Thank you for contacting me about the Levelling Up and Regeneration Bill.
I completely agree with you that new homes should be accompanied by the infrastructure that development creates the need for. I am glad that it is already the case that developer contributions can be used to provide funding for schools and educational facilities.
The Levelling Up and Regeneration Bill will introduce a new Infrastructure Levy which is designed to be simpler and more transparent to communities than the current system of developer contributions. I share your view that this levy represents an important opportunity for communities to have their voices heard on the types of infrastructure they would like to see in their areas.
The Levelling Up and Regeneration Bill includes provision for ‘schools and other educational facilities’ to be funded within scope of the levy. This means that proceeds could be spent on childcare facilities such as nurseries and pre-schools. This includes childcare facilities that are not attached to schools.
The Levelling Up and Regeneration Bill would also allow for a specified amount of levy proceeds to be applied towards projects which fall outside of the Bill's definition of infrastructure. The Housing Minister has explicitly said that this could cover the funding of services, such as childcare, if providing them was considered a local priority. She has summarised the Government’s position thus:
"The position is that childcare facilities - that is buildings - including those that are not attached to schools, are included within the meaning of “infrastructure” and can therefore be funded through the levy. In addition, the Bill already includes a power to regulate to allow for the funding of services such as childcare. It is in proposed new section 204N(5), in paragraph 1 of schedule 11."
Source: Lucy Frazer, HC Debate, 13.12.22 - Col. 1015 - https://hansard.parliament.uk/commons/2022-12-13/debates/5345D318-88EE-…
I understand that the Government will consult on the Infrastructure Levy, and I would encourage you to share your views when the consultation launches.
It is critical that children get the support, care and education they deserve. I am confident that the new Infrastructure Levy will help to do just that.
Thank you again for taking the time to contact me.
Craig Whittaker MP
January 2023