The Community Infrastructure Levy (CIL) is a charge which can be levied by local authorities on new development in their area. It is an important tool for local authorities to help them deliver the infrastructure needed to support development in their area. The CIL Regulations 2010 as amended, part 7 state that 15% of the total CIL contributions collected are to be allocated for spending in agreement with local communities – the Neighbourhood Improvement Strand (NIS).
In October 2017, Cabinet approved a crowdfunding model as the preferred option for the future governance of the CIL Neighbourhood Improvement Strand (NIS).
Crawley Borough Council used monies collected through the Neighbourhood Improvement Strand to create the Neighbourhood Improvement fund. There was a requirement for match funding from the groups and the council would pledge up to 50 per cent of the total project costs, capped at £5,000. In March 2022, the match funding element was reduced to 25%.
In November 2022, Cabinet approved, subject to public consultation, the implementation of a new “hybrid” model, which retained £75,000 from the CIL NIS, to maintain the Neighbourhood Improvement Fund with an annual contribution of £25,000, from the CIL NIS, until March 2025.
The outcome of the 4-week public engagement exercise was that the Council only received one response from Crawley Community Action who expressed support for the amendments to the governance of the CIL Neighbourhood Improvement Strand; no comments were received from any other organisations / individuals from the wider community.
Therefore, the following, agreed by Cabinet in November 2022 (PES420), has duly been implemented - Allocate £75,000 of CIL Neighbourhood Improvement Strand monies to the Neighbourhood Improvement Fund, until 31st March 2025.
Cabinet also agreed in November 2022 to delegate authority to the Head of Economy and Planning, in consultation with the Cabinet Member for Planning and Economic Development, to implement any procedural modifications to the CIL Neighbourhood Improvement Strand, including in response to the public engagement exercise.
Neighbourhood Improvement Fund and amendment to eligibility criteria - Rationale: Currently the criteria states that the Council will fund up to 75% of the total funding target for a neighbourhood improvement project, capped at £5,000. To be considered to receive a contribution from Crawley's Neighbourhood Improvement Fund, applicants therefore currently need to prove that they can fund at least 25% of the costs of their project using “match funding” from their own money or finances from third parties. The requirement to find match funding to finance at least 25% of project costs is a real barrier to community organisation applicants who find it difficult to access funding at the best of times economically. The current economic climate makes that challenge even more significant. The removal of the match funding requirement would also bring the Neighbourhood Improvement Fund in line with other Council funding schemes, and it should encourage more neighbourhood-based community organisations to apply.
On 27 September 2023 the Head of Economy and Planning, in consultation with the Cabinet Member for Planning and Economic Development, therefore amended the eligibility criteria and removed the need for Neighbourhood Improvement Fund applicants to generate match funding.