In a new consultation document issued this week, the Planning Service has proposed changes to the structure and level of planning application fees. They advise that in light of the economic climate and deficits in its budget, it has sought to review the fee structure as the existing fee structure contains a number of anomalies and imbalances, which results in under-charging against costs incurred in processing some types of applications. Their aim is to deliver a more robust funding framework.

The key changes are set out below, the most significant change is an increase in the maximum fee level from £11,834 to £250,000. A £10,000 levy for applications requiring an EIA is also proposed. These increases are against the background of the recent announcements regarding future redeployments and redundancies within the Department, and the likelihood that less staff will be available to process applications.

Timing
If you have an outstanding planning application, it would be advisable to submit it as soon as possible, as the consultation paper also calls for ‘immediate reform’ which suggests that this may occur soon after the consultation period ends on 4th January 2011.

Fee Proposals
This is set to be completed in two phases.

Phase 1 identifies the following proposed changes:

Increase in Fee Levels

• Category 4 (the erection of industrial, commercial, community and other buildings) fees will be based on the following:
  • £170 up to 40 m²;
  • £335 between 40-75 m²;
  • £335 per 75 m² between 75 and 3750 m²;
  • £16,565 + an addition £100 per 75 m² in excess of 3750 m² subject to a maximum of £250,000

 

• Category 5 (the erection, alteration or replacement of plant & machinery including telecoms/data-communications equipment, a single wind turbine and wind farms) fees will be:
  • For a site not more than 5 hectares: £335 for each 0.1hectare (or part thereof);
  • For more than 5 hectares: £16,565 + additional £100 for each 0.1 hectare (or part thereof) in excess of 5 hectares to a maximum of £250,000

 

• In line with housing development applications in England, there will be a charge of £335 per dwelling for the first 50 dwellings, and then £16,565 + £100 for each dwelling excess of 50, to a maximum of £250,000

 

• There will be an additional fee of £10,000 per qualifying Environmental Impact Assessment (EIA) application on top of the ‘normal’ application fee category. If the additional and normal category fee exceeds the maximum then the total fee would be capped at the fee category maximum

 

• Removal of reduced and concessionary fees with replacement as per normal fee for the use/development proposed– i.e. removal of reduced fee for new planning applications following a previous approval; removal of concessionary fees for statutory bodies, removal of concessionary fees identified with applications submitted by NIHE or ELB

 

Decrease in Current Levels

The following changes are proposed:

• Outline Planning Consent and Reserved Matters for single dwellings is fixed at £400; compared to £237 for each 0.1 hectare to a maximum of £9,468 and £651 for RM. An application for full permission for a single dwelling is fixed at £800 compared to £651.
  
• Removal of £60 fees currently applicable to Listed Building Consents, Conservation Area Consents and Consents to Demolish within Areas of Townscape Character/Areas of Village Character;

 

Phase 2 – Future Changes

While no timescale is set for Phase 2 it will take the changes further by looking at those aspects not covered in detail by the consultation paper, the impact of e-PIC on processing and provision of information to the public. It has been alluded to in the past that the Planning Service would introduce a cost to view files in the local planning offices.

The paper also debates the absence of charges for elements of development plan or enforcement carried out by the Department.

Omissions

There are some quite noteable omissions from the document including the consideration of fees for variation of conditions where these relate to uplifts in internal floorspace and in respect of charging for confirmation of compliance with conditions.

Conclusions

Reform of the fees are expected after the consultation period ends on 4th January 2011, so those delaying their applications due to the current market conditions should consider bringing them forward to save on what could be substantial fee increases.

Please contact us for further information or advice on how the new arrangement and fees may affect you.