Ellie Ames 13 September 2023

Councils ‘sitting on’ £3bn from developer contributions

Councils ‘sitting on’ £3bn from developer contributions image
Image: Alison Hancock / Shutterstock.com

Councils in England and Wales are reportedly 'sitting on' £3bn allocated for new community infrastructure.

Research across more than 170 councils found that local authorities had an average of £8m in unspent funds from section 106 agreements, The Times has reported.

The total includes around £567m earmarked in agreements for affordable housing.

Councils also have £420m unspent in education contributions and £384m in highway contributions.

A further £334m of unspent funding has been designated for social infrastructure.

A Local Government Association (LGA) spokesperson said that although councils want to see developer contributions spent on delivery infrastructure and services, the process takes times and can be complex.

The spokesperson said: ‘There is sometimes a delay between the receipt of contributions and delivery of schemes that they will fund, which could include securing land and the need for relevant approvals.

‘In some cases, infrastructure project requirements set out in obligations can change and the project is no longer required, which might then require a new agreement to be made with the developer.

‘Infrastructure funding statements, which are now a legal requirement, provide an opportunity for councils to illustrate how they are using developer contributions to support infrastructure delivery in local areas.’

LocalGov Weekly Round Up image

LocalGov Weekly Round Up

William Eichler, editor of LocalGov.co.uk, reflects on the stories that captured readers’ attention this week.
SIGN UP
For your free daily news bulletin
Highways jobs

School Crossing Patrol Officer - Thomas Willingale School

Essex County Council
Up to £13.00 per hour
School Crossing Patrol Officer - Thomas Willingale SchoolPermanent, Term Time£13.00 per hourLocation
Recuriter: Essex County Council

Senior Practitioner - Leaving & Aftercare Team, Mid Essex

Essex County Council
£46574.0000 - £56027.0000 per annum
Senior Practitioner - Leaving & Aftercare Team, Mid EssexPermanent, Full Time£46,574 to £56,027 per annumLocation
Recuriter: Essex County Council

Employability & Skills Adviser - NEET

Essex County Council
£32701.0000 - £38471.0000 per annum
Employability & Skills Adviser - NEETPermanent, Full Time£32,701 to £38,471 per annumLocation
Recuriter: Essex County Council

Customer Services Assistant

Essex County Council
Up to £25081.00 per annum
Customer Services AssistantPermanent, Part Time - 18.5 hours £25,081 per annum (FTE)Location
Recuriter: Essex County Council

School Crossing Patrol Officer - Bishops' CE & RC School

Essex County Council
Up to £13.00 per hour
School Crossing Patrol Officer - Bishops' CE and RC Primary SchoolPermanent, Term Time£13.00 per hourLocation
Recuriter: Essex County Council
Linkedin Banner