On 10 July this year (2025) the government set out its draft Building Safety Levy Regulations before Parliament.
These regulations mean there will be a new levy charged on all residential developments (unless they are exempt) from 1 October 2026.
Affordable housing, supported housing and any housing built by non-profit registered providers (or their wholly-owned subsidiaries) is exempt.
The levy will be charged on relevant building control applications and notices.
What this means for developers
Building control full plans applications, initial notices and higher-risk building applications for works providing at least 1 residential property or a bedspace in purpose-built student accommodation will have to include information for the purpose of the levy, otherwise the application might be rejected (or in the case of initial notices, must be rejected).
You can check the Building Safety Levy rates table to see the rates for this area. We'll let you know exactly how much you need to pay when you give notice of the development. You'll need to pay it before completion and occupation.
If you do not pay the levy, we will withhold the completion certificate or reject the final certificate.
If you want to dispute the levy charge, a refund amount or the decision not to give a refund, you'll be able to request a review from us within 28 days. If you're still not happy, you'll be able to appeal to the First Tier Tribunal.
We'll publish more information here when the levy comes in. You can also read the Building Safety Levy guidance.