PART XVIICOMPULSORY PURCHASE AND LAND COMPENSATION

Introductory

578General enactments relating to compulsory purchase, &c., apply subject to this Part.

The [1981 c. 67.] Acquisition of Land Act 1981, the [1965 c. 56.] Compulsory Purchase Act 1965 and the [1961 c. 33.] Land Compensation Act 1961 apply to the compulsory purchase of land under this Act subject to the following provisions of this Part.

579Special provision as regards acquisition of land for clearance.

1

The Acquisition of Land Act 1981 does not apply (except so far as expressly applied) to the compulsory purchase of land under section 290 (acquisition of land for clearance); instead, the provisions of Schedule 22 apply with respect to the making, confirmation, validity and operation of a compulsory purchase order under that section.

2

However, in relation to a compulsory purchase order under that section—

a

the provisions of Part I of the Compulsory Purchase Act 1965 apply as they apply to a compulsory purchase order under the Acquisition of Land Act 1981 (references to “the special Act” being read as references to this Act and the order); and

b

the compensation payable shall be assessed in accordance with the Land Compensation Act 1961,

subject to the following provisions of this Part.

Compulsory purchase

580Incorporation of enactments relating to mineral rights.

A compulsory purchase order under section 290 (acquisition of land for clearance) shall incorporate Parts II and III of Schedule 2 to the [1981 c. 67] Acquisition of Land Act 1981 (mineral rights).

581Acquisition of commons, open spaces, &c.

1

In so far as a compulsory purchase order under section 290 (acquisition of land for clearance) authorises the purchase of land forming part of a common, open space or allotment, the order shall be subject to special parliamentary procedure except where it provides for giving in exchange for such land other land, not being less in area, certified by the Secretary of State to be equally advantageous to the persons, if any, entitled to commonable or other rights and to the public.

2

Before giving a certificate the Secretary of State shall give public notice of the proposed exchange, shall afford opportunities to all persons interested to make representations and objections in relation to it and shall, if necessary, hold a local inquiry on the subject.

3

An order which authorises such an exchange shall provide for—

a

vesting the land given in exchange in the persons in whom the common, open space or allotment was vested, subject to the same rights, trusts and incidents as attached to the common, open space or allotment, and

b

discharging the land acquired from all rights, trusts and incidents to which it was previously subject.

3

In this section—

  • “common” includes any land subject to be enclosed under the Inclosure Acts 1845 to 1882, and any town or village green;

  • “open space” means any land laid out as a public garden or used for the purposes of public recreation, or land which is a disused burial ground;

  • “allotment” means any allotment set out as a fuel or field garden allotment under an Inclosure Act.

582Restriction on recovery of possession after making of compulsory purchase order.

1

This section applies where a local housing authority have made a compulsory purchase order authorising—

a

the acquisition of a house in multiple occupation under—

  • section 17 (provision of housing),

  • section 192 (house subject to repair order found to be beyond repair) or

  • section 300 (purchase of condemned house for temporary housing use), or

b

the acquisition of land under section 243(2) (land in housing action area on which there are premises consisting of or including housing accommodation),

and within the period specified in subsection (2) proceedings for possession of premises forming part of the house or land in question are brought in the county court against a person who was the lessee of the premises when the order was made, or became the lessee after the order was made, but is no longer the lessee.

2

The period referred to in subsection (1) is the period beginning with the making of the compulsory purchase order and ending with—

a

the third anniversary of the date on which the order became operative, or

b

any earlier date on which the Secretary of State notifies the authority that he declines to confirm the order or the order is quashed by a court.

3

Where this section applies the court may suspend the execution of any order for possession for such period, and subject to such conditions, as it thinks fit.

4

The period of suspension ordered by the court shall not extend beyond the end of the period of three years beginning with the date on which the court makes its order or, if earlier, the date on which the compulsory purchae order became operative.

5

The court may from time to time vary the period of suspension (but not so as to enlarge it beyond the end of the period of three years referred to in subsection (4)), or terminate it, or vary the terms of the order in other respects.

6

If at any time—

a

the Secretary of State notifies the authority that he declines to confirm the compulsory purchase order, or the order is quashed by a court, or

b

the authority decide, whether before or after the order has been submitted to the Secretary of State for confirmation, not to proceed with it,

the authority shall notify the person entitled to the benefit of the order for possession and that person shall be entitled, on applying to the court, to obtain an order terminating the period of suspension, but subject to the exercise of the same discretion in fixing the date on which possession is to be given as the court might exercise if it were then making an order for possession for the first time.

7

This section does not apply—

a

where the person entitled to possession of the premises is the local housing authority;

b

where the net annual value for rating of the premises exceeds the county court limit for the purposes of section 21(1) of the [1984 c. 24.] County Courts Act 1984 (actions for the recovery of land).

8

In this section “house in multiple occupation” has the same meaning as in Part XI.

583Continuance of tenancies of housees compulsorily acquired and to be used for housing purposes.

1

Where a local housing authority—

a

are authorised to purchase compulsorily a house which is to be used for housing purposes, and

b

have acquired the right to enter on and take possession of the house by virtue of having served a notice under section 11 of the [1965 c. 56.] Compulsory Purchase Act 1965,

they may, instead of exercising that right by taking actual possession of the house, proceed by serving notice on any person then in occupation of the house, or part of it, authorising him to continue in occupation upon terms specified in the notice or on such other terms as may be agreed.

2

Where the authority proceed in accordance with subsection(1)—

a

the like consequences follow with respect to the determination of the rights and liabilities of any person arising out of any interest of his in the house, or a part of it, and

b

the authority may deal with the premises in all respects,

as if they had taken actual possession on the date of the notice.

3

A person who by virtue of this section ceases to be entitled to receive rent in respect of the premises shall be deemed for the purposes of section 20 of the [1965 c. 56.] Compulsory Purchase Act 1965 (compensation of tenants, &c.) to have been required to give up possession of the premises.

4

In this section “house” includes—

a

any part of a building which is occupied as a separate dwelling, and

b

any yard, garden, outhouses and appurtenances belonging to the house or usually enjoyed with it.

584Power to enter and determine short tenancies of land acquired or appropriated.

1

This section applies where a local housing authority have agreed to purchase or have determined to appropriate land for the purposes of—

  • Part II (provision of housing),

  • Part VIII (area improvement), or

  • the provisions of Part IX relating to clearance areas,

subject to the interest of the person in possession of the land.

2

If that person’s interest is not greater than that of a tenant for a year, or from year to year, the authority may, after giving him not less than 14 days' notice, enter on and take possession of the land, or such part of the land as is specified in the notice, without previous consent.

3

The power conferred by subsection (2) may be exercised at any time after the making of the agreement or determination, except where the appropriation requires Ministerial consent in which case the power is not exercisable until that consent has been given.

4

The exercise of the local housing authority’s power under subsection (2) is subject to the payment to the person in possession of the like compensation, and interest on the compensation awarded, as would be payable if—

a

the authority had been authorised to acquire the land compulsorily, and

b

that person had been required in pursuance of their powers in that behalf to quit possession before the expiry of his term or interest in the land;

but without any necessity for compliance with section 11 of the Compulsory Purchase Act 1965 (which prohibits entry on the land acquired before the compensation has been ascertained and paid or secured).

Other land compensation matters

593Compensation where compulsory purchase order deemed to be made under different provision.

Where a compulsory purchase order under section 290 (acquisition of land for clearance) is to be treated as made under Part II of this Act (provision of housing) or Part VI of the [1971 c. 78.] Town and Country Planning Act 1971 (planning purposes) by virtue of—

  • section 305(6)(b) (building becoming listed when subject to compulsory purchase for clearance), or

  • paragraph 5(3) of Schedule 11 (building in clearance area in respect of which rehabilitation order is made),

compensation for the compulsory acquisition of the land comprised in the compulsory purchase order shall be assessed in accordance with the provisions applying to a compulsory acquisition under Part II of this Act or Part VI of the 1971 Act, as the case may be.

594Compensation where land deemed to be appropriated for purposes of Part II.

1

This section applies where an interest in land in a clearance area is, by virtue of—

  • section 305(6)(a) (building becoming listed when subject to compulsory purchase for clearance),

  • section 306(2) (building becoming listed when acquired by agreement for clearance), or

  • paragraph 6 of Schedule 11 (building in respect of which rehabilitation order is made),

to be treated as appropriated for the purposes of Part II (provision of housing).

2

Compensation for the compulsory acquisition of the interest shall, where it increases the amount, be assessed to re-assessed in accordance with the provisions applying to a compulsory acquisition under Part II.

3

Where the interest is acquired by agreement (after the declaration of the clearance area), compensation shall, where subsection (2) would have increased the amount, be assessed and paid as if the acquisition were a compulsory acquisition under section 290 (acquisition of land for clearance) to which subsection (2) above applied; but there shall be deducted from the amount of compensation so payable any amount previously paid in respect of the acquisition of that interest by the authority.

4

Where subsection (2) or (3) applies, the local housing authority shall not later than six months after (as the case may be)—

a

the relevant date as defined in section 305(3), or

b

the date on which the rehabilitation order becomes operative in accordance with paragraph 14 of Schedule 11,

serve on the person entitled to the compensation a notice in the prescribed form giving particulars of the amount of compensation payable in accordance with the provisions applying to a compulsory acquisition under Part II.

5

If the person served does not, within 21 days from service of the notice, accept the particulars, or if he disputes the amount stated, the question of disputed compensation shall be referred to the Lands Tribunal.

6

References in this section to an increase in compensation shall be read as if payments under—

  • Schedule 23 (payments for well maintained houses),

  • Schedule 24 (payments in respect of houses which are owner-occupied or used for business purposes), and

  • section 37 of the [1973 c. 26.] Land Compensation Act 1973 (disturbance payments for persons without compensatable interests),

and any extra-statutory payments by way of additional compensation were, to the extent that they were made to the person holding the interest in question, compensation in respect of the compulsory purchase.

595Application of other enactments where s. 594 applies.

1

Section 30 of the [1965 c. 56] Compulsory Purchase Act 1965 (service of notices) applies to the notice to be served under section 594(4) (notice of particulars of compensation).

2

Section 594(2) shall be left out of account in considering whether under section 22 of the Compulsory Purchase Act 1965 (procedure for acquiring interest mistakenly omitted from purchase) compensation has been properly paid for the land, and accordingly does not prevent an acquiring authority from remaining in undisputed possession of the land.

3

Where section 594(2) makes an increase in compensation to be assessed in accordance with Schedule 2 to the Compulsory Purchase Act 1965 (absent and untraced owners)—

a

a deed poll executed under paragraph 2(2) of that Schedule before the latest date for service of a notice under section 594(4) is not invalid because the increase in compensation has not been paid, and

b

the local housing authority, shall not later than six months after that date, proceed under that Schedule to pay the proper additional amount into court.

4

A sum payable by virtue of section 594 carries interest at the rate prescribed under section 32 of the [1961 c. 33.] Land Compensation Act 1961 from the time of entry on the land by the local housing authority, or from vesting of the land or interest, whichever is the earlier, until payment.

596Power to compensate shop-keepers in areas affected by clearance.

Where, as a result of action taken by a local housing authority under the provisions of Part IX relating to clearance areas, the population of the locality is materially decreased, the authority may pay to any person carrying on a retail shop in the locality such reasonable allowance as they think fit towards any loss involving personal hardship which in their opinion he will thereby sustain, but in estimating any such loss they shall have regard to the probable future development of the locality.

597Compensation payable on demolition of obstructive building.

1

Where a building is demolished under section 287 (execution of obstructive building order), whether by the owner or by the local housing authority, compensation shall be paid by the authority to the owner in respect of loss arising from the demolition.

2

The compensation shall be assessed in accordance with Part I of the [1961 c. 33.] Land Compensation Act 1961 (determination of questions of disputed compensation).

3

In assessing the compensation no allowance shall be made on account of the demolition being compulsory.

598Disregard of things done to obtain increased compensation.

Section 4 of the [1981 c. 67.] Acquisition of Land Act 1981 (disregard of things done to obtain increased compensation) applies in relation to compulsory purchase under section 290 (acquisition of land for clearance).

599Application of compensation due to another local authority.

Compensation payable in respect of land of another local authority in pursuance of a compulsory purchase under—

  • section 17 (provision of housing),

  • section 192 (house subject to repair notice found to be beyond repair),

  • section 290 (acquisition of land for clearance), or

  • section 300 (purchase of condemned house for temporary housing use)

which would otherwise be paid into court in accordance with Schedule 1 to the [1965 c. 56.] Compulsory Purchase Act 1965 (purchase from persons not having power to dispose) may, if the Secretary of State consents, instead be paid and applied as he may determine.

Supplementary provisions

600Powers of entry.

1

A person authorised by the local housing authority or the Secretary of State may at any reasonable time, on giving 24 hours' notice of his intention to the occupier, and to the owner if the owner is known, enter premises for the purpose of survey and examination where it appears to the authority or the Secretary of State that survey or examination is necessary in order to determine whether any powers under this Part should be exercised in respect of the premises.

2

An authorisation for the purposes of this section shall be in writing stating the particular purpose or purposes for which the entry is authorised.

601Penalty for obstruction.

1

It is a summary offence to obstruct an officer of the local housing authority or of the Secretary of State, or any person authorised to enter premises in pursuance of this Part, in the performance of anything which he is by this Part required or authorised to do.

2

A person committing such an offence is liable on conviction to a fine not exceeding level 2 on the standard scale.

602Minor definitions.

In this Part—

  • “house” includes any yard, garden, outhouses and appurtenances belonging to the house or usually enjoyed with it;

  • “owner” in relation to premises—

    1. a

      means a person (other than a mortgagee not in possession) who is for the time being entitled to dispose of the fee simple in the premises, whether in possession or in reversion, and

    2. b

      includes also a person holding or entitled to the rents and profits of the premises under a lease of which the unexpired term exceeds three years.

603Index of defined expressions: Part XVII.

The following Table shows provisions defining or otherwise explaining expressions used in this Part (other than provisions defining or otherwise explaining an expression used in the same section or paragraph):

building regulations

section 622

business (in Part II of Schedule 24)

paragraph 5 of that Part

clearance area

section 289

closing order

section 267(2)

demolition order

(generally)

section 267(1)

(in Schedules 23 and 24

section 588(2)

district valuer

section 622

house

(generally)

section 602

(in Part I of Schedule 24)

paragraph 5(1) of that Part

(in Part II of Schedule 24)

paragraph 5 of that Part

interest in a house

(in Part I of Schedule 24)

paragraph 5(1) of that Part

(in Part II of Schedule 24)

paragraph 5 of that Part

lease and lessee

section 621

local housing authority

section 1, 2(2)

member of family (in Part I of Schedule 24)

paragraph 6 of that Part

owner

section 602

prescribed

section 614

site value

section 585

relevant date (in Part I or II of Schedule 24)

paragraph 1(2) of that Part

statutory tenant

section 622

unfit for human habitation

section 604