The Head of Planning & Regulatory Services has submitted a report to seek approval for a recommendation to award Discretionary Exceptional Circumstances Relief (DECR) for the Community Infrastructure Levy (CIL) charge on the BMW Mini Plant for a total sum of £832,421.

Cabinet is recommended to:

1.        Approve the recommendations to award Discretionary Exceptional Circumstances Relief (DECR) for the Community Infrastructure Levy (CIL) charge on the BMW Mini Plant for a total sum of £832,421; and

2.        Authorise the Head of Planning & Regulatory Services to make any necessary minor corrections not materially affecting the report and to send the recommended outcome in writing to the claimant, as required by regulation 57(7) of the CIL regulations (as amended).

The Head of Planning & Regulatory Services had submitted a report to seek approval for a recommendation to award Discretionary Exceptional Circumstances Relief (DECR) from the Community Infrastructure Levy (CIL) charge on the BMW Mini Plant for a total sum of £832,421.

Councillor Louise Upton, Cabinet Member for Planning and Healthier Communities, provided the background to the recommendation, explaining that BMW had taken the decision to site their production line for the new electric version of the Mini in Oxford. This would result in job opportunities both directly at the plant and within the supply chain and was a welcome development for the city.  Planning permission for a large bespoke factory building for production of the new line had recently been granted, and BMW was also to receive a c£80m subsidy from central government for the location of production in Oxford.

The development of the factory buildings for which planning permission had been granted would normally attract a Community Infrastructure Levy (CIL): a charge levied by local authorities on new development which can then be used to help deliver the infrastructure needed to support development. BMW was seeking an exemption from this levy under the Council’s Discretionary Exceptional Circumstances Relief Policy: due to the size of the sum involved, regard was also required to be given to the Subsidy Control Act 2022.  Accordingly, the Council had sought and received appropriate legal advice.

Both BMW and Council officers were of the opinion that the request met the criteria required for relief.  Given the balance with ensuring the economic viability of the proposal, and the importance of securing the continued presence of BMW in Oxford, Cabinet was recommended to approve the award of Discretionary Exceptional Circumstances Relief from CIL.

Councillor Upton highlighted that one of the scrutiny recommendations had related to seeking BMW’s engagement with the Council on other ways in which the company might be able to help the community, and work on this had commenced.

Cabinet resolved to:

1.        Approve the recommendations to award Discretionary Exceptional Circumstances Relief (DECR) for the Community Infrastructure Levy (CIL) charge on the BMW Mini Plant for a total sum of £832,421; and

2.        Authorise the Head of Planning & Regulatory Services to make any necessary minor corrections not materially affecting the report and to send the recommended outcome in writing to the claimant, as required by regulation 57(7) of the CIL regulations (as amended).