Release of s106: A Guide to Securing Capital Project Funds
If you have an idea for a project and want to find out if there are any S106 funds available - please email planningpolicy@midsussex.gov.uk for further information. If there are funds available and your project meets the funding criteria below you will be invited to submit an application for the Release of S106.
Background
Planning obligations are made under Section 106 of the Town & Country Planning Act 1990. They are used to ensure development proposals are acceptable in Planning terms and deliver necessary improvements to supporting infrastructure. Planning obligations can secure the provision of new on-site facilities or financial S106 contributions for specific purposes at identified sites/venues or geographical locations.
The policy framework explaining how Development Contribution requirements are calculated is available online and details of S106 legal agreements between the Council and developers are published on the Online Public Register. The Council publishes an annual Infrastructure Funding Statement which provides an overview of S106 contributions secured, received, allocated and spent
Release of S106
S106 Funds can be used to support capital projects concerning works to:
- Community Buildings
- Recreation facilities (play areas and sports)
- Local Community Infrastructure (i.e. CCTV, allotments, burial grounds, public toilets, public realm, car parks, EV charging points, litter and dog bins, footway lighting, local signage, routes for pedestrians, cyclists and equestrians, traffic calming, public seating, arts and cultural facilities including museums, theatres and galleries)
The Council collects S106 contributions toward affordable housing, health, police other purposes but these categories are not open to application.
S106 contributions often have restrictions attached and can only be used for specific locations.
Funding Criteria
We can consider applications from
- Not-for-profit groups i.e. unincorporated organisations, Community Amateur Sports Clubs (CASCs), companies limited by guarantee.
- Registered Charities, Charitable Incorporated Organisations (CIOs) and Community Interest Companies (CICs) with a minimum of three unrelated Directors/Trustees.
- Parish or Town Councils and other statutory organisations (e.g. Police Authority, National Health Services, West Sussex County Council)
Applicants must
- have a written governing document, set of rules or a constitution
- have a bank account or building society account and financial records - or financial projections if newly formed
- be open to all and have an equal opportunities statement.
- generally have security of tenure for a minimum of 14 years
Projects must be of direct benefit to the residents of Mid Sussex District. You will need to demonstrate how your project will improve social infrastructure, increase capacity and enable more people to participate in local activities. You must also submit a minimum of two competitive quotes for the works to demonstrate good value for money. You must also explain how the project will be managed and delivered and how ongoing costs will be met.
Where funding is allocated to an organisation offering goods or services in a market, the Release of S106 must be considered against the subsidy control principles in accordance with the Subsidy Control Act 2022.
We will not use S106 Funds to support
- Activities and service provision
- Facilities which are used to promote political activities or specific religious beliefs
- Overhead costs
- Loan re-payments
- Individuals (or CIC’s with only one director)
- Organisations operating as a business to make a profit or surplus
- Retrospective funding for goods or services procured prior to receipt of a grant offer
- Ongoing maintenance, routine repairs and renewals
- Projects that do not demonstrate sustainability over the medium to long term
Application Form
Please email planningpolicy@midsussex.gov.uk with a brief summary of your proposal/request before you complete the form and we can advise you on the level of funding available in your area. We will not consider unsolicited applications.
What Happens Next
An Officer will assess your application against the funding criteria and make a recommendation to the Assistant Director, Planning and Sustainable Economy.
It usually takes about 4-6 weeks for a decision and we will send you a written notification of the outcome. You may be required to sign a legal grant agreement outlining full terms and conditions. If your application is successful, the Council could offer less than you requested or choose to make a conditional award.
Larger awards of over £200,000 may be referred to the Cabinet Grants Panel which generally meets three times a year.