Available EHDC Powers: Section 106 Legal Agreements

What it is:
Legally binding obligations tied to a planning permission that specify what the developer must do — often tied to infrastructure, phasing, or affordable housing.

How EHDC should use it:
Include clauses that:

  • Restrict occupation until delivery milestones are met.
  • Require early infrastructure delivery before homes are sold.
  • Include a detailed Delivery Strategy as a condition of permission.

Impact:
Makes it economically risky for developers to delay — without needing direct penalties.

🏡 What Are “Section 106 Agreements”?


Section 106 agreements are legal contracts between the Council and a developer. They’re used to make sure new developments pay their fair share for things like:

  • Roads and junction upgrades
  • New school places
  • Playgrounds and green spaces
  • Affordable housing

They can also set rules about when and how a developer builds — such as:

“You can’t sell or occupy any homes until you’ve built the new roundabout.”
“You must deliver 40% affordable homes by the time you finish the first 50% of the site.”

🧭 What Would EHDC Use These For?


  • To make delivery milestones legally enforceable,
  • To stop developers from building slowly just to wait for prices to rise,
  • To make sure critical infrastructure comes first, not last.

🎯 Why Does It Matter?


Without strong Section 106 agreements, developers can:

  • Build homes and sell them before anything else is ready,
  • Delay infrastructure or community benefits until the end — or indefinitely,
  • Ask for things to be removed later, claiming “viability issues”.

Final Thought


Section 106 isn’t about punishing developers — it’s about making sure they deliver what they promise, when they promise it.

If used well, it protects local communities from broken commitments and poorly phased development.