Levy for new barns is dropped

Hambleton District Council has withdrawn proposals under the new Community Infrastructure Levy which the National Farmers’ Union (NFU) says would have made it virtually impossible for local farmers to improve their farm buildings.

The new levy is designed to raise funds for local authorities where sizeable residential or commercial development results in them having to invest, for example, in the local road infrastructure.

Most local councils have chosen to exclude agricultural development from the levy, but some, including Hambleton, Harrogate Borough and Leeds City Council, had proposed to charge for on-farm developments such as barns. All three councils have now abandoned those plans.

Farmers in the Hambleton area would have faced a charge of £10 per sq m, adding £5,000 to the cost of a 500 sq m barn. Harrogate Borough Council originally proposed the same rate, while Leeds City Council initially earmarked a £5 charge per sq m.

Andrew McCormack, planning policy and design officer at Hambleton District Council, said: “It was clear from the volume of responses received on this particular proposal and the evidence provided by respondents that the imposition of such a rate on these types of buildings – which generally occupy a large floorspace – would raise build costs so high as to render the vast majority of such proposals unviable.”

Mr McCormark warned that it was important to note that agricultural workers’ dwellings are not exempt from the levy and will attract the full residential rate.

The NFU led lobbying against the levy being applied to farm-scale developments.

Laurie Norris, the NFU’s North Riding and Durham county adviser, welcomed the change of heart in Hambleton.

“Looking at the rationale and requirements of the new levy it is clear that agriculture would have been an unintended victim as in general, agricultural developments place very little extra burden on the surrounding infrastructure.

“While obviously we can see the need for this levy for large-scale developments, we are delighted that the council has decided to exempt local farm-scale development.”