Section 4: Revised Fee Structure
The preferred option to deliver the desired financial objectives has modelled separately the impact on income of the following elements:
- The increase in the minimum building warrant fee.
- The increase in the incremental step increases above the minimum fee.
- The increase in other fixed fees.
- The changes to certification discounts (combined impact of rate changes and take up increase).
There is an increase in the minimum fee from £100 to £150. There is an increase from £15 to £19 for the warrant fee "steps" from £5,001 to £20,000 (i.e. per £500 of additional value). For projects with a value of over £20,000 the "steps" are increased by £3. Some examples of current and proposed fees are set out in the table below:
|Examples of Building Warrant Fees|
|Value of work||Project Type||Current Fee||Proposed Fee||Current Fee (saving if fully discounted)||Proposed Fee (saving if fully discounted)|
|If certified under current schemes||£78||£60||£22||£90|
|If certified under current schemes||£312||£350||£88||£180|
|If certified under current schemes||£452||£449||£128||£270|
|If certified under current schemes||£764||£841||£216||£296|
|If certified under current schemes||£2,246||£2,290||£634||£804|
|If certified under current schemes||£3,611||£3,607||£1,019||£1,267|
|If certified under current schemes||£7,511||£7,351||£2,119||£2,583|
The proposed changes have been modelled nationally across the range of building warrants and their associated values of work. Also the effect of the increased certification discounts and anticipated increased up take in certification have been modelled.
Note: A full copy of existing and proposed fee table is provided in the Business Regulatory Impact Assessment ( BRIA).