neighbourhood plan for your area must fit in with. In turn, it must comply with the terms of the National Planning Policy Framewprk set by government.

Page Links from here

In this toolkit see:

Spatial Planning

Local Planning System

National Planning Policy Framework

Local Plans

Neighbourhood Plans

OR you can use the navigation menu above right to look at other parts of the toolkit.

created: 2016-07-11 15:43:05

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status: f published

Planning Obligations

Where does ‘section 106 money’ come from… and could the same rules that enable it also provide land for affordable housing or green open space in your neighbourhood?

Where does 'section 106 money' come from... and could the same rules that enable it also provide land for affordable housing or green open space in your neighbourhood?

In more detail

Planning obligations are legally-binding commitments that the owners of land make to the local council in order to win planning permission for development that would otherwise not be acceptable. They are frequently called section 106 agreements (section 106 of the Town and Country Planning Act 1990 which sets out the basis for them in law). The purpose of section 106 agreements is to mitigate the impact of development of the site.

What form do they take

Planning obligations may: restrict the way the land can be developed or used; require the developer to take certain actions in relation to the land or to use the land in a specified way; or require the developer to pay money or in-kind (by transferring the ownership of land etc.) to the authority. A developer may also enter into planning obligations under the terms of section 278 of the Highways Act 1980 which provides for payments to councils in respect of increased spending on highways as a result of new development.

Developer Contributions

Together with Community Infrastructure Levy, planning obligations under section 106 and section 278 are sometimes also called ‘developer contributions’. Unlike the Community Infrastructure Levy, which is charged across classes of development according to a tariff set by the local council, planning obligations entered into through section 106 agreements and section 278 agreements are site-specific and the subject of individual assessment and agreement.

Sometimes the developer contribution arising from a smaller development is dealt with by a unilateral undertaking by the developer (made under the terms of section 106) rather than a full section 106 agreement.

When are they used and what for and how communities benefit

The tests for a section 106 agreement are that it must be:

be necessary to make the development acceptable in planning terms
relate directly to the development
be fair and reasonable in scale and kind given the details of the development.

Councils commonly use planning obligations to make housing developers provide a proportion of affordable housing or financial contributions towards the cost of infrastructure or affordable housing. But, so long as the tests above are met, agreements can be used flexibly to mitigate the effects of development. This could be, for example, by providing new community facilities or open space to replace those lost or damaged by development; by providing funding for a school or for public transport improvements; or carrying out town centre improvements.

It would be misleading to think that community groups can ‘bid in’ for section 106 funding, but if your neighbourhood is affected by development, it is right that your neighbourhood benefits from any planning obligations that are entered into. Community groups can help the council to develop appropriate policies for an area which will form the basis of deciding whether any planning obligations are needed and help to indicate the form they might take. Section 106 agreements are put out for consultation in the same way and to the same timescale as planning applications.

Key Facts:

Planning obligations – commonly known as section 106 agreements – are payments and duties agreed by developers to councils to make development acceptable. Unlike Community Infarstructure Levy (CIL), which is charged at a flat rate, planning obligations are specific to a particular development proposal. Together with CIL, planning obligations are called 'developer contributions'. Community groups can influence the policies which determine how 'section 106 money' is spent.

Page Links from here

DCLG's Planning Practice Guidance on Planning Obligations

and in this toolkit:

Community Infrastructure Levy

Developers

OR you can use the navigation menu above right to look at other parts of the toolkit.

created: 2016-07-01 22:35:13

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status: f published

Community Infrastructure Levy

Community Infrastructure Levy is a charge on development which can be used to improve the places affected by it. In places which have a neighbourhood plan, a higher proportion of CIL can be retained in the neighbourhood.

In more detail

Community Infrastructure Levy is a tool councils can use to make developers pay towards the cost of infrastructure that enables further development. Part of the money raised by CIL must be spent on priorities agreed with people in the area affected by the development. The proportion is increased in areas covered by a neighbourhood plan.

Developers pay Community Infrastructure Levy (CIL) on new development above a certain size. They must provide information when applying for planning permission to enable the council to work out the amount of CIL which will be due. Councils set their own rates of CIL. In doing so, they have to balance the needs for current development against the need to fund infrastructure to support and enable further development. CIL must then be paid when work on the development site starts ‘on the ground’.

Using CIL

Councils can use CIL to fund a wide range of infrastructure, including: transport, flood defences, schools, hospitals, other health and social care facilities; play areas, parks and green spaces; cultural and sports facilities; district heating schemes; police stations and other community safety facilities. It must be used to fund things which will support the development of the area. It must be used to fund new infrastructure or renew infrastructure on which the development in question depends. It can’t be used to ‘prop up’ existing infrastructure; and it can’t be used for housing.

At least 15% of CIL has to be spent on priorities agreed with the local community in areas where development is taking place. In places where this a parish council, this share is passed to the parish council. In places where there is no parish council, the council consults with the local community about their priorities. When development happens in an area covered by a neighbourhood plan, the minimum to be spent on local priorities – decided by the parish council or through consultation) rises to 25%.

The neighbourhood portion of CIL can be spent on a wider range of things than the rest of CIL: it just needs to be spent on things which will support the development of the area. These rules mean that neighbourhood CIL, unlike the rest of CIL, can be used to fund affordable housing.

There are exemptions from CIL including for self-builders, some social housing, charitable development and vacant buildings brought back into use. Councils can exempt additional types of development from CIL within the area they cover.

The video below is an update on CIL produced by Legal Network TV

Setting a Local Rate for CIL

The process for setting a rate for CIL in an area is: the council holds public consultation on the proposed rates of charges it intends to make; the schedule of charges is examined by a Planning Inspector; the examiner’s report is published; and the charging schedule can then be adopted at a meeting of the full council (not just the planning committee etc). Examples of what different rates of CIL have been set:

Birmingham has two residential charging zones with rates of £69 and £0 per square metre; two hotel charging zones with rates of £27 and £0 per square metre; two student housing developments charging zones with rates of £69 and £0 per square metre. Large convenience retail developments are charged at £260 per square metre. No charge for all other uses.
Leeds has four residential charging zones with rates of £5, £23, £45 and £90 per square metre. There are two charging zones for supermarket developments with rates of £110 and £175 per square metre; two charging zones for large comparison retail with rates of £35 and £55 per square metre. City centre offices are charged £35 per square metre. Publicly funded or not for profit developments are not be charged CIL. All other uses are charged at £5 per square metre.
London Borough of Camden charges CIL on small residential developments at £500 per square metre. There are three large residential development and private care home development charging zones with rates of £500, £250 and £150 per square metre; two student housing development charging zones with rates of £400 and £175 per square metre; two hotel development charging zones with rates of £40 and £30 per square metre. All retail developments are charged £25 per square metre. There are two office development charging zones with rates of £45 and £25 per square metre. There are no charges for industrial, warehousing, or research developments. All other commercial developments are charged £25 per square metre. No charge for all other uses.
Exeter charges residential developments at £80 per square metre; student housing developments at £40 per square metre. There are two retail development charging zones with rates of £125 and £0 per square metre. No charge for all other uses.

Below is a presentation on Community Infrastructure Levy made by Siedah Martey in 2016:

Key Facts:

Community Infastructure Levy (CIL) is a charge on developers which acts as a contribution to restoring and improving local infrastructure. That includes things like parks, sports facilities, police stations etc. If your area has a neighbourhood plan, then more of the CIL resulting from development can be kept in the locality (rather than used more widely by the council). But, the council sets the rate for CIL and in some cases may set it at a very low rate (in order to attract developers and investment in the area). The sums derived from CIL for use in the neighbourhood can be quite modest.

Page Links from here

Planning Portal on Community Infrastructure Levy

An Overview of Community Infrastructure Levy produced by Department for Communities and Local Government and available from the link as a PDF

Resources aimed at local councils explaining CIL are still available from Planning Advisory Service

In the toolkit:

Developers

Infrastructure

Local Development Framework

Neighbourhood Planning

Neighbourhood Planning and Infrastructure Bill

Planning Obligations

OR you can use the navigation menu above right to look at other parts of the toolkit.