Planning Agreements - Frequently Asked Questions

Click on a question to display an answer.

How are Section 106 Agreements created?

Planning Obligations are negotiated on an individual basis and therefore a standard approach cannot always be taken. However within the Supplementary Planning Document - Planning Obligations, adopted 21 March 2007 Salford has sought to identify the ‘average' impacts of an average development. This enables the council to identify the value of a commuted sum that would need to be paid if the developer were not to provide services or facilities as part of the development. Within Salford, there are five main types of Planning Obligations that can be included within a Section 106 Agreement:

  1. Provision of open space associated with new residential development
  2. Improvement of public realm, infrastructure and heritage
  3. Provision of construction training
  4. Climate change mitigation
  5. Affordable housing

Affordable housing is secured through use of Section 106 Agreements in accordance with the council's housing and planning guidance.

The need for additional planning obligations such as transport and travel or health facilities may also be identified as part of the development control process when determining planning applications, and particularly on the basis of individual assessments that are submitted with an application.

Who decides a Section 106 Agreement?

It is the Planning and Transportation Regulatory Panel which approves the ‘heads of terms'. These are the key principles of the Section 106 agreement attached to the granting of planning permission. The ‘heads of terms' will be required to meet the five tests set out in Circular 05/2005.

Will all developments have to pay Section 106 contributions?

Section 106 Agreements are linked to the granting of planning permission. However, if a development does not go ahead there will be no mitigation required and no Section 106 contributions will be payable. If a development was to provide services or facilities within the development site then Section 106 contributions may be reduced or not required at all. You can view the location of planning applications which have a live Section 106 Agreement attached on the council's interactive mapping system

When are Section 106 monies paid?

Section 106 monies are usually paid in instalments at key stages during the construction of a development, these are known as 'Trigger Points'. For example Section 106 contributions could be payable by instalments with 50% paid upon commencement of development and the remaining 50% paid upon completion of 90% of a development. As developers have three years to commence a development once planning permission is granted, it can therefore take a number of years before Section 106 contributions are received by the council from the time permission was originally granted.

Are there any restrictions on how Section 106 can be spent?

Each Section 106 Agreement is different and will include individual requirements as to how the contributions are spent. Section 106 Agreements also include expiry dates which limit the amount of time available to spend them. In addition Section 106 contributions are required to be spent within the vicinity of, and must be directly related to the development in question. These limitations can often severely restrict the nature and location of a scheme funded by Section 106 contributions.

Why are Section 106 contributions sometimes spent away from the development?

Section 106 contributions must deliver a scheme that is related to the development that paid those monies, but the impact of any development can affect the wider community. This means that Section 106 contributions can be used to deliver improvements to facilities that are located some distance away from the development, such as a local town centre or major road corridors.

How are Section 106 contributions spent in Salford?

Section 106 contributions are used to deliver schemes that are in line with the key council documents/strategies and frameworks that are active within the vicinity of the development that provided Section 106 contributions.

Where the cumulative impacts of different development proposals within an area would result in the need for additional infrastructure, services or facilities, the city council may seek to pool Section 106 contributions from a number of developments.

How can I get involved?

There are a number of opportunities for local communities to get involved in the application of contributions secured through Section 106 Agreements, including;

  1. Each neighbourhood area in Salford agrees a Community Action Plan (CAP) once a year which identifies each community's priorities. Any individual or representative of a local community group can attend their local Community Committee Meetings and influence the priorities within their areas Community Action Plan. Section 106 contributions are used to deliver schemes that are in line with key council documents/strategies and frameworks, including CAP's.
  2. Other key council documents/strategies that influence where Section 106 contributions are utilised, such as the Greenspace Strategy, have a consultation period before they are finalised at which time views from the local community can be submitted.
  3. Where Section 106 contributions are able to deliver schemes that are not site specific to a development, members of the community will be given the opportunity to get involved in the consultation events that are held to determine the design of that scheme.

Why are Section 106 contributions spent in this way?

As a Section 106 Agreement is a legally binding document, the council must ensure that any monies received are spent in line with the details of the Agreement. Key council documents/strategies and frameworks enable the council to identify areas where there is a need for improvements to local amenities.

How will local communities be kept up to date on Section 106 activities for their area?

An annual report will be produced detailing Section 106 activities at a ward level for the previous financial year. This report will be available to view via the city council's Planning Obligations internet pages.

Relevant documents

Who to contact

Name
Tony Melia
Address
Sustainable Regeneration Directorate,
Salford City Council,
Civic Centre,
Chorley Road,
Swinton,
Salford,
M27 5BY
Map to this location
Telephone
0161 793 2063
Email
tony.melia@salford.gov.uk

This page was last updated on 8 August 2011

Copyright Salford City Council
Salford City Council, Salford Civic Centre, Chorley Road, Swinton, Salford M27 5AW   Telephone 0161 794 4711
  • Information about using the Browsealoud reader on this site
Directgov straight through to public services www.direct.gov.uk

http://www.salford.gov.uk/planning-section106faqs.htm
© Copyright Salford City Council 2012.

Improving people's lives IN Salford