£6500 developer limit scrapped in Moray

THE limit on how much housing developers must contribute towards the cost of new roads, schools and other public services has been scrapped.

Councillors agreed yesterday during a meeting held in private to overturn the £6500 per home maximum which was previously in place.

Members of the Planning and Regulatory services committee were said to have unanimously agreed to act after being told that the true costs of building new roads and school meant the council was effectively subsiding housing companies.

The council says that from next summer onwards it will calculate the financial contribution required on a case-by-case basis.

A council spokesman said: "The council continues to bridge the gap to provide the necessary infrastructure as a result of the low level of developer obligations."

Developers disputing the amount they are being asked to contribute will have to provide evidence that it makes the planned development unviable.

The spokesman continued: "By removing the cap, the number of viability claims will likely increase. Therefore, the removal of the cap does not mean that the council will achieve the full cost of infrastructure, as each case will have to be treated on its merits.

"It is however likely that more than £6,500 per residential unit will be secured towards infrastructure requirements and the council`s contribution towards the cost of infrastructure will therefore be reduced."

Single houses built by private self-builders in the countryside will also be required to contribute towards the full cost of infrastructure.

The removal of the £6500 maximum limit will take place next summer with the adoption of the new local development plan for Moray.

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