2
Acknowledged
Pursue immediate reforms to Section 106/CIL and trial additional land value capture mechanisms.
Recommendation
Reforms to land value capture should be iterative, starting with improvements to existing mechanisms. Therefore, the Government must immediately pursue the reforms to Section 106 and CIL outlined in the chapters below. These reforms must optimise the system’s capacity to capture land value uplifts and deliver infrastructure and affordable housing—particularly homes for Social Rent—in line with the Government’s wider policy ambitions. The Government must also trial additional mechanisms of land value capture in areas where there are significant uplifts in land value which current mechanisms may not capture effectively. Specifically, the New Towns programme discussed in Chapter 5 presents a vital opportunity to test new ways of financing infrastructure delivery on large developments and learn lessons for future reforms. (Recommendation, Paragraph 27)
Government Response Summary
The Government is developing updated land value estimates for use in policy appraisal and aims to publish updated values for a range of land uses this year.
Government Response
Acknowledged
Government Response
Acknowledged
HM Government
Acknowledged
29. The Government is developing updated land value estimates for use in policy appraisal. The aim is to publish updated values for a range of land uses this year. Reforms to Section 106 Agreements
Source
Report
3rd Report - Delivering 1.5 million new homes: Land Value Capture
28 Oct 2025
HC 672
Addressee Bodies
Ministry of Housing, Communities and Local Government
Timeline
Recommendation age
0.6 yr
Report published
28 Oct 2025