The PDCS (17-page / 382KB PDF) proposes to divide the Borough into six different charging zones for residential developments. The proposed rates for developments within Use Class C3 range from £100 per square metre to £650 per sq m. For extra care housing developments, the rates range between £20 per sq m to £510 per sq m.
RBKC said that the different rates had been proposed to reflect the difference in sales value across the Borough. It said that the proposed extra care housing rates reflected the slightly lower values due to the provision of a greater proportion of communal space and a lower sales rate.
For hotel developments, the proposed rate is £160 per sq m and student accommodation is subject to a proposed rate of £125 per sq m. A proposed zero rate levy will apply to offices, retail and industrial developments as well as all other uses.
RBKC said that the demand for office space had not generated rents high enough to be subject to CIL within most of the Borough.
In addition to CIL charged by the Council, any developments in the Borough will also be subject to Mayoral CIL. The Mayoral CIL charge in RBKC is £50 per sq m on all uses except for health and education purposes, which are exempt from Mayoral CIL.
The consultation will run until 20 February. RBKC said it plans to adopt CIL in February 2014.
