Charges to be scrapped for self-builders & small developments

The Government is proposing to end certain charges that can add substantial costs for people wanting to build their own homes, or developers looking to build a small number of properties.

Some councils have been applying Section 106 charges in such cases making some types of development unviable, such as a £32,000 charge for a self-build three-bedroom house in the New Forest and a £20,000 charge to build two modest sized homes in Andover.

The charges, which can also be applied to extensions and annexes, require a levy for affordable housing but they will be scrapped for self-builders, homeowners and developers wanting to bring redundant buildings back into use, along with builders eager to make use of small sites.

Communities Secretary, Eric Pickles, says: “There are too many levies and charges on housing. By cutting these, we can help support hard working families, give builders a boost and build more homes.”