Newcastle City Council Section 106 Agreements: Everything You Need to Know

In the United Kingdom, Section 106 agreements are a crucial part of the planning process for developers and local authorities alike. These agreements are set out in Section 106 of the Town and Country Planning Act 1990 and allow local councils to negotiate with developers to secure certain benefits or contributions towards the wider community.

Newcastle City Council has a strong track record of using Section 106 agreements effectively and has overseen many successful developments in the area. In this article, we’ll take a closer look at what exactly Section 106 agreements are and how they work in practice.

What is a Section 106 agreement?

A Section 106 agreement is a legally binding agreement between a local council and a developer that is designed to mitigate the impact of a new development on the local area and community. It can cover a wide range of issues, including affordable housing, education provision, transport upgrades, and environmental improvements.

The agreement typically sets out the financial contributions that a developer must make towards these various benefits, as well as outlining any other conditions that must be met before the development can go ahead. These conditions might include requirements around the design or materials used in the development, or measures to protect local wildlife or heritage assets.

How do Section 106 agreements work in practice?

Section 106 agreements are negotiated on a case-by-case basis between the local council and the developer. The negotiation process begins early in the planning process and is typically led by the council’s planning officers.

The council will set out the benefits that it wants to secure in the agreement, and the developer will then provide initial proposals for how they might meet these requirements. The two parties will then negotiate over the specifics of the contributions and conditions, until a final agreement is reached.

Once this agreement is in place, it is legally binding and the developer is required to comply with its terms. This means that they must make the required financial contributions and meet any other conditions before being granted planning permission.

Why are Section 106 agreements important?

Section 106 agreements are an important tool for local councils to ensure that new developments benefit the wider community, not just the developer. By negotiating these agreements, councils can secure contributions towards affordable housing, community facilities, and transport infrastructure, which might otherwise have to be funded through public budgets.

Newcastle City Council has used Section 106 agreements effectively to secure significant benefits for the local area. For example, the council negotiated a £4.8 million contribution from a developer towards affordable housing in the city centre, helping to address the shortage of affordable homes in the area.

In summary, Section 106 agreements are a crucial part of the planning process in the UK, and Newcastle City Council has a strong track record of negotiating effective agreements. By securing contributions from developers towards community benefits, these agreements help to ensure that new developments are a positive force for the wider community.