Self build exemption
There are three types of self-build exemption:
- self-build exemption - for a whole house
- self-build exemption - for a residential annex
- self-build exemption - for a residential extension
Self-build exemptions can apply to anybody who is building, or commissioning, their own home, residential extension or residential annex. Individuals claiming the exemption must own the property and intend to live in it as owner-occupier for a minimum of three years following completion.
You can apply for exemption from CIL if you are building your own home, and intend to live in it as the owner-occupier.
To make a claim, you must first:
- assume liability to pay CIL
- certify that the scheme will meet the criteria to qualify as self-build development (using Form 7 Self build exemption claim whole house Part 1), this must be done before you commence
- submit a commencement notice, before development commences
- within six months of completion, send us evidence to confirm the project is self-build (using Form 7 Self build exemption claim whole house Part 2)
Within six months of completing your home, you must supply further supporting information on Form 7 Self Build Exemption Claim Form Part 2. This provides the evidence to confirm the project is self-build. You should ensure you can provide all the information required by Part 2 as the Council cannot accept any other documents as evidence of self-build. If the evidence cannot be provided then the full CIL charge will be payable immediately.
The evidence must comprise:
- proof of the date of completion (building completion notice, compliance certificate),
- proof of ownership (a copy of the title deeds)
- proof of occupation as your main residence (Council tax certificate, utility bills, bank statement, electoral roll).
In addition, you must also provide a copy of one of the following:
- an approved claim from HMRC under VAT431C – VAT refunds for DIY housebuilders
- specialist self-build warranty
- approved self-build mortgage from a bank or building society
The claim forms are available using the links below:
Full details of what is required can be found on the forms. If this evidence is not submitted to the Council within the six month time period, the full levy charge becomes payable.
If the new build floorspace of your residential extension is 100sqm or more, then you will be liable for CIL. Residential extensions below 100sqm are already exempt from the levy under the minor development exemption.
You can apply for exemption from CIL if you are building a residential extension. You must have a material interest in the main dwelling (own or have a leasehold of seven or more years). Any extension must be an enlargement to the main dwelling.
Claims for a self-build exemption for a residential extension should be submitted on Form 9: Self Build Residential Extension Exemption Claim Form. This form is available using the link below. The form specifies what additional information should accompany the claim.
You must submit an assumption of liability notice and a commencement notice before starting any work, otherwise the full amount of CIL will be payable.
You can apply for exemption from CIL if you are building a residential annex. You must have a material interest in the main dwelling (own or have a leasehold or seven years or more) and use the house as your main residence for three years after completion to obtain exemption. Any annexes must be built within the curtilage of the main residence and any extensions must be an enlargement to the main dwelling.
Claims for self-build residential annex exemption should be submitted on CIL Form 8, which can be found using the link below.
It is important that you don't begin work until you submit your application for exemption and you receive notice from us with a decision. If you start any work, including digging foundations, your application for exemption will be refused.
If you fail to submit a commencement notice before starting any work, then we will charge the full amount for CIL.
If you fail to submit the correct evidence on completion, or within six months of completion, then we will charge the full amount of CIL.
If you receive exemption, and then sell, or rent out, your home within three years of the house being completed, we will charge you the full CIL amount. CIL is registered as a land charge and so if any of these disqualifying events occur within three years, we will revoke exemptions and the levy will then be due.
We can also impose surcharges, in addition to the full CIL charge.
Where relief is applied, the CIL chargeable amount, and amount of relief granted, will be kept on the land charges register for three years following completion.
If a disqualifying event occurs, you must notify the Council in writing within 14 days. If this is not done, a surcharge will be applied in addition to the levy. A copy of the notification must be sent to all owners material interests in the relevant land. Where the necessary evidence is not supplied on completion, the Council will give you at least 28 days to submit the forms and evidence before taking further action.
Definition of completion
Completion is defined as the issuing of a compliance certificate under Regulation 16 of the Building Regulations 2010 (completion certificate) or Section 51 of the Building Act 1984 (final certificate).
You have the right to appeal against exemption not being granted under Regulation 116A and 116B. Appeals should be made to the Valuation Office Agency. Further information can be found through CIL Appeals.
Self-build exemptions cannot be granted if they would constitute a notifiable state aid.