Section 106 Obligations

Section 106 Obligations

Islington Council wants the benefits of physical development to be spread throughout the borough on both economic and social levels. To this end the Council now incorporates a local procurement code under section 106 of its planning agreements with developers for all but the smaller developments.


New Developments in Islington

The new Section 106 Employment, Training and Construction code contains the following wording regarding local procurement:

1.8 - “The developer/ contractor will work with IBET to achieve the procurement of construction contracts and goods and services from companies and organisations based in Islington and Camden of 10% of the total value of the construction contract”


Contracts with Sub Contractors

1 - LBI Regeneration require the developer/ main contractor to:

1.1 - Include a written statement in their contracts with sub contractors encouraging them to liase with construction works and IBET to discuss, agree and implement the specifics. (An introduction to services sheet will be supplied by LBI regeneration).

1.2 - Brief subcontractors on the requirements of the Employment, Training and Local Procurement code and ensure cooperation is agreed as a prerequisite to accepting sub contract tenders.”

2 - “LBI regeneration will provide a pre-screened directory of local companies in construction, fitting–out and furnishing trades in support of local procurement agreements.”

Targets for Procurement

In discussions with the contractors and subcontractors, we are quoting a local procuerment target for them to aspire to of 10% of the value of their contract. 


Page Last Updated: 31 October 2008