Land Compensation Act 1961

[F1 6B Lower compensation if other land gains value E+W

(1) This section applies where—

(a) a person is entitled to compensation for the compulsory acquisition of land (the “original land”) for the purposes of a scheme,

(b) on the date the notice to treat is served in respect of the original land, the person is entitled to an interest in other land (the “other land”) which is contiguous or adjacent to the original land,

(c) the person is entitled to the interest in the other land in the same capacity as the person is entitled to the interest in the original land, and

(d) the person's interest in the other land has increased in value as a result of the scheme.

(2) The amount of compensation to which the person is entitled in respect of the compulsory acquisition of the original land is to be reduced by the amount of the increase in the value of the person's interest in the other land as at the relevant valuation date (determined in accordance with section 5A).

(3) An amount by which the other land increases in value may not be set off against compensation payable to the person (for the original land or otherwise) in accordance with subsection (2) more than once.

(4) If the other land is subsequently subject to compulsory acquisition for the purposes of the scheme mentioned in subsection (1), the compensation to which the person is entitled for the other land includes the amount which was deducted from the person's compensation for the original land in accordance with subsection (2) (despite the no-scheme principle).

(5) If part only of the other land is subject to compulsory acquisition, the compensation to which the person is entitled by virtue of subsection (4) is to be reduced accordingly.

(6) Subsections (4) and (5) apply in relation to a person (a “successor”) who derives title from the person mentioned in that subsection as if the original land had been acquired from the successor.

(7) This section does not apply in relation to compensation which is to be assessed in accordance with section 261 of the Highways Act 1980 (benefit to vendor to be taken into account in assessing compensation on certain compulsory acquisitions for highway purposes).]

Textual Amendments

F1 Ss. 6A-6E substituted for ss. 6-9 (22.9.2017) by Neighbourhood Planning Act 2017 (c. 20), ss. 32(3), 46(1); S.I. 2017/936, reg. 3(b) (with reg. 4 and regs. 6, 7 which amend the new s. 6E(2)(b)(c))