The Constructing Value Info Service (BCIS) has launched the up to date RICS Group Infrastructure Levy (CIL) Index for 2026, exhibiting a 2.3% enhance on the earlier yr.
The index, which helps native authorities replace charges of their CIL charging schedules, will apply to costs calculated from 1 January 2026.
Karl Horton, information companies director at BCIS, stated: “The CIL cost, which will be levied by native authorities on new developments of their space, is a crucial instrument to assist ship the infrastructure wanted to assist these schemes.”
Most often, the quantity of levy payable is calculated by multiplying the gross inside space by the speed for a selected growth sort. These charges are set out within the related charging schedule revealed by every authority.
Amassing authorities should additionally apply an index of inflation to maintain the levy charge attentive to market circumstances. The RICS CIL Index is due to this fact primarily based on a median taken from the BCIS All-in Tender Value Index.
Horton stated: “As the federal government works in the direction of its goal of 1.5 million new houses in England over the course of the present parliament, mechanisms just like the Group Infrastructure Levy play an important function in making certain that the infrastructure required for this development will be delivered alongside new housing.
“The CIL helps be certain that as housing supply will increase, native authorities have the means to offer the important infrastructure that helps these developments, from roads and colleges to utilities and public areas.”
Assembly this goal would require the development of round 300,000 houses per yr, a stage not achieved in England since 1969.
With solely 153,900 houses accomplished in 2024, supply might want to speed up sharply within the coming years if the goal is to be met.
The federal government has additionally signalled its ambition to spice up long-term housing provide by means of the creation of 12 new cities, every anticipated to ship not less than 10,000 houses.
Horton added: “Initiatives like the brand new cities programme spotlight the dimensions of growth the federal government is focusing on. A responsive, evidence-based method to infrastructure funding shall be important to make these ambitions deliverable.”
