Politics
Eltham Referendum on Community Infrastructure Levy: How Proposed Rates Compare to Other Local Authorities
Eltham residents would pay an additional £85 on average for each new residential development under the levy if the July ballot measure passes, matching the structure already operating in three nearby councils.
How we reported this
The ballot measure before Eltham voters on 15 July asks whether to introduce a community infrastructure levy on new housing and commercial builds, with the proceeds directed to local road repairs and park maintenance. The proposal affects property developers and future home buyers in the borough, while current residents would see no immediate change to their council tax bills.
Why the measure reaches voters now
Eltham Council faces a £4.2 million shortfall in its 2026 capital works budget for transport upgrades, according to the authority's March financial statement. Similar levies have operated in other local authorities since 2023, generating dedicated funds without drawing from existing rate revenue. The referendum gives residents a direct say on whether Eltham adopts the same funding tool.
Under the draft rules, the levy would apply at £85 per square metre for residential projects above six units and £65 per square metre for retail developments. This rate sits between the £70 charged in the adjacent Riverside authority and the £95 set by the Hilltop council, both of which approved their versions through public votes in 2024.
Direct effects on daily services and costs
If approved, the levy would fund resurfacing of 12 kilometres of local roads and the installation of new drainage on the High Street, projects listed in the council's infrastructure plan. Families in the West Eltham ward could see improved bus stop shelters within two years, while businesses near the station would gain from extended parking enforcement funded by the new stream. Developers have stated that the added cost would likely pass to purchasers through higher sale prices on new homes.
The Productivity Commission review of comparable levies found that authorities using this model completed 18 percent more footpath upgrades in their first two years than those relying solely on general rates. Eltham's projected £1.8 million annual yield would cover roughly 40 percent of the current maintenance backlog identified in the 2025 asset report.
Voters will receive an information booklet with the final wording by 1 July. The result takes effect immediately if passed, with collection starting on applications lodged after 1 October. Council staff will publish quarterly reports on levy receipts and project spending on the authority website.