More time is needed before councillors can agree proposals for local assemblies to choose projects for up to £500,000 of funding from money accumulated from a development levy.

The community infrastructure levy (CIL) is a cost local authorities can charge new developments, which must be spent on local infrastructure such as schools, hospitals, roads, open space and leisure facilities.

Lewisham Council has accumulated £9.3m since the levy was introduced in 2015, with a proposal suggesting a quarter of this go towards neighbourhood projects where local assemblies are involved in choosing projects of up to £500,000.

But councillors are concerned about the level of involvement local assemblies would have in decision-making, although the final decision would be made by councillors and council officers.

Speaking at an overview and scrutiny committee, Cllr Jim Mallory said: “We need to get a process that doesn’t hand over a big decision…to a meeting where 40 to 100 people turn up on the night.

“It is important there is more preparation and interaction between officers and assembly members…[to] make sure those who don’t traditionally attend assemblies get an input,” he explained.

Cllr Luke Sorba said it was “not an even playing field” when gauging public opinion, with councillors charged with representing constituents who may not be able to attend assemblies.

Cllr Mallory said there was scope for considering how local assembly decisions were made, and that councillors needed more time to consider the proposals.

“I think there are too many big issues still involved in this for us to answer anything by saying that we agree the formula,” he said.

Cllr Bill Brown said the decision would be delayed while councillors were still understanding how the scheme would work.

The comments will be referred to the mayor and cabinet.