Planning obligations (Section 106 agreements)

Find out about planning obligations and Section 106 agreements.

Planning obligations or Section 106 agreement (Town and Country Planning Act 1990) are legally binding agreements on the land to which the planning permission relates. If the land is sold, the new owner becomes responsible for the Section 106 Agreement. They are made between a local planning authority (LPA) and a landowner when granting planning permission and are used to seek both physical on-site obligations and off-site financial contributions, to help make sure that new developments enhance local communities and reduce the impact of developments. Infrastructure includes roads, parks, public transport local employment initiatives, and affordable housing.

Payment of s106 can be at different stages of a development's construction phase or different levels of occupation. Agreements often show that the amounts due are subject to indexation. These clauses may increase section 106 financial contributions to reflect the rate of inflation from the date of the Agreement being signed to the date of payment of the contribution. Therefore the amount of monies due could be much higher than that shows on the agreement as signed.   

Where any financial contribution in this agreement is to be "indexed" then the amount of the contribution after application of the index shall be calculated according to the formula: 

Amount after indexation = A x B/C 

Where:

  • A = the amount of the financial contribution as set out in this agreement;
  • B = the index at the date of the invoice raised when the trigger point is reached; and
  • C = the index [at the date of the decision notice]

Both the Retail Price Index (RPI) and the provisional Building Costs Information Service (BCIS) figures are used.

Details of what should be provided on site and financial obligations are detailed in the legal agreement.

The applicant will be required to sign an undertaking to cover our legal fees in drafting and entering into the legal agreement before we can start any work on the legal agreement.

  • S106 agreements: Minor (1-2 obligations): £1647
  • S106 agreements: Major (3+ obligations): £2983
  • S106 deed of variations: £1647
  • S106 unilateral undertakings: £1647
  • S106 agreements: Complex matters and affordable housing: Up to £2983 recorded and then hourly rate

Monitoring fee

The monitoring fee per obligation for green space and affordable housing commuted sums is £1,200, all other obligations (with the exception of Travel Plans) will attract a monitoring fee of £900.

Applicants will be invoiced for the monitoring fee upon commencement of the development. The monitoring fees cover the costs incurred or to be incurred by us in monitoring, reporting, maintaining data and systems and related staffing costs.

With effect from 1 April 2025

Confirming compliance with a S106 planning obligation

Your planning permission may have been granted with an accompanying Section 106 legal agreement obligating the signatory parties to undertake certain actions in connection with that planning permission. If there is an accompanying Section 106 agreement then this will appear on the planning register alongside all the other documents attached to the application.

Planning obligations may require certain actions to be undertaken prior to development commencing or at other stages of the development process and may require details to be submitted for approval by the council.

It is the responsibility of the applicant, or any subsequent developer, to ensure that the terms of all Section 106 obligations are met in full at the required stage of development.

As required in the legal agreement, adequate information and evidence to confirm compliance of Section 106 obligations should be submitted to and approved in writing by the local planning authority. Use the form below.

If you cannot use the form

Alternatively, email the following details to planning@leeds.gov.uk:

  • applicant name and agent details if applicable
  • agent name and address if applicable
  • full postal address of the site to which the obligation relates
  • description of the planning obligation, S106 number, planning application reference number to which the obligation relates
  • names of parties to the obligation
  • details of which obligation details are being submitted for
  • any additional information that is relevant to the consideration, attach details and documents as appropriate
  • nature of the applicant’s interest in the land
  • signed declaration (copy the wording below)

Declaration

I/we hereby apply for the modification of discharge of a planning obligation under section 106 of the town and country planning act 1990 in accordance with the details above on the supply submitted plans and documents.

Sign and date

Failure to discharge Section 106 obligations could result in the development being unlawful or enforcement action being taken.

Annual funding statement

Local Planning Authorities (LPAs) are now required to produce an annual Infrastructure Funding Statement (IFS) detailing planning obligation receipts and anticipated expenditure. This is to provide clarity and transparency to local communities and developers on the infrastructure delivered and expenditure in relation to planned development.

Modifying your application

Occasionally it may be necessary to re-negotiate the terms of a Section 106 agreement. If you need to amend the terms of the Section 106 agreement attached to your planning permission you will need to apply to the Council to do so, using the same application form for discharging any obligation.

Section 106A of the Town and Country Planning Act and the accompanying Planning Practice Guidance (“Planning Obligations” chapter) sets out the terms by which a Section 106 agreement may be modified. Section 106A (3) provides that an application to modify a Section 106 agreement may not be made until a period of 5 years following the date of the Section 106 agreement has passed. The council may in certain cases be willing to entertain the modification of a Section 106 agreement within the first 5 years where there is good reason to do so.

Costs

A fee is payable for each application made to modify or discharge Section 106 obligations.

  • the fee to modify or discharge a section 106 obligation is £2,000.00 (£1,666.67 plus VAT)

These fees reflect the corresponding fees to discharge or vary a planning condition and will increase in tandem with any national changes to these fees.

Apply to modify or discharge a S106 obligation

To apply to modify or discharge a S106 obligation direct, request an application form from planning@leeds.gov.uk.

The planning portal website does not currently provide the means to apply to modify or discharge a S106 obligation.

After you apply

We aim to respond to your application within eight weeks. You will be sent a decision notice.

The decision will identify the S106 obligations that have been discharged. If we have been unable to discharge a S106 obligation, we will provide you with the reasons why.

In cases where you are seeking to modify a S106 obligation, the formal decision notice will only be issued once the accompanying deed of variation has been completed.

An applicant may appeal a decision not to modify a Section 106 obligation under section 106B of the Town and Country Planning Act 1990 within six months of our decision.