How can we reclaim our Section 106 payment?

We completed our project five years ago, before the Section 106 (S106) exemption for self builders came into place. At the time we were required to make a hefty payment as a planning obligation before starting works.

The fee was meant to contribute towards finding solutions to the increased need for children’s facilities and play areas across specified parishes within a five mile radius of our new home.

However, the agreement stipulated that if the local authorities failed to spend the money within five years, we would be entitled to reclaim the amount paid.

Needless to say, these parishes have not provided any new facilities or playgrounds for the local children. We’d like to know how to get our money back and whether this will be a difficult process for us.

The first thing to do is to send a Freedom of Information request to your local authority to find out about the schemes where the S106 payments were spent during the last five years, along with the date of expenditure and amount allocated. This should give you a rough idea of whether you are due a refund.

You can then write to the chief planning officer with this data and quote the original terms of the S106. If the money has not been spent in accordance with the terms of the agreement, then you should be due a refund. If they procrastinate, a letter from your solicitor will help to concentrate their minds.