What is a Commuted Sum?

A Commuted Sum (or payment in lieu) is the term used for money received by the Local Planning Authority from housing developers which is then used to improve open spaces and village halls in the area where the new homes have been built. The amount for each development depends on how many people the new homes bring in and the open space and village hall needs in that area.

When affordable housing requirements are triggered by the scale or size of the development but providing affordable housing is not achievable on site, a commuted sum will mitigate the lack of provision.

The money received by the commuted sum, is allocated to some of the following areas:

  • open spaces
  • soakaways
  • permeable paving
  • street furniture
  • parks and gardens
  • natural and semi-natural green spaces
  • outdoor sports facilities
  • amenity green spaces (including green corridors/verges)
  • amenity fencing
  • provision for children and young people
  • allotments
  • cemeteries
  • non-standard street lighting
  • village halls (only in rural areas).

Related Posts