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Exemptions

Can I apply for an exemption from CIL?

What exemptions are available from CIL?

The government's CIL guidance provides more detailed explanation and includes some requirements that have to be met by persons if they are to qualify for a relief/exemption. Below is a summary of the exemptions/relief that is available.

Types of CIL Relief Type of Relief

Criteria

Minor Developments (e.g. small extensions)

Relief available for:

Developments of less than 100sqm GIA

Do not involve the creation of a new dwelling

No need to submit a claim for relief, just complete the relevant section of the CIL additional Information form

Large Residential extensions/annexes

Relief available for:

Developments over 100sqm GIA

Development must be in the curtilage of the principal residence and comprise up to one new dwelling

Any relief must be granted before works commence.

Self Build Annex or Extension Claim Form needs to be completed

Self-build

Relief available for:

Self-build exemption is available to individuals who build or commission their own home for their own occupation.

An application (Part 1) needs to be made and granted before development commences.

On completion (Part 2), the supporting evidence required under the regulations and guidance must be provided

The property must remain their principal residence for a minimum of three years.

For the following forms of relief : Claiming Exemption or Relief should be used

Social housing

Developments eligible for this relief are:

Let by a local housing authority; or

Occupied in accordance with shared ownership arrangements; or

Let by a private registered provider of social housing

Charitable development on charitable land

Relief available for:

Charities for development of land within their ownership.

The development would have to be used wholly or mainly for charitable purposes and only be occupied or under the control of one or more charitable institutions.

This is not available if the land or part of the land is jointly owned by a non-charity.

Discretionary Charitable Relief

In addition to the mandatory relief, the Council is offering discretionary relief when

  • the whole or greater part of the development will be held as an investment where the profits will be applied for charitable relief
  • the investment portion will not be used for ineligible trading activities

The Council's policy document on this relief can be found here.

Discretionary relief for exceptional circumstances

The Council is offering discretionary relief in exceptional circumstances where a developer can demonstrate the payment of CIL and S106 contributions will result in the development becoming unviable:

  • a signed S106 is in place
  • no other form of relief has been granted
  • the development commences within 12 months of the relief being granted

The Council's policy document on this relief can be found here.

Applying for relief/exemption

Exemptions and reliefs need to be applied for and granted before works start. If you start before a decision for relief or an exemption is issued your development ceases to be eligible for that relief. The forms you are required to complete to apply for relief are on the government's Planning Portal website.

Can relief/exemption be cancelled?

If you commence development before informing the Council using the Commencement Notice form, any relief or exemption that has been granted will be cancelled and the full CIL liability will become payable immediately.

The CIL Regulations sets out the disqualifying events for each type of relief/exemption. An example of a disqualifying event for self-build/affordable housing relief would be if the dwelling was sold on the open market and no longer used for the purpose for which the relief was granted. For self-build/residential annex relief the clawback period is three years, for charitable/social housing relief the clawback period is seven years.

Will future occupiers and owners of the development be aware of this risk?

The full CIL liability will remain on the Local Land Charges Register until the end of the clawback period. This will allow prospective purchasers of land within the development to be aware of the implications of triggering a disqualifying event.

adobe icon Self Build Residential Extension Exemption Claim Form [273kb]

adobe icon Self Build Exemption Claim Form Part 1 [283kb]

adobe icon Self Build Exemption Claim Form Part 2 [283kb]

adobe icon Self Build Residential Annex Exemption Claim Form [291kb]

adobe icon Claiming Exemption or Relief [356kb]

 

Updated: 16 Nov 2018
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