The Corporation said the flat rate proposed for residential development reflects the findings of its viability assessment. According to that assessment, the ability of residential development to make CIL contributions did not vary significantly between different parts of LLDC's area.
For supermarkets, superstores and retail warehouses over 280 sq m, the Corporation has proposed a rate of £100 per sq m. The same draft rate has been set for comparison retail and all other retail uses within Stratford, whilst a proposed nil rate levy will apply to comparison retail and all other retail uses in the rest of LLDC's area.
The Corporation said that the proposed higher comparison retail rate within Stratford was based on viability evidence which had shown that the prime retail area close to Westfield shopping centre achieves some of the highest rent rates in the country and has a low vacancy rate.
Hotels and student accommodation developments will also be subject to a rate of £100 per sq m if the draft rates are adopted. A proposed nil rate levy will apply to all other uses.
The LLDC formally became a local planning authority on 1 October 2012 and assumed planning powers for a designated area which includes parts of the London Boroughs of Hackney, Newham, Tower Hamlets and Waltham Forest.
In addition to CIL charged by LLDC, any developments within its administrative area will also be subject to Mayoral CIL. Rates will be applied according to which borough an eligible development is located within. The Mayoral CIL charge in Newham and Waltham Forest is £20 per sq m and in Tower Hamlets and Hackney the rate is £35 per sq m.
The PDCS consultation will be open for comments until 9 September. The Corporation said that, depending on the number and nature of comments received, it expects to consult on a draft charging schedule during November and December 2013.
