Citation, commencement and application

1. —(1) These Regulations may be cited as the Community Infrastructure Levy (Amendment) (England) (No. 2) Regulations 2020 and come into force on 16th November 2020.

(2) These Regulations apply in relation to England only.

Amendments to the Community Infrastructure Levy Regulations 2010

2.The Community Infrastructure Levy Regulations 2010( 2 ) are amended in accordance with the following provisions.

3. In regulation 2(1)—

(a) in the definition of “clawback period”, after sub-paragraph (aa), insert—

“ (ab) in relation to social housing relief granted in respect of a dwelling which satisfies the criteria set out in condition six of regulation 49, the period beginning with the day on which the chargeable development is commenced and ending with the day on which that qualifying dwelling is first sold in accordance with that condition,

(ac) in relation to social housing relief granted in respect of a dwelling under regulation 49A where the criterion in regulation 49A(2)(c)(i) is satisfied, the period beginning with the day on which the chargeable development is commenced and ending with the day on which that qualifying dwelling is first sold in accordance with that regulation, ” ;

(b) after the definition of “financial year” insert—

“ “first sale” of a dwelling means the first material disposal of that particular dwelling other than in circumstances where regulation 52 applies, ” ; and

(c) after the definition of “social housing relief” insert—

“ “subsequent sale” of a dwelling means a sale of that particular dwelling after its first sale, ” .

4. In regulation 49—

(a) in paragraph (2), for “five” substitute “six”; and

(b) after paragraph (7A) insert—

“ (7B) Condition six is that, in England, the following criteria are met—

(a) the first sale of the dwelling is for no more than 70 per cent of its market value (where the market value at any time is the price which the dwelling might reasonably be expected to fetch if sold at that time on the open market); and

(b) a planning obligation has been entered into prior to the first sale of the dwelling designed to ensure that any subsequent sale of the dwelling is for no more than 70 per cent of its market value. ” .

5. In regulation 49A, for paragraph (2) substitute—

“ (2) For the purposes of this regulation a dwelling is a qualifying dwelling if criteria (a), (b) and (c) are met in relation to it—

(a) criterion (a) is that the dwelling is sold for no more than 80 per cent of its market value (where the market value at any time is the price which the dwelling might reasonably be expected to fetch if sold at that time on the open market);

(b) criterion (b) is that the dwelling is sold in accordance with any policy published by the charging authority under regulation 49B(1)(a)(iii); and

(c) criterion (c) is that at least one of the following requirements is met—

(i) a planning obligation has been entered into prior to the first sale of the dwelling designed to ensure that any subsequent sale of the dwelling is for no more than 80% of its market value; or

(ii) the liability to pay CIL in relation to the dwelling remains with the person granted discretionary social housing relief. ” .

6. In regulation 53(3)—

(a) in sub-paragraph (d), omit “or”; and

(b) after sub-paragraph (d) insert—

“ (da) the disposal is a first sale of a dwelling in respect of which social housing relief has been granted under regulation 49 on the basis that the dwelling satisfies condition six in that regulation, and the first sale meets the criteria set out in paragraph (7B) of that regulation; or ” .