Knowledge

Finance and viability

Development to meet economic, social and environmental objectives can only take place if proposals are affordable and viable, and finance is available to support them.

Latest news

Could the Community Infrastructure Levy (CIL) be doing more harm than good, asks Inside Housing.

Continued uncertainty over viability in planning is evidence that the Government must see the Taylor Review through, said the RTPI in its response to the Government consultation on the issue.

Councils could use new freedoms to create a new model of stand-alone investment company to invest in infrastructure.

The Centre for Cities in a new report says that kickstart policies should be focused on areas where economic growth is strong, demand for housing is high, and affordability is constrained.

Local Enterprise Partnerships will now be able to bid to receive a single pot covering housing, transport, skills and other local growth spending.

The Government has unveiled (5.12.12) its proposals for a replacement for the private finance initiative, which it says could help attract investment from pension funds.

Duncan Bowie, University of Westminster and Michael Edwards, Bartlett School of Planning, UCL have produced a Highbury Group paper on development viability.

RICS has now published its guidance on financial viability "to support growth in line with NPPF".

Finance and viability

Policy changes and consultations

The Government issued draft regulations to amend the Community Infrastructure Levy (CIL).
See the RTPI response to the DCLG consultation on Renegotiation of S106 Planning Obligations.
View all RTPI Open consultations and make a contribution.

Practice

The Local Housing Delivery Group, under Sir John Harman as Chair, has now published its advice on Local Plan viability assessments. An RTPI Member Briefing is available here.
A new 'community infrastructure bond' could help encourage investment in UK infrastructure, according to a new ResPublica report.
The Potential of Development Charges in The Scottish Planning System - the financing of infrastructure is currently a key constraint to development and this report explores the potential of development charges to assist this situation.
Localism and Growth: A new practitioners' guide to growth and localism titled 'Working together. Delivering growth through localism', claims to be the first comprehensive guide to the new policy landscape. It recognises the challenges and concerns, while offering a way for practitioners to navigate this new environment and practical examples of success from around the UK.
Economic Growth: The Deputy Prime Minister talks here about green economic growth and the Green Investment Bank.
Section 75 Planning Obligations (Scotland): A letter to planning authorities from the Scottish Governmenthas clarified that an application for modification or discharge can be made in respect of an agreement entered into before 1st February 2011.
The impact of public sector cuts in rural areas
PFI is criticised by National Audit Office
Impact of Public Sector Cuts on Rural Scotland
Development Delivery and Viability (pdf) - published by the Scottish Government, December 2010.
Signposting to more practice advice.

Networks

The RTPI has a number of Networks, all committed to representing and supporting those who work in planning. Find out more about the RTPI Networks.

RTPI projects and research

Community Infrastructure Levy
See the RTPI webpage on CIL.

Our viewpoint

We live in uncertain economic times and the impacts on the development sector have been profound. We encourage multidisciplinary debate and practical measures and financial options available to the sector, including measures to ease cash-flow in development schemes, to help bring forward development.