Neighbourhood Fund
Community Infrastructure Levy (CIL) and the Neighbourhood Fund
To help communities to accommodate the impact of new development, National Government has determined that a proportion of total Community Infrastructure Levy (CIL) monies should be provided directly to Town and Parish Councils as a Neighbourhood Fund.
This is consistent with the Shropshire Council approach of ensuring that the majority of the CIL is used to deliver local infrastructure priorities where development takes place.
Payment of the Neighbourhood Fund (where applicable) is made on an annual basis in April, coinciding with precept payments, unless requested otherwise in order to facilitate delivery of a project.
Any Neighbourhood Fund monies received, must be used to support development by funding:
a) The provision, improvement, replacement, operation or maintenance of infrastructure; or
b) Anything else concerned with addressing the demands that development place on an area.
If these funds are not used to support development as specified, or within five years of receipt, Shropshire Council can require the repayment of these monies in line with the Regulations, however Shropshire Council has no intention of doing so if it is not spent within five years.
If the community’s infrastructure priorities are consistent with Shropshire Council infrastructure priorities for the area, to maximise efficiency and minimise project management complexity, it can be agreed that Shropshire Council retains the Neighbourhood Fund to spend on these infrastructure priorities.
To ensure transparency, following receipt of Neighbourhood Fund payments, Town and Parish Councils must for each following financial year (irrespective of whether any CIL is received or spent in that year), publish a list of their:
- Total Neighbourhood Fund receipts;
- Total Neighbourhood Fund expenditure;
- A summary of Neighbourhood Fund expenditure, including those things to which the Neighbourhood Fund has been applied, and the Neighbourhood Fund expenditure on each; and
- The total amount of Neighbourhood Fund receipts retained at the end of the reported year.
Uffington Parish Council's report on Neighbourhood Fund receipts and expenditure is attached below.