Housing developers in the Harrogate district will have to pay more money for schools, doctors surgeries and roads after the council identified a £98m infrastructure shortfall.
Harrogate Borough Council will introduce a Community Infrastructure Levy (CIL) in October to complement Section 106 agreements that are agreed between the authority and developers.
Both are designed to pay for infrastructure that might be affected by new housing. For example, as part of a recent planning application for 170 homes on Kingsley Road, Harrogate High School asked for a Section 106 contribution of £307,435.
Unlike Section 106, CIL contributions will be calculated by floor space, meaning a housing development in central Harrogate, Knaresborough or Ripon would be charged up to £50 per square metre. Developments outside of town centres will not be subject to CIL charges.
Retail developments would also be subject to CIL contributions of up to £120 per square metre.
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Harrogate Borough Council published its long-awaited Local Plan in March that includes a pipeline of over 13,000 new homes from 2014 to 2035 across the district.
To introduce the CIL, HBC has to demonstrate to central government there is a shortfall in funding between the cost of infrastructure needed to support development – which the council has estimated is over £98m over the next 15 years, including £42m for schools.
HBC will publish a list of infrastructure it intends to fund via CIL before the end of 2020.
A parish or town council with an adopted neighbourhood development plan will be eligible to receive 25% of the CIL receipts generated.
