Anger grows over London mayor鈥檚 鈥榖ully boy鈥 tactics as developer decides against 鈥樎1.45m contribution鈥

Land Securities has upped the ante in the deepening row between the Greater London Authority and developers over the planning levy demanded to pay for Crossrail.

A spokesperson for the developer said it was refusing to pay the charge 鈥 based on 拢213.30/m2 of office floor space 鈥 on its 38-storey Walkie-Talkie tower in the City until the levy became an official part of London planning rules.

This means the tower will not get planning approval before the law is enacted in spring 2010, unless the GLA backs down.

The spokesperson added that it was not negotiating with the GLA to pay a proportion of the charge. Land Securities has already said it has no plans to build the tower until the market improves.

As part of the stage one planning referral published last week, the GLA鈥檚 planning decisions unit said the Walkie-Talkie development was 鈥渞equired to make a [拢1.45m] contribution based on this uplift towards Crossrail鈥.

The Land Secs spokesperson said: 鈥淲e are aware that numbers are being bandied about but 鈥 there鈥檚 currently no legislation on the agreement, what it would be or how it would be applied.鈥

The GLA wants to raise 拢300m towards the 拢16bn Crossrail scheme through the tariff, but developers are accusing the body of jeopardising development in the city.

Bill Gloyn, president of the City Property Association said London mayor Boris Johnson was involved in 鈥渂ully boy鈥 tactics and was acting beyond his powers.

鈥淗e鈥檚 trying to put something through that he has no right to do before a public consultation. It鈥檚 not being done properly.鈥

The three-month public consultation on changing the London Plan to include the 拢213.30/m2 Crossrail levy will start in late March or early April.

The spokesperson agreed that Land Secs would be prepared to wait until the consultation was finished before getting planning approval on the scheme.