Issue - items at meetings - Review of Section 106 Recession Measures

Report of the Executive Director, Environment, Development and Housing (copy attached)

RESOLVED - That the committee notes the update and extends the (revised) Developer Contributions Temporary Recession Relief Measures until 2015.

58.1    The Committee considered a report of the Executive Director, Environment, Development and Housing providing a update on the current practice of prioritised and reduced Section 106 developer contributions temporary “recession” measures. The Committee were requested to note this update and to extend the (revised) Developer Contributions Temporary Recession Relief Measures until 2015.

58.2    It was noted that the current measures had first been introduced in 2010 to be reflective of the economic situation. The report represented the fourth annual review and provided an opportunity to renew these temporary measures and to further extend this process in consideration of the ongoing economic situation and the need to deliver new development, particularly housing.

58.3    Councillor Morgan stated that he generally supported the proposals considering that it was very important to ensure that the percentage requirement for affordable housing was only commuted to a sum for off site provision in exceptional circumstances.

58.4    Councillor Buckley stated that she did not consider that this approach represented the right way forward at the present time. She referred to her own ward Goldsmid where there had been a number of developments which fell below the threshold for section 106 contributions such developments placed additional pressure on local school places and sports and recreational facilities. The Head of Planning  and Public Protection confirmed that seeking contributions for smaller developments was not precluded but enabled there to be a debate as to the levels required.

58.5    Councillor Hawtree referred to the fact that house prices across the city were continuing to rise however any recovery was still very fragile. It was important that policies dovetailed with one another and that they did not contradict one another. It was clarified that no charge was made for providing pre-application/ early application advice to householders.

58.6    Councillor Brown stated that she considered that it was important for developers to have clarity and a level of certainty and provided it was not abused this could be useful. Councillor Janio concurred with that view.

58.7    The Head of Planning and Public Protection confirmed that this approach was applied very carefully and was being kept under review.

58.8    Councillor Mac Cafferty stated that whilst the value of the monies accruing from such agreements was small around, 1% of all development costs it did none the less provide a very valuable contribution.

58.9    RESOLVED - That the committee notes the update and extends the (revised) Developer Contributions Temporary Recession Relief Measures until 2015.