Liverpool Council Pursues Developers Over £1.5m Unpaid Debts For Public Upgrades

Liverpool City Council is actively pursuing developers in court over approximately £1.5 million in unpaid Section 106 planning obligations, which are funds intended to improve public amenities such as parks and green spaces. The council has already recovered around £600,000 since May 2023 through legal action against seven developments, with court dates scheduled for additional cases totaling nearly £1 million. Eleven other projects, involving debts of about £465,000, are being assessed for further legal action. Section 106 agreements require developers to make payments at set triggers, including additional indexation if payments are late, and the council follows a rigorous collection process including escalating letters and legal steps. Despite efforts to recoup these funds, Liverpool City Council has faced criticism for historically not spending the over £17 million of developer contributions it holds, leading to concerns that local communities are not fully benefiting from these monies. Local officials acknowledge past shortcomings in handling Section 106 funds but emphasize renewed commitment to both collecting and allocating these resources to enhance community infrastructure.