A DEVELOPER who has not paid 106 money to the council six years after agreeing to, has said the outstanding cash will be settled by the end of January.

Persimmon Homes South Midlands was granted planning permission for 87 homes on land at Tanyard Lane in Ross-on-Wye on January 22, 2010, subject to a Section 106 agreement.

The agreement required the payment of contributions totalling £325,980 towards transport, sport and education infrastructure.

But so far, Herefordshire Council is yet to receive this money.

But Andy Peters, managing director at Persimmon Homes South Midlands, said: "We are pleased to confirm that by the end of January 2017 Herefordshire Council will have received all 106 payment contributions in relation to our Chase View development in Ross-on-Wye."

Section 106 agreements are legal agreements between local authorities and developers; these are linked to planning permissions and can also be known as planning obligations.

Section 106 agreements are drafted when it is considered that a development will have significant impacts on the local area that cannot be moderated by means of conditions attached to a planning decision.