These will form part of London’s share of the funding package for the project agreed between the mayor and central government.
Estimates suggest that Crossrail will bring bewteen £15m and £115m in annual economic benefits to every London borough, and not just those on the route of the transport link. It is expected to support development in key parts of London, including the West End, the Isle of Dogs and the Thames Gateway. New powers given to the Mayor under the 2008 Planning Act allow him to use the planning system to raise money for infrastructure improvements through a Community Infrastructure Levy. It will be collected by the boroughsd on his behalf on new developments that are approved from spring 2012. The aim is to raise £300m.
Boris Johnson said: “There is no underestimating how important Crossrail is to the future of this great city. Every corner of London will benefit once construction is complete and despite the current financial pressures, I am committed to ensuring London meets its fair share of the cost. It is right that the sector that will benefit so much should make its contribution and I am confident that this will not hinder development in the capital. However, through this important consultation I want to ensure we have heard and considered every point of view.”
It is proposed to seek contributions on new developments in London at the following rates:
£50 per square metre: Camden, City of London, City of Westminster, Hammersmith and Fulham, Islington, Kensington and Chelsea, Richmond-upon-Thames and Wandsworth.
£35 per square metre: Barnet, Brent, Bromley, Ealing, Greenwich, Hackney, Haringey, Harrow, Hillingdon, Hounslow, Kingston upon Thames, Lambeth, Lewisham, Merton, Redbridge, Southwark, Tower Hamlets.
£20 per square metre: Barking & Dagenham, Bexley, Croydon, Enfield, Havering, Newham, Sutton and Waltham Forest.
Education and health sector service facilities, developments by charities for their own purposes, and affordable housing are exempt.
Consultation on the proposals runs for six weeks, with comments to be received by 1 March 2010. To view the report, visit http://www.london.gov.uk/publication/mayoral-community-infrastructure-levy.
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