Town and Country Planning Act 1990

Compensation E+W

279 Right to compensation in respect of certain decisions and orders. E+W

(1) Statutory undertakers shall, subject to the following provisions of this Part, be entitled to compensation from the local planning authority—

(a) in respect of any decision made in accordance with section 266 by which planning permission to develop operational land of those undertakers is refused or is granted subject to conditions where—

(i) planning permission for that development would have been granted by a development order [F1 or a local development order] but for a direction given under such an order that planning permission so granted should not apply to the development; and

(ii) it is not development which has received specific parliamentary approval (within the meaning of section 264(6));

(b) in respect of any order under section 97, as modified by section 269, by which planning permission which was granted on the application of those undertakers for the development of any such land is revoked or modified.

(2) Where by virtue of section 271—

(a) any right vested in or belonging to statutory undertakers is extinguished; or

(b) any requirement is imposed on statutory undertakers,

those undertakers shall be entitled to compensation from the acquiring or appropriating authority at whose instance the right was extinguished or the requirement imposed.

(3) Where by virtue of section 272—

(a) any right vested in or belonging to an operator of [F2 an electronic communications code network] is extinguished; or

(b) any requirement is imposed on such an operator,

the operator shall be entitled to compensation from the acquiring or appropriating authority at whose instance the right was extinguished or the requirement imposed.

(4) Where—

(a) works are carried out for the removal or re-siting of statutory undertakers’ apparatus; and

(b) the undertakers have the right to carry out those works by virtue of section 273 or an order of Ministers under that section,

the undertakers shall be entitled to compensation from the acquiring or appropriating authority.

(5) Subsection (1) shall not apply in respect of a decision or order if—

(a) it relates to land acquired by the statutory undertakers after 7th January 1947; and

(b) the Secretary of State and the appropriate Minister include in the decision or order a direction that subsection (1) shall not apply to it.

(6) The Secretary of State and the appropriate Minister may only give a direction under subsection (5) if they are satisfied, having regard to the nature, situation and existing development of the land and of any neighbouring land, and to any other material considerations, that it is unreasonable that compensation should be recovered in respect of the decision or order in question.

(7) For the purposes of this section the conditions referred to in sections 91 and 92 shall be disregarded.

Textual Amendments

F1 Words in s. 279(1)(a)(i) inserted (6.8.2004 for specified purposes, 10.5.2006 for E. so far as not already in force, 30.4.2012 for W. so far as not already in force) by Planning and Compulsory Purchase Act 2004 (c. 5), s. 40(2)(l) (with s. 111); S.I. 2004/2097, art. 2; S.I. 2006/1061, art. 2(a); S.I. 2012/1100, art. 2

F2 Words in s. 279(3) substituted (25.7.2003 and 29.12.2003 in accordance with the commencing S.I.s) by Communications Act 2003 (c. 21), ss. 406, 411, Sch. 17 para. 103(1)(h)(2)(b) (with transitional provisions in Sch. 18); S.I. 2003/1900, arts. 1(2), 2(1), Sch. 1 (with transitional provisions in arts. 3-6); S.I. 2003/3142, arts. 1(2), 3(2) (with art. 11)

Modifications etc. (not altering text)

C1 S. 279(2)-(4) modified (18.12.1996) by 1996 c. 61, s. 8(5)(b)

Ss. 275-278, 279(2)-(4), 280, 282 modified (3.6.1999) by S.I. 1999/1555, art. 11, Sch. 2 para. 1

Ss. 275-278, 279(2)-(4), 280, 282 modified (21.7.1999) by S.I. 1999/2129, art. 20, Sch. 3 para. 1

Ss. 275-278, 279(2)-(4), 280, 282 modified (20.8.1999) by S.I. 1999/2336, art. 25, Sch. 6 para. 1

Ss. 275-278, 279(2)-(4), 280, 282 modified (23.8.1999) by S.I. 1999/2981, art. 29, Sch. 11 para. 1

C2 Ss. 279(2)-(4), 280, 282 applied (with modifications) (18.7.2001) by S.I. 2001/2870, art. 25, Sch. 4

Ss. 279(2)-(4), 280, 282 applied (24.7.2001) by S.I. 2001/3627, arts. 63, 64, Sch. 11 paras. 1, 2, Sch. 12 para. 5(3)

C3 S. 279(2)-(4) applied (with modifications) (14.3.2002) by S.I. 2002/412, art. 35, Sch. 5 para. 1 (with art. 38)

C4 S. 279(2)-(4) modified (22.7.2008) by Crossrail Act 2008 (c. 18), s. 9(4)(5)(b)

C5 S. 279(2)-(4) applied (with modifications) by 1980 c. 66, Sch. 5 Pt. 2 para. 1 (as amended (5.3.2015) by Infrastructure Act 2015 (c. 7), s. 57(1), Sch. 1 para. 65(3)(a); S.I. 2015/481, reg. 2(a))

C6 S. 279(2)-(4) modified (16.12.2015) by The Network Rail (Tinsley Chord) Order 2015 (S.I. 2015/1876), art. 1, Sch. 7 paras. 2-5

C7 S. 279(2)-(4) modified (23.2.2017) by High Speed Rail (London - West Midlands) Act 2017 (c. 7), ss. 13(4)(b), 70(1)

C8 S. 279(2)-(4) modified (22.7.2008) by Crossrail Act 2008 (c. 18), s. 9(4)(5)(b)

C9 S. 279(2)-(4) modified (22.7.2008) by Crossrail Act 2008 (c. 18), s. 9(4)(5)(b)

280 Measure of compensation to statutory undertakers, etc. E+W

(1) Where statutory undertakers are entitled to compensation—

(a) as mentioned in subsection (1), (2) or (4) of section 279;

(b) under the provisions of section 115 in respect of an order made under section 102 or paragraph 1, 3, 5 or 6 of Schedule 9, as modified by section 270; or

(c) in respect of a compulsory acquisition of land which has been acquired by those undertakers for the purposes of their undertaking, where the first-mentioned acquisition is effected under a compulsory purchase order confirmed or made without the appropriate Minister’s certificate,

or the operator of [F3 an electronic communications code network] is entitled to compensation as mentioned in section 279(3), the amount of the compensation shall (subject to section 281) be an amount calculated in accordance with this section.

(2) Subject to subsections (4) to (6), that amount shall be the aggregate of—

(a) the amount of any expenditure reasonably incurred in acquiring land, providing apparatus, erecting buildings or doing work for the purpose of any adjustment of the carrying on of the undertaking or, as the case may be, [F4 the provision of the electronic communications code network] rendered necessary by the proceeding giving rise to compensation (a “business adjustment”);

(b) the appropriate amount for loss of profits; and

(c) where the compensation is under section 279(2) or (3), and is in respect of the imposition of a requirement to remove apparatus, the amount of any expenditure reasonably incurred by the statutory undertakers or, as the case may be, the operator in complying with the requirement, reduced by the value after removal of the apparatus removed.

(3) In subsection (2) “the appropriate amount for loss of profits” means—

(a) where a business adjustment is made, the aggregate of—

(i) the estimated amount of any decrease in net receipts from the carrying on of the undertaking or, as the case may be, [F4 the provision of the electronic communications code network] pending the adjustment, in so far as the decrease is directly attributable to the proceeding giving rise to compensation; and

(ii) such amount as appears reasonable compensation for any estimated decrease in net receipts from the carrying on of the undertaking or, as the case may be, [F4 the provision of the electronic communications code network] in the period after the adjustment has been completed, in so far as the decrease is directly attributable to the adjustment;

(b) where no business adjustment is made, such amount as appears reasonable compensation for any estimated decrease in net receipts from the carrying on of the undertaking or, as the case may be, [F4 the provision of the electronic communications code network] which is directly attributable to the proceeding giving rise to compensation.

(4) Where a business adjustment is made, the aggregate amount mentioned in subsection (2) shall be reduced by such amount (if any) as appears to the [F5 Upper Tribunal] to be appropriate to offset—

(a) the estimated value of any property (whether moveable or immoveable) belonging to the statutory undertakers or the operator and used for the carrying on of their undertaking or, as the case may be, [F4 the provision of the electronic communications code network] which in consequence of the adjustment ceases to be so used, in so far as the value of the property has not been taken into account under paragraph (c) of that subsection; and

(b) the estimated amount of any increase in net receipts from the carrying on of the undertaking or [F4 the provision of the electronic communications code network] in the period after the adjustment has been completed, in so far as that amount has not been taken into account in determining the amount mentioned in paragraph (b) of that subsection and is directly attributable to the adjustment.

(5) Where a business adjustment is made the aggregate amount mentioned in subsection (2) shall be further reduced by any amount which appears to the [F5 Upper Tribunal] to be appropriate, having regard to any increase in the capital value of immoveable property belonging to the statutory undertakers or the operator which is directly attributable to the adjustment, allowance being made for any reduction made under subsection (4)(b).

(6) Where—

(a) the compensation is under section 279(4); and

(b) the acquiring or appropriating authority carry out the works,

then, in addition to any reduction falling to be made under subsection (4) or (5), the aggregate amount mentioned in subsection (2) shall be reduced by the actual cost to the authority of carrying out the works.

(7) References in this section to a decrease in net receipts shall be construed as references—

(a) to the amount by which a balance of receipts over expenditure is decreased;

(b) to the amount by which a balance of expenditure over receipts is increased; or

(c) where a balance of receipts over expenditure is converted into a balance of expenditure over receipts, to the aggregate of the two balances;

and references to an increase in net receipts shall be construed accordingly.

(8) In this section—

• “proceeding giving rise to compensation” means—

(a) except in relation to compensation under section 279(4), the particular action (that is to say, the decision, order, extinguishment of a right, imposition of a requirement or acquisition) in respect of which compensation falls to be assessed, as distinct from any development or project in connection with which that action may have been taken;

(b) in relation to compensation under section 279(4), the circumstances making it necessary for the apparatus in question to be removed or re-sited;

“the appropriate Minister’s certificate” means such a certificate as is mentioned in section 16 of or paragraph 3 of Schedule 3 to the M1 Acquisition of Land Act 1981.

Textual Amendments

F3 Words in s. 280 substituted (25.7.2003 and 29.12.2003 in accordance with the commencing S.I.s) by Communications Act 2003 (c. 21), ss. 406, 411, Sch. 17 para. 104(a) (with transitional provisions in Sch. 18); S.I. 2003/1900, arts. 1(2), 2(1), Sch. 1 (with transitional provisions in arts. 3-6); S.I. 2003/3142, arts. 1(2), 3(2) (with art. 11)

F4 Words in s. 280 substituted (25.7.2003 and 29.12.2003 in accordance with the commencing S.I.s) by Communications Act 2003 (c. 21), ss. 406, 411, Sch. 17 para. 104(b) (with transitional provisions in Sch. 18); S.I. 2003/1900, arts. 1(2), 2(1), Sch. 1 (with transitional provisions in arts. 3-6); S.I. 2003/3142, arts. 1(2), 3(2) (with art. 11)

F5 Words in s. 280(4)(5) substituted (1.6.2009) by The Transfer of Tribunal Functions (Lands Tribunal and Miscellaneous Amendments) Order 2009 (S.I. 2009/1307), art. 5(1)(2), Sch. 1 para. 210

Modifications etc. (not altering text)

C10 S. 280 applied (10.11.1993) by 1993 c. 28, s. 169, Sch. 20 Pt. II para. 12(6); S.I. 1993/2762, art. 3

S. 280 applied (10.11.1993) by 1993 c. 28, s. 169, Sch. 20 Pt. II para. 14(8); S.I. 1993/2762, art. 3

S. 280 applied (1.10.1998) by 1975 c. 70, Sch. 4 Pt. III para. 11(7), 13(9) (as inserted (1.10.1998) by 1998 c. 38, s. 127, Sch. 13 para. 3 (with ss. 139(2), 141(1), 143(2)); S.I. 1998/2244, art. 4)

S. 280 applied (25.11.1998 for specified purposes and otherwise 3.7.2000) by 1998 c. 45, s. 23, Sch. 6 paras. 9(6), 11(8); S.I. 1998/2952, art. 2(2); S.I. 2000/1173, 2(2)(c)

Ss. 275-278, 279(2)-(4), 280, 282 modified (3.6.1999) by S.I. 1999/1555, art. 11, Sch. 2 para. 1

Ss. 275-278, 279(2)-(4), 280, 282 modified (21.7.1999) by S.I. 1999/2129, art. 20, Sch. 3 para. 1

Ss. 275-278, 279(2)-(4), 280, 282 modified (20.8.1999) by S.I. 1999/2336, art. 25, Sch. 6 para. 1

Ss. 275-278, 279(2)-(4), 280, 282 modified (23.8.1999) by S.I. 1999/2981, art. 29, Sch. 11 para. 1

Ss. 279(2)-(4), 280, 282 applied (with modifications) (18.7.2001) by S.I. 2001/2870, art. 25, Sch. 4

Ss. 279(2)-(4), 280, 282 applied (24.7.2001) by S.I. 2001/3627, arts. 63, 64, Sch. 11 paras. 1, 2, Sch. 12 para. 5(3)

C11 S. 280 applied (with modifications) (14.3.2002) by S.I. 2002/412, art. 35, Sch. 5 para. 1 (with art. 38)

C12 S. 280 applied (1.12.2008) by Housing and Regeneration Act 2008 (c. 17), s. 12, 325, Sch. 4 para. 7(2); S.I. 2008/3068, art. 2(g) (with savings and transitional provisions in arts. 6-13)

C13 S. 280 applied (with modifications) (1.10.2011) by The Infrastructure Planning (Changes to, and Revocation of, Development Consent Orders) Regulations 2011 (S.I. 2011/2055), regs. 1, 66

C14 S. 280 applied (with modifications) by 1980 c. 66, Sch. 5 Pt. 2 para. 1 (as amended (5.3.2015) by Infrastructure Act 2015 (c. 7), s. 57(1), Sch. 1 para. 65(3)(a); S.I. 2015/481, reg. 2(a))

C15 S. 280 modified (16.12.2015) by The Network Rail (Tinsley Chord) Order 2015 (S.I. 2015/1876), art. 1, Sch. 7 paras. 2-5

C16 S. 280 applied (1.12.2008) by Housing and Regeneration Act 2008 (c. 17), s. 12, 325, Sch. 4 para. 14(2); S.I. 2008/3068, art. 2(g) (with savings and transitional provisions in arts. 6-13)

C17 S. 280(6) modified (18.12.1996) by 1996 c. 61, s. 8(5)

C18 S. 280(6) modified (22.7.2008) by Crossrail Act 2008 (c. 18), s. 9(4)(5)(b)

Marginal Citations

M1 1981 c. 67.

281 Exclusion of s. 280 at option of statutory undertakers. E+W

(1) Where statutory undertakers are entitled to compensation in respect of such a compulsory acquisition as is mentioned in section 280(1)(c), the statutory undertakers may by notice in writing under this section elect that the compensation shall be ascertained in accordance with the enactments (other than rule (5) of the rules set out in section 5 of the M2 Land Compensation Act 1961) which would be applicable apart from section 280.

(2) If the statutory undertakers so elect the compensation shall be ascertained accordingly.

(3) An election under this section may be made either in respect of the whole of the land comprised in the compulsory acquisition in question or in respect of part of that land.

(4) Any notice under this section shall be given to the acquiring authority before the end of the period of two months from the date of service of notice to treat in respect of the interest of the statutory undertakers.

Marginal Citations

M2 1961 c. 33.

282 Procedure for assessing compensation. E+W

(1) Where the amount of any such compensation as is mentioned in subsection (1) of section 280 falls to be ascertained in accordance with the provisions of that section, the compensation shall, in default of agreement, be assessed by the [F6 Upper Tribunal], if apart from this section it would not fall to be so assessed.

(2) For the purposes of any proceedings arising before the [F6 Upper Tribunal] in respect of compensation falling to be ascertained as mentioned in subsection (1), the provisions of [F7 section] 4 of the M3 Land Compensation Act 1961 shall apply as they apply to proceedings on a question referred to the Tribunal under section 1 of that Act, but with the substitution in [F8 section 4], for references to the acquiring authority, of references to the person from whom the compensation is claimed.

Textual Amendments

F6 Words in s. 282(1)(2) substituted (1.6.2009) by The Transfer of Tribunal Functions (Lands Tribunal and Miscellaneous Amendments) Order 2009 (S.I. 2009/1307), art. 5(1)(2), Sch. 1 para. 211(a)

F7 Word in s. 282(2) substituted (1.6.2009) by The Transfer of Tribunal Functions (Lands Tribunal and Miscellaneous Amendments) Order 2009 (S.I. 2009/1307), art. 5(1)(2), Sch. 1 para. 211(b)

F8 Words in s. 282(2) substituted (1.6.2009) by The Transfer of Tribunal Functions (Lands Tribunal and Miscellaneous Amendments) Order 2009 (S.I. 2009/1307), art. 5(1)(2), Sch. 1 para. 211(b)

Modifications etc. (not altering text)

C19 S. 282 applied (10.11.1993) by 1993 c. 28, s. 169, Sch. 20 Pt. II para. 12(6); S.I. 1993/2762, art. 3

S. 282 applied (10.11.1993) by 1993 c. 28, s. 169, Sch. 20 Pt. II para. 14(8); S.I. 1993/2762, art. 3

S. 282 applied (1.10.1998) by 1975 c. 70, Sch. 4 Pt. III para. 11(7), 13(9) (as inserted (1.10.1998) by 1998 c. 38, s. 127, Sch. 13 para. 3 (with ss. 139(2), 141(1), 143(2)); S.I. 1998/2244, art. 4)

S. 282 applied (25.11.1998 for specified purposes and otherwise 3.7.2000) by 1998 c. 45, s. 23, Sch. 6 paras. 9(9), 11(8); S.I. 1998/2952, art. 2(2); S.I. 2000/1173, art. 2(2)(c)

Ss. 275-278, 279(2)-(4), 280, 282 modified (3.6.1999) by S.I. 1999/1555, art. 11, Sch. 2 para. 1

Ss. 275-278, 279(2)-(4), 280, 282 modified (21.7.1999) by S.I. 1999/2129, art. 20, Sch. 3 para. 1

Ss. 275-278, 279(2)-(4), 280, 282 modified (20.8.1999) by S.I. 1999/2336, art. 25, Sch. 6 para. 1

Ss. 275-278, 279(2)-(4), 280, 282 modified (23.8.1999) by S.I. 1999/2981, art. 29, Sch. 11 para. 1

Ss. 279(2)-(4), 280, 282 applied (with modifications) (18.7.2001) by S.I. 2001/2870, art. 25, Sch. 4

Ss. 279(2)-(4), 280, 282 applied (24.7.2001) by S.I. 2001/3627, arts. 63, 64, Sch. 11 paras. 1, 2, Sch. 12 para. 5(3)

C20 S. 282 applied (1.12.2008) by Housing and Regeneration Act 2008 (c. 17), s. 12, 325, Sch. 4 para. 7(2); S.I. 2008/3068, art. 2(g) (with savings and transitional provisions in arts. 6-13)

C21 S. 282 applied (1.12.2008) by Housing and Regeneration Act 2008 (c. 17), s. 12, 325, Sch. 4 para. 14(2); S.I. 2008/3068, art. 2(g) (with savings and transitional provisions in arts. 6-13)

C22 S. 282 applied (with modifications) by 1980 c. 66, Sch. 5 Pt. 2 para. 1 (as amended (5.3.2015) by Infrastructure Act 2015 (c. 7), s. 57(1), Sch. 1 para. 65(3)(a); S.I. 2015/481, reg. 2(a))

C23 S. 282 modified (16.12.2015) by The Network Rail (Tinsley Chord) Order 2015 (S.I. 2015/1876), art. 1, Sch. 7 paras. 2-5

Marginal Citations

M3 1961 c.33.