Select committee: Public Accounts Committee
Conclusion 15
46th Report - Improving local areas through developer funding
Published 17 Oct 2025
Addressed to HM Treasury
Public Accounts Committee Improving local areas through developer funding All items in this report Report on parliament.uk ↗ Inquiry on parliament.uk ↗
Conclusion (the committee's words)
Given that it can provide benefits for the local community, we asked the Department why more authorities were not operating the CIL, as only 52% of local authorities operate them. The Department explained that 16 Q 30 17 Q 31; C&AG’s Report, para 1.13 and Figure 4 18 C&AG’s Report, para 1.14 19 Qq 30–32 20 C&AG’s Report, para 1.7 and Figures 1 and 2 10 the CIL is not always an appropriate instrument for LPAs to use, largely because of financial viability issues and the potential for it to disincentivise development in their areas. It also reflected that some LPAs may have paused their plans to introduce the CIL while the previous government considered whether to introduce a new mandatory infrastructure levy. The Department said that, since all authorities now understood that the new levy was not going ahead, more might decide to use the CIL.21
From: Public Accounts Committee, 46th Report - Improving local areas through developer funding (HC 886), 17 October 2025
Government response
Latest Treasury Minutes progress report to the Committee of Public Accounts on the Forty-sixth Report of Session 2024-26
The government responded to the whole report on 4 June 2026 (deadline 17 December 2025).
Treasury minutes: Government response to the Committee of Public Accounts on the Forty-sixth report from Session 2024-26
Published 19 January 2026.
Summary written by Accountability Index from the government's response. It is not the government's own words.The government states that it agrees with each of the Committee's recommendations on developer contributions, with target implementation dates ranging from spring 2026 to autumn 2026 and some marked 'Recommendation implemented'.
- On infrastructure funding statements, the department "will therefore explore proportionate and efficient ways of collecting and analysing data from IFSs", with a target date of autumn 2026.
- On local plans, it says it is "committed to taking tough action" and has made clear its "willingness to make full use of available intervention powers", with intervention considered "on a case-by-case basis".
- On viability guidance, it "will be consulting on a revised National Planning Policy Framework before the end of this year" and "intends to publish" updated viability practice guidance alongside it, with a target date of summer 2026.
- On unsold Section 106 homes, it is progressing "a holistic policy package, to be confirmed shortly", with a target date of spring 2026.