Source · Select Committees · Housing, Communities and Local Government Committee

Recommendation 19

19 Acknowledged Paragraph: 92

Secure broad political consensus for long-term implementation of the new Infrastructure Levy

Conclusion
We share our predecessor Committee’s view that when considering new mechanisms for land value capture it is vital that the Government learns the right lessons from the past. If the Government is determined to implement the new Infrastructure Reforms to national planning policy 39 Levy over the course of ten years, then its approach should have support from a broad consensus of political parties from across the House. This will enable it to be successfully implemented and retained for the long-term.
Government Response Summary
The government acknowledges the need to ensure Infrastructure Levy reforms are successful, committing to further consultation, a "Test and Learn" approach, and parliamentary scrutiny to ensure the Levy achieves its aims and can be adjusted if needed.
Paragraph Reference: 92
Government Response Acknowledged
HM Government Acknowledged
The Government recognises the need to get these significant reforms right. That is why we committed to undertake a further consultation on fundamental design choices before developing Infrastructure Levy regulations. Through further consultation and engagement, and through a “Test and Learn” approach the Government will seek to ensure that the Levy achieves its aims and that it is implemented carefully. This will be supported by amendments the Government made to the Levelling Up and Regeneration Act, which require the Secretary of State to lay a report before each House of Parliament, setting out the effect of the Infrastructure Levy on the provision of infrastructure and affordable housing. This includes whether charging the Infrastructure Levy has resulted in more or less affordable housing being available than would otherwise be the case. This will allow for the scrutiny of the Levy as part of our Test and Learn approach, and for any necessary changes to be made to ensure that the Levy is able to successfully deliver on its aims. The Government will set out further details on the ‘test and learn’ process as policy design progresses.