Planning Obligations and Section 106

About planning obligations

You use planning obligations are used as part of the planning application process to address specific planning issues and impacts arising from a development proposal. This mechanism is used to make development proposal acceptable in planning terms that would not otherwise be acceptable.

The obligations are normally agreed between the council, land owners and developers in a legal agreement called a Section 106 (S106) agreement.

For more information about what planning obligations are due from different types of development refer to the Planning Obligations SPD.

You can search for s106 agreements made with Islington council.

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How to use planning application search tool

1. Click on 'Search planning applications'
2. Type the reference number in 'Application reference'
3. Click 'Search'

How to request a compliance notice

As part of the purchase and selling of property solicitors will often run a land charges search which may reveal that there is a legal agreement associated with a particular site. It is common for buyer’s solicitors to require a confirmation that the property is not subject to any outstanding S106 financial and non-financial obligations. Requests for compliance notice should be sent directly to s106@islington.gov.uk and should include the following details:

• planning application number

• deed signed date

• all relevant physical addresses related to the deed.

Officers will endeavour to respond to your request within three working days, however, response times may be extended in extremely busy times or if the request is for exceptionally large development.

When you need an S106 Agreement

During the planning application process a case officer will guide you through the process of securing a s106 agreement if it is required.  

Generally, if you are applying for planning permission for a development which falls into either of the two categories below then you will need to sign a legal agreement either a section 106 or a Unilateral Undertaking.

Small Sites: Unliteral Undertaking

New planning permissions which create additional housing units (less than 10 units) will require a legal agreement to secure the small sites affordable housing contribution, carbon offset contributions and car free housing.

For more information read the Affordable Housing Small Sites Contributions SPD.

Download a template of a unilateral undertaking for small sites.

Major Developments: Section 106 Agreement  

If your planning permission will create either over 1,000 square metres of commercial or mixed use space or will create over 10 residential units of housing then you will normally have a section 106 agreement.

If your planning permission will create either over 1,000 square metres of commercial or mixed use space or will create over 10 residential units of housing then you will normally have a section 106 agreement.

CopCS fees were increased on 14 December 2020. Read more on changes to CoPCS fees.

How to conform to a Section 106 agreement

Often planning obligations will become due as soon as the development commences. However, there are also a number of both financial and non-financial obligations that are triggered by other development stages. To ensure that all S106 obligations are complied with, the developers should follow these steps:

• Email S106@islington.gov.uk to inform you will be implementing a planning permission with a legal agreement and your date of intended commencement. Please attach the commencement notice. A template of commencement notice will usually be attached to the agreement. View the template. An officer will contact you with an invoice with the correct amounts calculated and detail the various submissions you are due to make prior to commencement.

• Refer to the Section 106 for details on what submissions and payments are due at which trigger points. All submissions can be made to S106@islington.gov.uk

• Make a payment within one month from the demand notice being sent. 

• Upon approval of submissions and receipt of payment discharge notices, we will send payment notices. Keep these as a record.

All payments are subject to indexation to adjust for inflation in between when the planning permission is granted and when the development commences. The specific calculation for this can be found within the legal agreement.

Late payments will be subject to interest as is defined in the specific legal agreement. To avoid a penalty, email s106@islington.gov.uk at least 14 days before commencement.