Bracknell CIL proposes differential rates over four zones

The Charging Schedule proposes four separate charging zones across the borough, each attracting a different levy for certain developments. The levy is intended to raise funds towards local infrastructure.

The Council has proposed splitting the borough up into four separate charging zones, including the inner Bracknell area, outer Bracknell area, Ascot, Binfield and Warfield area and the Crowthorne and Sandhurst area.

Residential development would be set at a levy of between zero and £220 per square metre, depending which zone the development is located in.

Residential development located in the inner Bracknell area would attract a zero rate levy per sq m, whilst residential development in the Ascot, Binfield and Warfield area would be subject to a levy of £220 per sq m.

The Council said that it hopes that by setting differential rates for residential development across different zones it will "mitigate a number of risk factors, primarily the potentially adverse impact on land supply of setting the rates at a high level and ‘shocking’ the market; a situation where landowners react so negatively to the reduction in land values that they cease bringing sites to the market for development".

The Council's viability study found that hotel developments could absorb a levy of up to £90 per sq m, but the Council decided to set a rate of £25 per sq m across the whole borough.

"It was found that hotel development viability is sensitive to small movements in key variables. It is therefore proposed to set a rate of £25 per sq metre throughout the Borough," the Council said.

Office development is proposed to be charged a zero rate levy because the Council said that "office development is unlikely to come forward in the short to medium term as the capital values generated are insufficient to cover development costs."

The consultation runs from today for a period of eight weeks until 5pm Monday 13 August.