A planning obligation is often referred to as a Section 106 agreement or S106 agreement. It is a legally binding agreement made between a local planning authority and a developer. It is used to mitigate the impact of new development and make it acceptable in planning terms. These agreements are made under Section 106 of the Town and Country Planning Act 1990.
S106 agreements are typically required for larger developments and can include:
- Financial contributions towards infrastructure (e.g. schools, highways, healthcare).
- Provision of affordable housing.
- On-site or off-site open space and recreation facilities.
- Environmental improvements.
Once agreed, the obligations run with the land, meaning they are enforceable against future owners unless formally discharged or modified.
Why S106 agreements are used
S106 agreements ensure that developments contribute positively to the local area by:
- Addressing the specific needs generated by the development.
- Supporting sustainable growth.
- Ensuring that infrastructure and services are not overstretched.
Without these obligations, some developments might be considered unacceptable due to their impact on the local community and environment.
More information
Monitoring fees
Local authorities are permitted to charge monitoring fees to cover the cost of overseeing the delivery of S106 obligations.
Fees are calculated based on the complexity and duration of the obligations. Fees are reviewed annually to ensure they reflect actual admin costs.
Band | What is covered | Fee per obligation |
---|---|---|
1 | 1 to 5 dwellings or up to 1 hectare of land. | £280 |
2 | 6 to 10 dwellings or up to 3 hectare of land. | £336 |
3 | 11 to 49 dwellings or up to 10 hectare of land. | £392 |
4 | 50+ dwellings or more than 10 hectare of land. | £504 |
Monitoring fees help fund:
- Data entry and maintenance of planning obligation databases.
- Monitoring of trigger points and payment schedules.
- Site visits and developer liaison.
- Issuing invoices and chasing payments.
- Reporting through the infrastructure funding statement.
Monitoring fees are to be paid in two parts:
- 50% on or before completion of the S106 agreement;
- and 50% on or before commencement of development.
To pay a S106 monitoring fee online, please see:
Discharging a planning obligation
To discharge a S106 obligation: The developer (or landowner) must submit required information to the local planning authority for approval. This typically includes evidence that the obligation has been fulfilled, such as:
- Proof of payment.
- Completion of works.
- Delivery of services or facilities.
- Submission of pre commencement schemes.
- Notice submissions.
Notice to discharge an obligation must be made formally to planningobligations@calderdale.gov.uk.
Failure to discharge obligations can result in enforcement action or render the development unlawful.
Compliance checks
A formal compliance check confirms whether a Section 106 obligation has been fulfilled. Developers or interested parties can request a compliance check from the council. This service costs £35 per application.
As part of the compliance check, the council will:
- Review the planning application and associated S106 agreement.
- Verify whether payments have been made or actions completed.
- Conduct site visits if necessary.
- Provide a written response confirming the status of the obligations.
A compliance check typically takes around 8 weeks to complete.
If you are applying as part of the conveyancing process, we strongly recommend submitting your request as early as possible. This is to avoid delays in property transactions.
Alternatively, individuals can check whether obligations have been fulfilled by searching the Planning Register. This contains publicly accessible information on planning applications and associated documents, including S106 agreements and updates.
Contact us
For any query about the above, please email: planningobligations@calderdale.gov.uk.