Planning obligations, also known as Section 106 agreements, are agreements between ourselves and developers negotiated as part of a condition of planning permission
What are Section 106 agreements used for?
Section 106 agreements include contributions to help pay for infrastructure needed to support new development. The money goes towards local services like transport, schools, health facilities and parks.
Will I have to pay contributions?
If your development is smaller than 10 units, you probably won't have to pay any contributions.
We'll write to you after we've validated your planning application to tell you if you have to pay and how much.
What happens if I have to pay contributions?
Get professional advice
If you have to pay contributions, you might want to get help from a planning agent or solicitor for the next stage, as planning obligations are legal agreements.
Types of agreement
You'll need to send us one of the following:
- a bilateral Section 106 agreement
- a unilateral undertaking
You must also send us evidence that you own the land. GOV.UK provides guidance on how to obtain official copies of proof of ownership. Photocopies or web downloads won't do. Make sure that the boundary marking on these documents matches the red line on your planning application.
What's the difference between these agreements?
Unilateral undertakings are for more straightforward cases. They're simpler and easier to prepare.
Bilateral agreements are usually for more complex cases involving larger sums of money which both you and ourselves will need to agree and sign.
Fees for drawing up the agreement
If you use our standard unilateral undertaking template and just fill in the blanks and delete contributions that don't apply, you'll pay the lowest fee of £500. The process is also easier and quicker if you use our standard template.
If you change the standard unilateral undertaking, make up your own version, or send us a bilateral agreement, fees will be worked out on a case-by-case basis.
We won't give planning permission until you've paid these fees.
When to pay contributions
You should pay before we write to say we're willing to grant permission for the development.
How to pay
Use the link below and then choose payment type 'Planning S106 Contributions' from the dropdown menu.
Refunds
We don't refund contributions unless they were made under a bilateral agreement and weren't spent within the given timescale.
Can an agreed planning obligation be changed?
Planning obligations can be renegotiated at any point, where the local planning authority and developer wish to do so. Where there is no agreement to voluntarily renegotiate, and the planning obligation predates April 2010 or is over 5 years old, an application may be made to the local planning authority to change the obligation where it “no longer serves a useful purpose” or would continue to serve a useful purpose in a modified way (see section 106A of the Town and Country Planning Act 1990).
Modify or discharge a planning obligation
Further information
GOV.UK provides comprehensive guidance on Section 106 agreements.