What Is a Section 108 Agreement

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Section 108 Agreement: An Overview

In the United Kingdom, a Section 108 Agreement (S108) is a legal agreement between a local planning authority and a developer. The agreement sets out specific contributions that the developer must make to the local community before they can begin construction on their development project. The S108 agreement is typically a requirement for larger developments that are expected to have a significant impact on the local area.

The S108 agreement is a type of planning obligation under Section 106 of the Town and Country Planning Act 1990. This law allows a local planning authority to require a developer to make certain contributions towards local infrastructure, affordable housing, and other public amenities.

What is Included in a Section 108 Agreement?

The specific contributions that a developer must make will vary depending on the local area and the nature of the development project. However, some examples of common contributions required under a Section 108 Agreement might include:

1. Highway Improvements: Developers may be required to fund road improvements or construct new roads in the local area to accommodate increased traffic from the new development.

2. Public Transport: Developers may be required to contribute towards local public transport infrastructure, such as funding new bus routes or building new train stations.

3. Affordable Housing: Developers may be required to construct a certain number of affordable homes within the development or contribute funds towards the building of affordable homes elsewhere in the local area.

4. Education and Community Facilities: Developers may be required to fund the construction of new schools or community centers in the local area to accommodate the needs of the growing population.

Why are Section 108 Agreements Important?

Section 108 Agreements are an important tool for ensuring that developments in the United Kingdom are sustainable and benefit the local community. By requiring developers to make specific contributions towards local infrastructure and amenities, the local planning authority can ensure that the development does not have a negative impact on the local area.

What Happens if a Developer Fails to Comply with a Section 108 Agreement?

If a developer fails to comply with a Section 108 Agreement, the local planning authority has the power to take legal action against them. This may include seeking an injunction to stop the development or even revoking planning permission altogether.

Conclusion

In summary, a Section 108 Agreement is a legal agreement between a local planning authority and a developer, which sets out specific contributions that the developer must make towards local infrastructure and amenities. By requiring developers to make these contributions, the local planning authority can ensure that new developments are sustainable and benefit the local community.

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