CIL process for developers
CIL indexation
The National CIL Regulations specify that CIL rates are subject to annual indexation using the national RICS CIL Index.
The national indexation changes for each calendar year can be seen below.
| Use | Initial CIL charge 2016 | Indexed CIL charge 2019 | Indexed CIL charge 2020 | Indexed CIL charge 2021 | Indexed CIL charge 2022 | Indexed CIL charge 2023 | Indexed CIL charge 2024 |
|---|---|---|---|---|---|---|---|
| Market houses within Strategic Development Allocations (SDAs) and the Broad Development Location (BDL) | £14 | £16.54 | £17.32 | £17.27 | £17.21 | £18.41 | £19.76 |
| Market houses in lower value zone | £25 | £29.53 | £30.92 | £30.83 |
£30.74 |
£31.87 | £35.28 |
| Market houses in higher value zone | £55 | £64.98 | £68.04 | £67.83 | £67.63 | £72.31 | £77.61 |
| Supermarket | £160 | £189.03 | £197.92 | £197.33 | £196.74 | £210.37 | £225.78 |
| Retail Warehouse | £70 | £82.70 | £86.59 | £86.33 | £86.07 | £96.04 | £98.78 |
| Neighbourhood Convenience Retail | £20 | £23.63 | £24.74 | £24.66 | £24.59 | £26.30 | £28.22 |
| All other development including apartments | £0 | £0 | £0 | £0 | £0 | £0 | £0 |
Indexation Guidance Note
All CIL Liability Notices issued by the Council from 1 January 2017 will include indexation in the calculation of the chargeable amount. The calculation of the CIL chargeable amount is defined by the CIL Regulations 2010 (as amended).
From 1 January 2020, the index is the RICS CIL Index published by the Royal Institution of Chartered Surveyors. This annual index figure will be published on or around 1 November each year and will apply from 1 January of the following year. The latest RICS CIL Index figure is available on the RICS website.
Before 2020, the index figure is the figure for 1 November for the preceding calendar year in the national All-in Tender Price Index published by the Royal Institution of Chartered Surveyors.
Effect of indexation on CIL rates guidance note
Calculation of the chargeable amount
The calculation of the CIL chargeable amount is set out in Schedule 1 of the Community Infrastructure Levy Regulations 2010 (as amended). CIL is calculated by multiplying the net increase in gross internal floor area (sqm) by the relevant CIL rate (£/sqm), plus any indexing for inflation/deflation (between the year in which planning permission was granted and the year in which the charging schedule took effect).
R x A x IP
Ic
Where:
- R is the CIL rate in £/sqm
- A is the net increase in gross internal floor area (sqm)
- Ip is the All-in Price Index for the year in which planning permission was granted
- Ic is the All-in Price Index for the year in which te charging schedule started operation