UP Hikes Development Charges for Housing Plots by 50-90% Across Key Cities
People planning to build homes in Uttar Pradesh will now face significantly higher costs. The state's housing development authorities have increased development charges for construction activities. Applicants must pay these revised fees before starting any civil work on their plots.
Revised Rates Impact Over 30 Cities
Dedicated authorities govern construction in more than 30 cities across Uttar Pradesh. Major urban centers like Lucknow, Kanpur, Varanasi, Ghaziabad, Meerut, Agra, Gorakhpur, and Jhansi fall under this new fee structure. The housing department approved the revised rates earlier this month. Officials cited increased construction costs and inflation as key reasons for the hike.
The minimum increase stands at 50% over existing rates. In some locations, development charges jumped by almost 90%. This means many applicants will pay double the amount they previously owed.
Steep Increases in Key Districts
Ghaziabad, a prime district in the National Capital Region, shows one of the sharpest rises. Development charges there increased from Rs 2,500 per square meter to Rs 4,170 per square meter. This represents a 67% hike in fees.
In Lucknow, Kanpur, and Agra, the fee changed from Rs 1,400 per square meter to Rs 2,475 per square meter. That is a 77% increase. Similarly, individuals undertaking construction projects in Varanasi, Prayagraj, Meerut, Moradabad, and Bareilly must now pay Rs 1,510 per square meter.
Officials Justify the Hike
A senior officer from the housing and urban planning department explained the decision. "Development charges have not been revised for the past decade or so," the official said. "During the same period, costs, taxes, and duties on various services and materials went up substantially. Hence, we were forced to revise the prevailing fee structure."
The government took a decision to revise the UP Urban Planning and Development Rules on January 2. New rates were notified soon after this decision.
Financial Implications and Future Use
Principal Secretary of the Housing Department, P Guruprasad, highlighted the benefits of the revised fee structure. He stated that it will help development authorities generate increased annual income. "The money will be used to augment the urban infrastructure in the state," Guruprasad said.
The annual income of housing development authorities amounted to about Rs 12,740 crore during the last financial year. The new charges are expected to boost this revenue significantly.
This move aims to align fees with current economic realities while funding better urban amenities for residents across Uttar Pradesh.
