Out-Law / Your Daily Need-To-Know

The London Borough of Lewisham has published its community infrastructure levy (CIL) draft charging schedule (DCS) for consultation, proposing differential rates for residential developments according to post code. 

The DCS divides the Borough into two charging zones along a 'post code boundary' which the Council said is 'already utilised within the development industry'. Zone 1 covers the northern part of the Borough and includes post codes SE3, SE8, SE10 and SE16. Zone 2 covers the remainder of the Borough.

For residential uses, the Council proposes that developments in Zone 1 will be subject to a CIL rate of £100 per square metre and that developments in Zone 2 will be subject to a rate of £70 per sq m. The Council said this was in response to 'postcode related data' which had highlighted a general increase in house prices from south to north through the borough and a corresponding increase in development viability levels.

A zero rate levy is proposed for business developments and for all other developments the proposed rate is £80 per sq m in both charging zones.

In addition to CIL charged by the Council, any developments in the Borough will also be subject to Mayoral CIL. The Mayoral CIL charge in Lewisham is £35 per sq m on all uses except for health and education purposes, which are exempt from the charge.

The DCS consultation will run from 3 December to 31 January. The Council said it hopes to have CIL adopted and running by late 2013 or early 2014.

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