What is the Building Safety Levy?
The Building Safety Levy is a new charge on certain residential developments in England. It is designed to help fund the remediation of building safety defects and protect leaseholders from costs.
When does it start?
The levy will apply to relevant building control applications made on or after 1 October 2026. Applications submitted before this date are not affected.
Who pays the levy?
Residential property developers will pay the levy on:
- New residential dwellings
- Purpose-built student accommodation
Some exemptions apply (e.g., affordable housing and non-profit providers).
How is the levy calculated?
The levy is charged per square metre of chargeable floorspace. Rates vary by local authority and are lower for developments on previously developed (brownfield) land.
Key changes for Building Control
- Levy information must be included in building control applications.
- Payment must be made before occupation or completion.
- Failure to pay will result in withholding of completion certificates.
Exemptions
Certain developments are exempt, including:
- Affordable housing
- Supported housing
- Housing by non-profit registered providers
Check full exemption details in the official guidance.