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Community Infrastructure Levy (CIL) Indexation … · Updated 15/03/2018 Please do not hesitate to contact the CIL Team [email protected] for any further information or guidance

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Page 1: Community Infrastructure Levy (CIL) Indexation … · Updated 15/03/2018 Please do not hesitate to contact the CIL Team CIL@stroud.gov.uk for any further information or guidance

Updated 15/03/2018

Please do not hesitate to contact the CIL Team [email protected] for any further information or

guidance.

Community Infrastructure Levy (CIL) Indexation Guidance Note – 2018

Introduction

This document sets out how indexation will affect all CIL chargeable development granted planning

permission from 1st April 2018 – 31st March 2019 within the Stroud District.

What is indexation?

Regulation 40, part six of the CIL Regulations 2010 (as amended) informs that we must obtain the

All-In Tender Price Index, as published by the Building Cost Information Service (BCIS) of the Royal

Chartered Surveyors (RICS) on the 1st of November each year. This figure must then be used in the

CIL calculation for permitted applications for the following year.

The below table sets out the All-In Tender Index BCIS figures per year since CIL has been

implemented at Stroud District Council (SDC).

Year BCIS All-in Tender Price Index

2017 (year in which Charging Schedule took effect) 276

2018 (year in which planning permission was granted) 291

What does this mean?

All applications permitted from 01/04/2018 – 31/03/2019 will be subject to a 5.435% increase in the

charge per sqm of liable development, which is and additional £4.34 per sqm for Residential

floorspace and £4.07 per sqm on Supermarkets and Retail Warehouses.

Year Price Per Sqm

2017 (01/04/2017 – 31/03/2018) Residential £80.00

Supermarkets and Retail Warehouses £75.00

2018 (01/04/2018 – 31/03/2019) Residential £84.34

Supermarkets and Retail Warehouses £79.06

How is this calculated?

CIL is calculated by multiplying the net increase in gross internal area (GIA) in sqm by the relevant CIL

rate (£/sqm), plus any indexing for inflation/deflation between the year in which planning

permission was granted and 2017, the year in which SDC’s Charging Schedule took effect.

2017 Working Example 01/01/2017 - 31/03/2018

£80.00 (Rate per sqm) X 100 sqm (GIA being created) X 276 (BCIS 2017 Rate)

276 (BCIS 2017 Rate) = £8000.00

2018 Working Example 01/04/2018 – 31/03/2019

£80.00 (Rate per sqm) X 100 sqm (GIA being created) X 291 (BCIS 2018 Rate)

276 (BCIS 2017 Rate) = £8434.78

This document will be updated annually to reflect the indexation rate for that specific year.