The Community Infrastructure Levy is a legislative charge designed to require
developers to contribute towards essential infrastructure. While self-builders,
residential annexes, and smaller home extensions are exempt from CIL payments,
in Waverley applicants must first complete the necessary paperwork to secure this
exemption. Unfortunately, errors in paperwork or residents not being aware that
they have to apply for an exemption has led to some residents unexpectedly facing
CIL charges and enforcement action.
Conservative Councillors have identified numerous residents who have become
unintended victims of CIL Legislation which was never intended to apply to
householder applications.
Mr and Mrs Steve Dally are one such case - they were
granted planning consent to demolish and replace an existing extension that was
exempt from CIL. However, after seeking permission to make some minor
amendments for which consent was granted they suddenly and unexpectedly faced
a £70,000 CIL charge, with no right of appeal. Mr. Dally, a 65-year-old man, has
been forced to increase the mortgage on his home by £400 per month, pending full
repayment when he turns 70. He may have no choice but to sell the home he has
worked his entire life for, just to settle this debt.
In a groundbreaking move in May 2024, West Berkshire Council made a landmark
decision to address this issue head-on. The Council announced plans to commission
a comprehensive review aimed at improving the CIL Customer Journey.
Additionally, they committed to adopting a new Enforcement Policy for
Householder Applications, offering greater flexibility in enforcing CIL liabilities
when genuine homeowner mistakes have occurred. Most importantly, the Council
also introduced a discretionary repayment policy, ensuring that CIL charges
deemed to have been wrongly applied can be refunded, providing much-needed
relief to affected homeowners.Conservative Councillors are calling for Waverley to implement a similar
discretionary review of Homeowner Householder CIL.
The Motion at Full Council on 28th January requests a review of the way CIL is
implemented and a review of the charging schedule, because while £29m of CIL
has been collected since 2019, over £12m sits unspent in a bank account.
Cllr Lauren Atkins said:
“We have brought this motion to Council because we strongly believe the
unintended consequences of CIL legislation on residential householder extensions
(who were never intended to fall under this legislation) should be dealt with
equitably.”
“Failing to apply for an exemption certificate or filling out the wrong form for a
small householder extension should not elicit a demand for £70,000-£120,000 -
without even reference to any appeal.”
“In West Berks the Council has implemented a discretionary review for
householders - so far they have only received 15 potential cases - less than 1% of
the total CIL fund collected. So the numbers we are dealing with here are
relatively small, but for those impacted a discretionary review and potential
repayment by WBC would make a life-changing difference.”
“This is our opportunity to see justice for those wronged.”
Cllr Jane Austin said:
“CIL becomes liable the moment spades go in the ground. If a householder hasn’t
filled out the right exemption form following their planning permission or there is
an administrative issue they could be liable to WBC for literally life-shattering
charges, demand for payment, seizure of assets and the threat of imprisonment -
all without the option of review or appeal.”
“WBC has gone some way to ensure householders going forward are made aware
of CIL and the need for an exemption certificate - but we need to right this wrong
for those who have already had to make these huge payments.”