CONCERNS over a new community levy for developers were raised at a meeting of Carmarthenshire County Council on Wednesday (Jan 13), as members of the Labour group expressed reservations about where the money raised by these levies would be spent.
The Council was asked to approve plans to progress a Community Infrastructure Levy (CIL), and to authorize the production of draft charges, and a public consultation on the issue.
A report put before the meeting said that changes in legislation introduced in April would mean that if the council did not introduce a CIL, it would ‘potentially lose out on contributions from developers to fund vital infrastructure, required to implement the Local Development Plan allocations.’
The report suggested that it would only be viable to charge a CIL in certain areas of the county – namely, Llandeilo and Llandovery; Carmarthen; Llanelli; Ammanford and Cross Hands; and St Clears and Whitland.
A rate of £60 per square metre was recommended, and it was suggested that this should also apply to retirement housing.
Councillor Meryl Gravell (Independent), the Executive Board Member for Regeneration, said that the council was being asked to move to consultation, and that new legislation had ‘scaled back’ the scope of the Section 106 agreements. These are now limited to ‘affordable housing and on-site mitigation measures.’ Cllr Gravell also suggested that the levy, if implemented, would be ‘visited annually.
Councillor Alun Lenny (Plaid Cymru) said that any levy would have to be fair, rather than punishing smaller builders: “It is fair to say that, due to economies of scale, larger companies may be better able to accommodate this levy.
“But we must seriously consider the situation for smaller builders, especially family companies, perhaps in rural areas, who have got smaller margins.”
Cllr Lenny appealed for all groups affected by the proposals, including community councils and small builders, to take part in the consultation.
However, Councillor Anthony Jones (Labour) claimed that money from developments in specific communities could be spent elsewhere across the county, or in the future, west Wales.
Cllr Jones said that in seminars concerning the subject which were held last year, it was stated that Community Councils would receive 15% of CIL levies:
“I reverse the question – what is happening to the other 85%?” he asked. “Where is that going?”
Cllr Jones pointed out that there was no mandatory requirement to introduce a CIL, ‘so why are we doing it?’
“This is self-explanatory – it is a Community Infrastructure Levy. At the moment we are a community of Carmarthenshire. In the future we may become a much larger community – none of us know. So where will the money then go?”
Cllr Jones said that he had read the report, which was ‘very professionally put together as always.’
However he added that “I have read previous reports, and had the wool pulled over my eyes, and it cost my community dearly.”
In a slightly bizarre turn of events, Councillor John James (Labour) forced a vote on whether or not the public consultation should take place, something Cllr Hughes-Griffiths described as a ‘very strange situation’
“Is it being done for the sake of it? I don’t know,” he asked.
Chief Executive Mark James pointed out that there was no statutory requirement to implement the CIL, but pointed out that due to changes in the S106, ‘if you want to keep the money somewhere in the county you will need one of these.’
In response to Cllr Jones’ query, Mr James pointed out that Carmarthenshire CIL money could not be spent outside the county, and that in the result of a local authority reorganisation, existing monies would be protected.
In the interest of ‘clarity’ Labour leader Jeff Edmunds asked for it to be confirmed that after consultation the matter would be returned to the chamber – ‘to clear up confusion.’
Cllr Hughes-Griffiths replied that ‘there is no confusion – that is always the case!’
Council Leader Emlyn Dole pointed out that it was a Labour Government which introduced the CIL in 2008. “Do you want to make a deeper hole? Are you really going to vote against a public consultation?” he asked.
Cllr James then said that, having listened to the explanation from the Chief Executive, would withdraw his request. “I have the courage of my convictions,” he added.
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