Planning and Compulsory Purchase Act 2004

106 Basic loss payment E+W

(1) After section 33 of the Land Compensation Act 1973 (c. 26) (home loss payments for certain caravan dwellers) there is inserted the following section—

“Other loss payments E+W

33A Basic loss payment

(1) This section applies to a person—

(a) if he has a qualifying interest in land,

(b) if the interest is acquired compulsorily, and

(c) to the extent that he is not entitled to a home loss payment in respect of any part of the interest.

(2) A person to whom this section applies is entitled to payment of whichever is the lower of the following amounts—

(a) 7.5% of the value of his interest;

(b) £75,000.

(3) A payment under this section must be made by the acquiring authority.

(4) An interest in land is a qualifying interest if it is a freehold interest or an interest as tenant and (in either case) it subsists for a period of not less than one year ending with whichever is the earliest of—

(a) the date on which the acquiring authority takes possession of the land under section 11 of the Compulsory Purchase Act 1965 (entry to take possession of land);

(b) the date on which the acquiring authority enters the land if it proceeds under Schedule 3 to that Act;

(c) the vesting date (within the meaning of the Compulsory Purchase (Vesting Declarations) Act 1981) if a declaration is made under section 4 of that Act (general vesting declaration);

(d) the date on which compensation is agreed between the person and the acquiring authority;

(e) the date on which the amount of compensation is determined by the Lands Tribunal.

(5) The compulsory acquisition of an interest in land includes acquisition of the interest in consequence of the service of—

(a) a purchase notice under section 137 of the Town and Country Planning Act 1990 (right to require purchase of certain interests);

(b) a notice under section 150 of that Act (purchase of blighted land).

(6) The value of an interest is its value for the purpose of deciding the amount of compensation payable in respect of the acquisition; but this is subject to subsections (7) and (8).

(7) If an interest consists partly of a dwelling in respect of which the person is entitled to a home loss payment the value of the interest is the value of the whole interest less the value of so much of the interest as is represented by the dwelling.

(8) If rule (5) of section 5 of the Land Compensation Act 1961 (equivalent reinstatement) applies for the purpose of assessing the amount of compensation the value of the interest is nil.”

(2) Section 33A of the Land Compensation Act 1973 (c. 26) (as inserted by subsection (1) above) does not apply in relation to a pre-commencement acquisition of an interest in land.

(3) A pre-commencement acquisition of an interest in land is any of the following—

(a) acquisition by means of a compulsory purchase order if the order is made or made in draft before the commencement of this section;

(b) acquisition by means of an order made under section 1 or 3 of the Transport and Works Act 1992 (c. 42) (orders relating to certain transport works) if the application for the order was made to the Secretary of State before the commencement of this section;

(c) acquisition by means of an order under section 1 or 3 of that Act if the order is made in pursuance of section 7 of that Act (orders made without application) and the order is made in draft before the commencement of this section;

(d) acquisition by means of a power contained in an enactment (including a private or local Act) to acquire compulsorily specified land or a specified interest in land if the Bill providing for the power is introduced into Parliament before the commencement of this section.

Commencement Information

I1 S. 106 in force at 31.10.2004 by S.I. 2004/2593, art. 2(a)