Hastings Local Plan Pre-Submission Version 2023-2041 (Regulation 19) September 2026
Appendix 4: Developer Contributions Schedule Comment
Introduction
Hastings Borough Council’s Developer Contribution Schedule sets out the scope and range of contributions that we may seek from site owners and developers towards infrastructure delivery when assessing planning proposals to offset the likely impact of development and help deliver sustainable communities[29]. The developer contributions schedule (DCS) is a companion document to the Infrastructure Delivery Plan (IDP)[30] and the Infrastructure Funding Statement (IFS)[31].
This DCS should be used as a guide to support prospective developers and planning officers by providing more in-depth guidance on developer contributions as set out in the Hastings Local Plan 2023-2041, including financial contributions as set out in Policy ID1-ID4 of the Local Plan[32]. It includes a list of infrastructure requirements, links to the corresponding Local Plan policy and details of calculations that will be used to work out contributions where appropriate.
Contributions may be required for any or all of the following, depending on the scale and type of development:
East Sussex County Council Obligations
Education
Highways
Waste Management and Recycling
Public Rights of Way
Libraries
Hastings Borough Council Obligations
Open Spaces
Play Spaces
Playing Pitches
Affordable Housing
Bus shelter maintenance[33]
Monitoring fees
Other Obligations
Biodiversity net gain
Police
Healthcare
Network Rail
The Role of Developer Contributions: legislative and policy context
National planning policy[34] supports the principle that developers should contribute to the cost of services, resources or infrastructure necessary to support their development.
S106 of the Town and Country Planning Act (1990) provides for developer contributions in the form of planning obligations[35]. Planning obligations are secured in the form of a legal agreement (known as a “s106 agreement”) usually attached to a grant of planning permission. S106 agreements are used to mitigate any adverse impacts that may otherwise result in the development being unacceptable in planning terms. Other forms of legal agreement, such as Unilateral Undertakings may also be suitable in some instances and where appropriate this will be agreed and checked by the legal team of the Council.
Hastings Infrastructure Delivery Plan (IDP)
The purpose of the Infrastructure Delivery Plan (IDP) is to identify and assist with managing the provision of infrastructure required to support development proposed by the Local Plan.
The IDP consists of a written statement and a schedule which identifies what infrastructure is required; when it is required; the lead body that is responsible for its provision; the cost of provision (if known) and how these costs will be funded. The IDP draws on, and is likely to influence, the investment plans of a wide range of infrastructure providers, particularly the Borough and County Councils.
The IDP brings this information together and helps co-ordinate public and private investment in infrastructure to support future development in Hastings. Information is gathered from a range of organisations to produce the IDP and it can be found on our website[36]. It is updated a minimum of annually.
Hastings infrastructure Funding Statement (IFS)
Under the Community Infrastructure Levy (Amendment) (England) (No. 2) Regulations 2019), local authorities must publish Infrastructure Funding Statements (IFS) annually each December covering the preceding financial year (1 March to 31 April)[37].
The purpose of the Infrastructure Funding Statement (IFS) is to provide a summary of financial contributions secured through and spent from planning obligations from developments.
The information that must be provided is set out in the Schedule 2 of the CIL regulations 2010 (as amended) and relates to all the activity in the relevant financial year as well as requiring information on unspent money collected in previous years. The first IFS was required to be published in December 2020 covering the monitoring year 2019/2020 and one has been produced each year since. The IFS helps show how the council is spending it’s planning obligation contributions and developing and delivering on its Infrastructure Delivery Plan (IDP).
Information from relevant departments is collated within the IFS and it can be found on our website[38].
Part 2 – Securing contributions
Mechanisms
Legislation and national planning policy provide the tools for local authorities to secure developer contributions through the planning system for infrastructure and affordable housing in order to meet the needs of their area. The main ways of securing developer contributions (either individually or collectively) are through the use of:
- Planning conditions;
- Planning obligations; and
- the Community Infrastructure Levy (not adopted in Hastings)
Planning conditions
Planning conditions[39] are used to enhance the quality of development and enable development to proceed where it would otherwise have been necessary to refuse planning permission, by mitigating the adverse effects.
The National Planning Policy Framework[40] makes clear that planning conditions should be kept to a minimum, and only used where they satisfy the following tests, they must be:
1. necessary;
2. relevant to planning;
3. relevant to the development to be permitted;
4. enforceable;
5. precise; and
6. reasonable in all other respects.
Planning obligations
Planning obligations[41] are legal obligations entered into to mitigate the impacts of a development proposal.
This can be via a planning agreement entered into under section 106 of the Town and Country Planning Act 1990(as amended) by a person with an interest in the land and the local planning authority; or via a unilateral undertaking entered into by a person with an interest in the land without the local planning authority where this is acceptable. The National Planning Policy Framework paragraph 56 provides more information.
Planning obligations run with the land, are legally binding and enforceable. A unilateral undertaking cannot bind the local planning authority because they are not party to it.
Planning obligations are also commonly referred to as ‘Section 106’, ‘S106’, as well as ‘developer contributions’ when considered alongside highways contributions and the Community Infrastructure Levy.
Planning obligations must only be sought where they meet all of the following tests[42]
(a) necessary to make the development acceptable in planning terms;
(b) directly related to the development; and
(c) fairly and reasonably related in scale and kind to the development.
Planning obligations are assumed to be viable. An applicant needs to demonstrate where there are particular circumstances which provide the need for a viability assessment to be submitted alongside the planning application.
An applicant can vary a legal agreement and the obligations it contains. Each application is considered on its own merits and legal services will confirm if an amendment is acceptable or not. Where it is appropriate to vary a legal agreement a Deed of Variation to an existing legal agreement (S106) and planning obligations relating to a planning application site will be executed.
Section 278 highways agreements
Whether off-site or on-site, highway infrastructure is a critical component to the delivery of any proposed development. Section 278 agreements provide the legal mechanism required to carry out highway alterations on the existing network, whilst Section 38 agreements secure new road adoption by the highway authority. The relevant highway authority will advise upon the relevant highway requirements on a development by development basis and confirm any requirement for transport planning obligations in a consultee response to a planning application.
CIL
The Community Infrastructure Levy (CIL) is a charge which can be levied by local authorities on specified types of development to contribute towards required infrastructure in their area.
Most new development which creates net additional floor space of 100 square metres or more, or creates a new dwelling, is potentially liable for the levy. Some development may be eligible for relief or exemption from the levy subject to strict rules and procedures.
The levy only applies in areas where a local authority has consulted on, and approved, a charging schedule which sets out its levy rates and has published the schedule on its website. Hastings Borough Council has not adopted the Community Infrastructure Levy (CIL) as the introduction of a charging schedule would be unviable in current market conditions and it therefore relies on planning obligations secured through developer contributions.
Thresholds for contributions (see ID1-3)
Thresholds for developer contributions are set out in policies ID1-4 of this Plan.
Fees, interest and indexation
All planning obligations will be the subject of interest and indexation as appropriate.
Indexation is applicable where a sum payable is required to reflect changing costs and the obligation will be increased in accordance with the following formula
A=BxC
D
where: A is the sum actually payable on the relevant Specified Date[43]
B is the original sum mentioned in the Deed
C is the Construction Index or Inflation index (as appropriate for the obligation[44]) for the quarter immediately preceding the relevant Specified Date
D is the Construction Index or Inflation index (as appropriate for the obligation) for the quarter immediately preceding the date of this Deed
C divided by D is equal to or greater than 1.
Interest is calculated where sums are not paid by the due date calculated on a daily basis at 1/365th of the annual rate of interest of 4% per annum greater than the Bank of England base rate in force from the specified date up to the date of payment.
Fees
Policy ID1 confirms the Council will secure proportionate and reasonable fees associated with monitoring of any planning obligation in addition to the Council’s legal costs incurred in the drafting and completing of Section 106 legal agreements.
All Planning fees and charges including those relating to S106 are confirmed on the website and updated on an annual basis[45].
There is also a legal fee charged for the involvement of the council Planning Solicitor for the drafting and completion of a legal agreement.
Part 3 – list of obligations and contributions
East Sussex County Council Obligations
East Sussex County Council Obligations are calculated on a per dwelling basis using the calculation No. Dwellings (by type) * Cost (£). More information can be found here: https://www.eastsussex.gov.uk/planning/development-contributions/section-106-planning-obligations
Hastings Borough Council Obligations
Open Spaces
Open Spaces calculations are calculated on a per dwelling cost per occupier basis. An Open Space and Play Calculation Tool will be published to support the execution of this calculation.
The calculation is expressed as (cost per occupier £) * (occupancy rate). Where onsite publicly accessible open space is provided, the quantum of onsite open space will be deducted from the calculated contribution cost in the form of a pro rata cost per sqm deduction, provided quality and value standards as expressed in ID2 are met.
Play Spaces
Play Space calculations are calculated on a child yield per dwelling basis. An Open Space and Play Calculation Tool will be published to support the execution of this calculation.
The calculation is expressed as (cost per child £) * (anticipated child yield). Where play space is provided, the quantum of onsite open space will be deducted from the calculated contribution cost in the form of a pro rata cost per sqm deduction, provided quality and value standards as expressed in ID2 are met.
Playing Pitches
Playing Pitch contributions will be calculated using Sport England’s Playing Pitch calculator.
Affordable Housing
Affordable Housing is calculated on a percentage basis at 25% of dwellings on Brownfield Land, and 40% on Greenfield Land. Where onsite delivery is not possible, a Payment in Lieu (PIL) formula will be used to derive a financial contribution towards the delivery of offsite affordable housing.
PIL will be calculated using the methodology below:
- Step 1 – Calculate the average open market value (OMV) per unit.
- Step 2 – Calculate the equivalent unit value if it were to be delivered on site and acquired by an RP.
- Step 3 – Deduct the RP value in Step 2 from the OMV in Step 1.
- Step 4 – Multiply the sum determined in Step 3 by the relevant affordable housing percentage requirement.
- Step 5 – Multiply the adjusted contribution per unit determined in Step 4 by the total number of dwellings proposed.
Bus shelter maintenance[46]
Bus shelter maintenance is calculated based on anticipated costs arising from new dwellings.
Other Obligations
Biodiversity net gain
Biodiversity net gain is calculated using the statutory (official) Biodiversity Metric Calculation Tool: https://www.gov.uk/guidance/calculate-biodiversity-value-with-the-statutory-biodiversity-metric
Police
Contributions are calculated on a per dwelling basis relative to the proposed intervention.
Healthcare
Healthcare contributions for Primary Care are calculated using the formula (Population served by surgery) * (Equivalent number of dwellings (persons per dwelling yield)) = Total cost of required primary care floorspace. Larger sites will be calculated on a proposal basis.
Network Rail
Railway contributions are calculated on a per dwelling basis relative to the proposed intervention.
[29] Infrastructure provision will be sought through planning obligations pursuant to Section 106 of the Town and Country Planning Act 1990 (as amended)
[30]https://www.hastings.gov.uk/planning/policy/new-local-plan/evidence/ background document
[32] Insert weblink to the location of these in the Local Plan
[33]Where a new bus shelter is required as part of the development
[42] As set out in The Community Infrastructure Levy Regulations 2010
[43] as defined in the relevant legal agreement
[46]Where a new bus shelter is required as part of the development
