Legal change could boost self-build

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Exemption from paying an existing levy could make self-build a more attractive proposition.

Proposed changes to the Community Infrastructure Levy could see relief from the charge for individuals building their own homes, and greater clarity and assistance for property developers.

The Levy allows councils to raise funds from individuals and developers undertaking new building projects in their area. The money raised is used to fund the infrastructure needed to support the development and to support local communities.

A consultation issued on 15th April proposes to exempt individual self-builders from the levy entirely and to make it fairer and more transparent for developers. Self-builders could save thousands of pounds as a result.

Planning Minister Nick Boles said:

“For too long, self-build homes have been seen as an option for only a privileged few and we are determined to change that with proposals that have the potential to save self-builders thousands of pounds.

“Our proposals would ensure that self-build homes are exempt from this levy and will make an enormous difference to people looking to realise their dream of buying a plot of land and getting a builder to build them a home.

“We urgently need to build more homes and the proposed changes to the levy will help increase housing supply and help those businesses keen to grow.”

Housing Minister Mark Prisk said:

“I am determined that anyone who wants to build their own home should have the opportunity to do so.

“That’s why on top of the £44 million funding we’re making available to help aspiring self-builders and local community groups to get their projects off the ground, today’s proposals will ensure these small and bespoke projects do not incur large infrastructure bills through the levy.

“This package of support, combined with the advice available from leading self-build organisations, will ensure those looking to build will have the information and help they could need at their fingertips.”