Building Safety Levy

The Building Safety Levy is a government charge introduced under the Building Safety Act 2022. It applies to certain new residential developments and is intended to help fund the remediation of historical building safety defects in England. 

Local authorities are responsible for collecting the levy and passing it to central government. 

The levy is administered through the building control process and applies to relevant building control applications submitted on or after 1 October 2026. 

Once a Levy Liability Notice has been issued, payment is required before a completion certificate can be granted. 

Why has the levy been introduced? 

The levy is intended to raise funding (around £3.4 billion nationally) to: 

  • Fix historical building safety issues 

  • Ensure the cost is met by the development sector rather than leaseholders or taxpayers 

When the levy applies 

The levy applies only to building control applications submitted on or after 1 October 2026. 

Applications submitted before this date are not subject to the levy, even if they are later amended or varied. 

A Levy Liability Notice is issued once sufficient information has been provided, typically at or following the submission of a commencement notice for: 

  • A full plans application made to a local authority or the Building Safety Regulator, or 

  • An initial notice registered with the local authority by a Registered Building Control Approver

Who pays the levy 

The levy is payable by the developer. 

It does not apply to individual homebuyers or residents. 

What development does the levy apply to 

The levy typically applies to major residential development, generally defined as: 

  • 10 or more new dwellings, or 

  • 30 or more purpose-built student accommodation bedspaces, and 

It can also apply to: 

  • Mixed use schemes with residential elements 

  • Conversions or extensions that increase residential floorspace 

Are any developments exempt 

Certain types of development are exempt, including: 

  • Affordable housing 

  • Social or supported housing 

  • School and educational accommodation 

  • Accommodation for victims of domestic abuse 

  • Hospitals and NHS accommodation 

  • Children’s homes, residential family centres and supported accommodation for children 

  • Hotels and hostels 

  • Developments by a non-profit registered provider of social housing 

  • Care homes and hospices 

  • Secure residential accommodation (eg prisons, young offenders institution etc) 

  • Almhouses 

  • Armed Forces accommodation 

  • Temporary accommodation for homeless people 

  • Monasteries, nunneries and seminaries 

Even where a development is exempt, the exemption must be evidenced and confirmed through the process. 

How is the levy calculated? 

The levy is charged based on the gross internal area of new residential floorspace and is charged per square metre. 

Rates are set by central government for each local authority area and vary depending on local house prices.  

Developments on previously developed (brownfield) land receive a 50% discount 

Levy rates 

The following rates apply: 

Local authority area 

Standard rate (£/m2) 

Brownfield rate (£/m2) 

Blaby District 

£28.47 

£14.23 

Harborough District 

£29.47 

£14.74 

Hinckley & Bosworth 

£26.79 

£13.39 

Melton Borough 

£23.93 

£11.96 

Oadby & Wigston 

£25.52 

£12.76 

Rutland County 

£31.17 

£15.59 

How is the levy collected? 

The levy is collected through the building control process: 

  • Developers submit details as part of the building control application process and the commencement notice 

  • Levy charge is calculated by the collecting authority 

  • The collecting authority issues a Levy Liability Notice 

  • Payment is made to the collecting authority before completion/occupation 

Payment and enforcement 

Payment must be made to the collecting authority before the earliest of occupation or completion of the development. 

Failure to pay allows the collecting authority to withhold the completion certificate or refuse to accept a final certificate from a Registered Building Control Approver. 

Disputes and appeals 

If the developer disagrees with the charge, the refund amount or a decision not to issue a refund, they can ask us for a review within 28 days of receiving the Levy Liability Notice. If the matter is not resolved after the review, the developer may appeal to the First-tier Tribunal. 

Further information 

For details on the Building Safety Levy, including legislation, guidance, and implementation updates, please refer to the relevant UK Government publications. 

The Building Safety Levy (England) Regulations 2025 

 

Frequently Asked Questions

What is the Building Safety Levy

The Building Safety Levy is a government charge introduced under the Building Safety Act 2022. It has been introduced to help fund the remediation of residential buildings with historical safety defects. 

Why has the levy been introduced?

The levy forms part of wider building safety reforms following the Grenfell Tower tragedy. It is intended to raise approximately £3.4 billion nationally and ensure that developers contribute towards remediation costs rather than leaseholders or taxpayers. 

When does the levy come into force?

The levy applies to relevant building control applications submitted on or after 1 October 2026. Applications submitted before this date will not generally be subject to the levy, even if they are amended later. 

Does the levy apply across the UK?

No. The Building Safety Levy applies in England only. 

Which developments are affected?

The levy generally applies to: 

  • Developments creating 10 or more new dwellings 

  • Developments creating 30 or more purpose-built student accommodation (PBSA) bedspaces 

  • Some mixed-use developments containing residential floorspace 

  • Some conversions and extensions that increase residential floorspace 

Does the levy apply to all residential developments?

No. Smaller developments below the applicable thresholds are generally exempt. 

Which developments are exempt?

Certain types of development are exempt, including: 

  • Affordable housing 

  • Social or supported housing 

  • School and educational accommodation 

  • Accommodation for victims of domestic abuse 

  • Hospitals and NHS accommodation 

  • Children’s homes, residential family centres and supported accommodation for children 

  • Hotels and hostels 

  • Developments by a non-profit registered provider of social housing 

  • Care homes and hospices 

  • Secure residential accommodation (eg prisons, young offenders institution etc) 

  • Almhouses 

  • Armed Forces accommodation 

  • Temporary accommodation for homeless people 

  • Monasteries, nunneries and seminaries 

Even where a development is exempt, the exemption must be evidenced and confirmed through the process.  

Who pays the levy?

The levy is payable by the developer. It is not payable by individual homebuyers or residents. 

How is the levy calculated?

The levy is calculated using the gross internal area (GIA) of chargeable residential floorspace. Charges are applied per square metre using rates set by government. 

Are there discounts or different rates?

Yes. Developments on previously developed (brownfield) land receive a 50% discount. 

What are the local levy rates

The following rates apply: 

Local authority area 

Standard rate (£/m2) 

Brownfield rate (£/m2) 

Blaby District 

£28.47 

£14.23 

Harborough District 

£29.47 

£14.74 

Hinckley & Bosworth 

£26.79 

£13.39 

Melton Borough 

£23.93 

£11.96 

Oadby & Wigston 

£25.52 

£12.76 

Rutland County 

£31.17 

£15.59 

Rates are set nationally by government and may be updated periodically. 

Does the levy replace CIL or Section 106 obligations?

No. The Building Safety Levy is separate from Community Infrastructure Levy (CIL) charges and Section 106 planning obligations. Developers may still be liable for those requirements where applicable. 

When must the levy be paid?

The levy must be paid before the development is occupied or completed.   

What happens if the levy is not paid?

The collecting authority may withhold a completion certificate until the levy has been paid or all levy requirements have been satisfied. Where a Registered Building Control Approver is involved, the authority may also refuse to accept the final certificate. 

Is the levy part of the planning process?

No. The Building Safety Levy is administered through the building control process and is separate from the planning application process. 

What information will applicants need to provide?

Applicants must provide sufficient information for the levy to be assessed, including details of: 

  • Residential floorspace 

  • Development type 

  • Any exemption claims 

  • Any applicable reductions or discounts 

How is the levy collected?

The process is generally: 

  • Applicant completes Building Control application with limited levy information 

  • Applicant completes Commencement Notice with detailed levy information 

  • LBCP assess levy liability 

  • LBCP issues Levy Liability Notice  

  • Levy paid (or exemption confirmed) 

  • Completion certificate issued 

Who collects the levy?

LBCP acts as the collecting authority on behalf of Blaby District Council, Harborough District Council, Hinckley & Bosworth Borough Council, Melton Borough Council, Oadby & Wigston Borough Council and Rutland County Council and is responsible for assessing, collecting and transferring levy payments to government. This applies even where a Registered Building Control Approver is appointed. 

Can the levy amount be challenged?

Yes. Applicants can request a review by the collecting authority and may subsequently appeal to the First-tier Tribunal. Requests for review must normally be submitted within 28 days of receiving the levy notice. 

What happens if details of the development change?

Changes to the development may affect levy liability. Updated information must be provided and revised charges may apply. 

What is the latest date to submit an application before the levy starts?

Applications can be submitted up to 30 September 2026 provided all information required for validation has been supplied. Applicants are strongly encouraged to submit applications at least 5 to 10 working days before this date to allow time for validation checks. 

Will there be a fee to pre-register projects?

No. Normal Building Control application fees apply. There is no separate pre-registration fee. 

Can client or developer details be changed after submission?

Yes. Client and duty holder details can be amended if circumstances change during the project. 

Will changing the developer create a levy liability?

No. A change in developer or client name does not, by itself, create levy liability. 

Is there an expiry date for Building Control applications?

Yes. Under current arrangements Full Plans applications expire three years after approval if works have not commenced. 

A new application will be required if work has not commenced within the relevant period. 

If I submit before 1 October 2026 but do not start work immediately, with the levy apply?

Applications submitted prior to implementation should continue to be dealt with under the applicable Building Control requirements. Applicants should ensure works commence within the relevant validity period and seek professional advice where necessary. 

What if the development already has planning permission?

Planning permission and Building Control approval operate separately. Developers must continue to comply with all planning conditions, commencement requirements and implementation deadlines. 

Last updated 28 August 2026
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