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Planning Obligations: Section 106 Agreements / Community Infrastructure Levy

Current Policy

On 28th January 2014 Kettering Borough Council’s Planning Policy Committee endorsed a recommendation not to progress CIL. As a result, CIL cannot be applied to developments located within Kettering Borough; instead the Council will continue to secure obligations through Section 106 agreements.

Applicants should seek advice from the case officer for their planning application to establish whether any planning obligations may be required.  These will be determined on a case by case basis and will be applied in accordance with the 3 legal tests as set out in the CIL Regulations 2010 (as amended).

Where a planning obligation is required, planning permission will not be granted until the appropriate planning obligation (legal agreement) has been entered into by persons with an interest in the land.

Section 106 Agreements

A planning obligation is a type of legal agreement entered into by the developer, other interested parties, and the Local Planning Authority.  Section 106 of the Town and Country Planning Act 1990 enables the Local Planning Authority to enter into such obligations. 

Planning obligations are used for three purposes:
  • Prescribe the nature of development (for example, requiring a given portion of housing is affordable);
  • Compensate for loss or damage created by a development (for example, loss of open space), or
  • Mitigate a development’s impact (for example,  the developer of a large housing site may be required to make a contribution to build a new classroom at the local school to address the increased pressure resulting from the additional houses).

Planning obligations must be directly relevant to the proposed development.  They cannot require the developer/landowner to solve an existing problem or require works to be undertaken outside of the site identified by the planning permission.  However, they can be used to secure a financial contributions to fund works outside of the site where these requirements meet the 3 tests. Legislation enables S106 agreements to be renegotiated after they have been entered into.

Planning Obligations and Planning Conditions

A planning obligation is different to a planning condition which can be included on the decision notice when planning permission is granted. Although planning conditions are used in order to make a development acceptable, they are not a legal agreement entered into by the applicant. Planning conditions cannot require payment or in kind contributions towards new infrastructure to mitigate the impact of development. For more information on planning conditions please see National Planning Policy Guidance.

Useful Links and Related Committee Papers

Last Updated 13/07/2017

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Email: customerservices@kettering.gov.uk. Telephone: 01536 410333.

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