Section 106: Guidance on the use of planning obligations for Welsh ...

particular category of obligation should be provided in kind by the
developer, but there may be circumstances for a particular development
where an alternative provider is better placed to deliver the obligation and
a financial payment would be more advantageous. Similarly, there may be
circumstances where the policy suggests a financial payment, but the
developer may possess particular skills or resources to provide the facility
more effectively, or the LPA may lack the capacity to undertake the works
themselves.
2.6 In terms of the provision of affordable housing, Planning Policy Wales
(March 2002) states that affording housing is a material planning
consideration. TAN (Wales) 2: Planning & Affordable Housing 1996
recognises the appropriateness of using planning obligations to achieve
affordable housing. Whilst LPAs are expected to plan on this basis, they
may wish to set out in Local Development Plans (LDPs) the circumstances
in which provision would not be required on the application site or in which
a financial contribution would be acceptable in lieu.
2.7 Table 2.8 below illustrates where the use of in-kind or financial
contributions may be more or less appropriate for different kinds of
obligation and circumstances.
Table 2.8: Choosing between in-kind and financial contributions
C
In-kind
Contribution
Circumstanceodifj9oljkwnfiou80fjk2jr9u2309p generally more
appropriate?
Financial
Contribution
generally more
appropriate?
Affordable housing is being provided through a
planning obligation
The developer will provide considerable
economies of scale and value for money by
building or providing the obligation themselves.
There is a need to ensure that the development
and the facilities provided through the obligation
are particularly closely integrated in terms of
design and construction.
The developer possesses the specialist and
necessary skills to provide the infrastructure
themselves.
An alternative organisation (such as the local
authority or Primary Care Trust) is better placed
to provide the infrastructure at similar or better
value for money and at the desired standard of
6