Dacorum consults on CIL preliminary draft charging schedule

The Council proposes in the PDCS (28-page / 1.04MB PDF) that the Borough is divided in to three different charging zones for residential developments.

Zone 2, which covers Berkhamsted and surrounding areas, is proposed to be subject to a rate of £250 per square metre. Zone 3, covering Hemel Hempstead and Markyate, is proposed a rate of £100 sq m and zone 1, which covers the rest of the Borough, is proposed a rate of £150 per sq m. Retirement housing is proposed to be subject to a borough-wide rate of £125 per sq m.

The Council said that its viability assessment had identified the potential for four different residential rates across the Borough, with scope for three different residential rates across Hemel Hempstead.

It said it had concluded that there should be three different residential rates, with a single rate in Hemel Hempstead, due to the complexity of administering more than one rate for a single development.

For large retail developments over 280 sq m, the proposed rate is set to £200 per sq m throughout the Borough. A proposed zero rate levy will apply to all other developments.

The Council said its viability assessment had identified retail developments as the only non-residential use that could support a CIL charge. It said that the assessment had found that small retail developments in Berkhamsted town centre could support a CIL charge. However, it had proposed a uniform nil charge for small retail as only a relatively small amount of retail development is expected in Berkhamsted town centre.

The Council said that it has not made a formal decision on whether it will allow any discretionary relief from CIL. However, it said it was likely to offer exceptional circumstances relief.

The consultation will be open until 12 March. The Council said it expects to adopt CIL in the spring 2014.