The CIL / S106 Burden Ratio measures the proportion of statutory planning obligations, such as the Community Infrastructure Levy (CIL) and Section 106 (S106) agreements, relative to total project costs. In UK property development finance, this ratio helps developers assess the financial impact of planning-related contributions on profitability and cash flow. A high ratio may signal significant cost pressure, potentially affecting lender confidence and investment returns. By tracking this ratio, developers can evaluate feasibility, inform negotiations with planning authorities, and structure financing to account for these obligations while maintaining the commercial viability of the scheme.
This sits beneath Budget Accuracy & Variance, introducing a more specific variant of the measure without changing its core interpretation. It is commonly considered alongside CIL / S106 Cost Certainty Ratio, as both are closely related measures used to assess similar aspects of performance or risk.
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