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Contracts and Law

The Community Infrastructure Levy (CIL)




Over the past few years the Government has been keen to find a way in which the private sector could contribute towards the infrastructure that's needed to unlock development land.

Until the end of 2007 its proposed solution was the Planning Gain Supplement, or PGS. PGS was a tax on the uplift in land value that was generated by a planning consent. Yet, due to negative feedback and consultation with the property industry, there has now been a change of direction. The Community Infrastructure Levy, or CIL, is now the proposed alternative.

CIL was introduced formally by The Planning Bill in 2007, which received Royal Assent in December 2008, creating an Act of Parliament. This means the enabling principles are now set in law, although Regulations are currently awaited as to how the Levy might work in detail. This programme explores the proposals known to date.

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