The Neighbourhood Fund is 15% of the
Community Infrastructure Levy (CIL) receipts relating to developments taking place in that area. It should be spent on priorities that have been agreed with the local community. Where there is a Neighbourhood Plan in place, the proportion rises to 25% of total CIL receipts of developments taking place in that area.
The Neighbourhood Fund is passed on to the relevant Parish or Town Council to spend. Where there isn’t a Parish or Town Council, the fund is retained by us and spent by the relevant Community Committee.
Spending the Neighbourhood Fund
The Neighbourhood Fund can be spent on a wide range of infrastructure and it is not restricted to items on the
Regulation 123 list
The neighbourhood fund can be spent on:
- environmental improvements such as landscaping and open space improvements
- new benches or signage
- public art
- equipment for a community group
- improvements to a community building
- projects affecting more than one village/community e.g. a cycle path or footpath linking two communities, junction/highways improvements, sports facilities drawing more than local use
- strategic infrastructure affecting a number of communities
- funding the preparation of a Neighbourhood Plan
The Neighbourhood Fund can't be spent on any of the following:projects that will only benefit individuals (five or less) or a single householdprojects that directly benefit, or can be perceived to benefit individual councillorsprojects which relate solely to religious purposespolitical activitiesretrospective projects where the money has already been spent
When CIL is paid
The CIL income collected for the Neighbourhood Fund will be transferred to the relevant Town or Parish Council or Community Committee twice each year:
- income received between 1 April and 30 September will be transferred on 28 October
- income received between 1 October and 31 March will be transferred on 28 April
If a Parish/Town Council or Community Committee does not spend its share of the CIL within five years of receipt, or does not spend it on initiatives that support development in that area, we may require it to pay back some or all of the funds.