The Building Cost Information Service (BCIS) has released the updated RICS Community Infrastructure Levy (CIL) Index for 2026, showing a 2.3% increase on the previous year.

The index, which helps local authorities update rates in their CIL charging schedules, will apply to charges calculated from 1 January 2026.

Karl Horton, data services director at BCIS, said: “The CIL charge, which can be levied by local authorities on new developments in their area, is an important tool to help deliver the infrastructure needed to support these schemes.”

In most cases, the amount of levy payable is calculated by multiplying the gross internal area by the rate for a particular development type. These rates are set out in the relevant charging schedule published by each authority.

Collecting authorities must also apply an index of inflation to keep the levy rate responsive to market conditions. The RICS CIL Index is therefore based on an average taken from the BCIS All-in Tender Price Index.

Horton said: “As the government works towards its target of 1.5 million new homes in England over the course of the current parliament, mechanisms like the Community Infrastructure Levy play a vital role in ensuring that the infrastructure required for this growth can be delivered alongside new housing.

“The CIL helps ensure that as housing delivery increases, local authorities have the means to provide the essential infrastructure that supports those developments, from roads and schools to utilities and public spaces.”

Meeting this target will require the construction of around 300,000 homes per year, a level not achieved in England since 1969.

With only 153,900 homes completed in 2024, delivery will need to accelerate sharply in the coming years if the target is to be met.

The government has also signalled its ambition to boost long-term housing supply through the creation of 12 new towns, each expected to deliver at least 10,000 homes.

Horton added: “Initiatives like the new towns programme highlight the scale of development the government is targeting. A responsive, evidence-based approach to infrastructure funding will be essential to make those ambitions deliverable.”