Section 106 funding and Community Infrastructure Levy (CIL)
Funding to support local community services and social infrastructure
Any academy, trust or school looking to secure additional capital, may be eligible for Section 106 or CIL funding to support their infrastructure when housing growth places additional pressure on them.
What is Section 106 Funding?
Under Section 106 of the 1990 Town & Country Planning Act contributions can be sought from developers towards the costs of providing community and social infrastructure. Local planning authorities, working with their partners, identify the impact of developments and the subsequent infrastructure requirements. At the time of the planning application, funding and sometimes land is secured, through negotiation, to be used to deliver a variety of services benefiting the local community including education facilities. It is important to note that Section 106 funding (S106) is generally only for capital projects and revenue funding towards on-going running costs is unlikely to be available.
Who is eligible for Section 106 funding?
Any academy, trust or school looking to secure additional capital to support their services and help manage the impact of housing developments. To be eligible for funding, you must be able to prove the following:
The school is in an area of predicted growth
Contributions towards education provision have been secured
Additional infrastructure is required as a result of proposed housing development(s)
The school meet the criteria and can obtain authority to expand, following consultation with all those affected
The school can gain the necessary consents to alter the school buildings
Prove there is financial sustainability for the asset in the future.
What is CIL funding?
Introduced in Planning Act 2008, CIL is similar to S106, as it is a contribution made by developers at the time of a planning application. It is a levy for all development, agreed in advance across the planning authority. It is automatically collected and apportioned to services according to the needs identified in the authority’s CIL. Not all planning authorities operate a CIL and they vary considerably.
How much funding is available?
Funding is totally variable depending on the local planning authority and development schemes going on in the area. If funding has been secured it will either be S106 or CIL but cannot be both. It is important to note that funding is generally only available for capital projects.
Securing S106 or CIL funding for your academy or MAT
If you are eligible for funding, you will need to liaise with your local authority responsible for commissioning education places. Crucially the capital funding can only be spent on facilities where a new development has contributed to the need for the facilities.
For more information on how we can help you secure the funding you need for your academy or MAT, please call 01530 276127 or email enquire@s2e.org.uk.
