The system provides produced an entire business of S106 prevention, with consultancies set up particularly to simply help developers escape investing in inexpensive housing anyway scales of developing. Their website shows a summary of situation researches proudly revealing just how much they’ve got aided builders dodge, and boasting of planning permissions accomplished aˆ?without any contribution towards affordable housingaˆ? whatsoever, save aˆ?tens, if not thousands of poundsaˆ?.
aˆ?If the earnings for your design was forced to below 17.5per cent by Section 106 money, you really need to speak to all of us,aˆ? states the internet site. Various other professionals guarantee to guard 20per cent income and upwards, before any part 106 benefits tend to be even regarded.
The effectiveness of the insurance policy to control affordable casing is furthermore eroded because the introduction of community infrastructure levy (CIL) in 2010. A non-negotiable fixed-rate tax on latest developing, CIL was actually designed to establish most visibility and provide designers an amount of confidence on how a lot they’d be expected to add towards infrastructural improvements. But, in actuality, it’s got given another justification to dodge Section 106 obligations. Another change to town thinking operate this past year made Section 106 agreements renegotiable, enabling review and appeal of all existing obligations, in a misguided try to market growth aˆ“ which simply makes it easier for builders to wriggle out of their claims, as taken place in Tottenham and elsewhere.