Community Infrastructure Levy: Homeowners Debate
Full Debate: Read Full DebateRichard Foord
Main Page: Richard Foord (Liberal Democrat - Honiton and Sidmouth)Department Debates - View all Richard Foord's debates with the Ministry of Justice
(1 day, 9 hours ago)
Westminster HallWestminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.
Each debate is chaired by an MP from the Panel of Chairs, rather than the Speaker or Deputy Speaker. A Government Minister will give the final speech, and no votes may be called on the debate topic.
This information is provided by Parallel Parliament and does not comprise part of the offical record
I thank the hon. Member; he always makes very thoughtful contributions. He makes two very important points. The first is that we do need developers to contribute towards infrastructure costs. The risk of the appalling injustice that I am drawing attention to today is that we lose social consent for very important contributions that enable much-needed infrastructure to be built. Secondly, he is absolutely right to say that not having CIL at all would be very bad. In my area in particular, there is constant concern about the lack of infrastructure to keep pace with new housing developments.
I want to return to the CIL Injustice Group, because their accounts are extremely concerning. Some are nervous about dealing with their council because of the bad way they are treated. Others spend thousands of pounds on legal fees, often unsuccessfully. Part of the issue is that CIL is an extraordinarily complex process. Forms must be filled in in the correct order and are subject to strict timetables. Even professionals struggle. It is very unforgiving if someone gets it wrong. They have to pay within 90 days, under threat of seizure of assets and imprisonment, and if they do not comply, they get slammed with thousands of pounds in late charges and interest on top of that. There is effectively no right of appeal, and most importantly, there is no ability to correct errors. Ordinary homeowners inevitably do make errors, but there is no latitude in the system to allow them to correct those errors.
Does the right hon. Member share my view that when the community infrastructure levy was introduced, it was not designed to penalise people who were adding extensions to their homes or seeking to self-build? Rather, it was designed as a levy on large-scale infrastructure that would help through reinvestment into the community.
The hon. Member is absolutely right, and he is foreshadowing what I will propose as one of the solutions to this issue: that homeowners should be excluded from the potential ambit of CIL altogether, because that was not its intention. It is a loophole that is being exploited, and I hope to explain why some councils have been so keen to exploit that loophole. We need to remove the root cause if we are going to deal with this issue.
Gideon Amos
My hon. Friend is absolutely right. He makes the excellent suggestion that not only should we have guidance, but the regulations themselves need to be changed, in many of the ways that other hon. Members have already mentioned.
Does my hon. Friend recall that our hon. Friend the Member for Newbury (Mr Dillon) tabled a new clause on CIL guidance for the debate on the English Devolution and Community Empowerment Bill, but unfortunately the Government did not accept it? Does my hon. Friend agree that we ought to look at other legislative opportunities to correct the wrongs?
Gideon Amos
My hon. Friend is absolutely right that the Government should do that. There have been opportunities to do something about this; there are opportunities to change the law. He seems to have read the later part of my speech, and is quite right to mention our hon. Friend the Member for Newbury (Mr Dillon), who not only made that point in respect of that Bill but brought it to the attention of the Select Committee last year. Liberal Democrats in Parliament have been trying to get resolution and a change in the rules.
In Waverley, the council has gone further than the law requires. It has set up a discretionary review process, opening a few weeks from now in June, for householders who believe they have been wrongly charged. That is the right thing to do, acting within the limits of what the law allows it to do. But the council can only act up to and within the bounds of the law, which is rigid.