Developers have been warned they can not escape paying outstanding Community Infrastructure Levy (CIL) after Babergh secured an out-of-court settlement of £163,590an Essex building firm.

CIL is required to be paid by developers when building new homes in Babergh – ensuring local facilities keep pace with housing growth and supporting the council's ongoing ambition for its communities to be attractive, successful and connected places for people to live and work in.

However, having received planning permission back in March 2018 under the name of Marden Homes Ltd, the firm built and sold a development of 16 two and three-bedroom homes in Bears Lane, Lavenham without paying the agreed CIL to Babergh.

The case was due to be heard in court today (Friday), but the firm has since settled the claim in full, citing the current economic climate as the reason for the delayed payment.

Independent councillor Clive Arthey, Babergh's cabinet member for Planning said: "We understand how difficult the current economic climate is for many firms and will always try to work with organisations to come up with mutually acceptable arrangements and payment plans before taking legal action.

"However, there comes a point when enough is enough, and developers must pay their contribution to the local community.

"The CIL we distribute plays a major role in helping our towns and villages provide the necessary infrastructure in order to keep pace with housing growth – and Babergh District Council will not give up pursuing contributions owed by developers to our communities."

The district's CIL framework also provides for a proportion of CIL awards to go the local parish council – 25% in the case of villages with adopted Neighbourhood Plans such as Lavenham – with non-payment leaving Lavenham Parish Council out of pocket and jeopardising much-needed community improvements.