PART 8 continued
(4) An objection is an objection made by any person (whether or not a person mentioned in section 12(2)), including an objection which is disregarded.
(5) The power to confirm an order under subsection (1) does not include any power—
(a) to confirm the order with modifications, or
(b) to confirm only a part of the order.
(6) The acquiring authority must notify the confirming authority as soon as reasonably practicable after it has determined whether or not to confirm the order.
(7) The confirming authority may revoke a notice given by it under subsection (1).
(8) But a notice may not be revoked if the determination has already been made and notified by the acquiring authority under subsection (6).
(9) An order confirmed by the acquiring authority under subsection (1) is to have the same effect as if it were confirmed by the confirming authority.
(10) Notices under this section must be in writing.
(11) Notice requirements and disregarded must be construed in accordance with section 13.”
(3) The amendments made by this section do not apply to orders of which notice has been published under section 11 of the 1981 Act before commencement of this section.
(1) The Land Compensation Act 1961 (c. 33) is amended as follows.
(2) After section 5 there is inserted—
(1) If the value of land is to be assessed in accordance with rule (2) in section 5, the valuation must be made as at the relevant valuation date.
(2) No adjustment is to be made to the valuation in respect of anything which happens after the relevant valuation date.
(3) If the land is the subject of a notice to treat, the relevant valuation date is the earlier of—
(a) the date when the acquiring authority enters on and takes possession of the land, and
(b) the date when the assessment is made.
(4) If the land is the subject of a general vesting declaration, the relevant valuation date is the earlier of—
(a) the vesting date, and
(b) the date when the assessment is made,
and “general vesting declaration” and “vesting date” have the meanings given in section 2 of the Compulsory Purchase (Vesting Declarations) Act 1981.
(5) If the acquiring authority enters on and takes possession of part of the land—
(a) specified in a notice of entry, or
(b) in respect of which a payment into court has been made,
the authority is deemed, for the purposes of subsection (3)(a), to have entered on and taken possession of the whole of that land on that date.
(6) Subsection (5) also applies for the purposes of calculating interest under the following enactments—
(a) section 11(1) of the Compulsory Purchase Act 1965;
(b) paragraph 3 of Schedule 3 to that Act;
(c) section 85 of the Lands Clauses Consolidation Act 1845;
(d) section 52A of the Land Compensation Act 1973,
and references there to the date or time of entry are to be construed accordingly.
(7) An assessment by the Lands Tribunal is treated as being made on the date certified by the Tribunal as—
(a) the last hearing date before it makes its determination, or
(b) in a case to be determined without an oral hearing, the last date for making written submissions before it makes its determination.
(8) Nothing in this section affects—
(a) any express provision in any other enactment which requires the valuation of land subject to compulsory acquisition to be made at a particular date;
(b) the valuation of land for purposes other than the compulsory acquisition of that land (even if the valuation is to be made in accordance with the rules in section 5).
(9) In this section—
(a) a notice of entry is a notice under section 11(1) of the Compulsory Purchase Act 1965;
(b) a payment into court is a payment into court under Schedule 3 to that Act or under section 85 of the Lands Clauses Consolidation Act 1845.”
(1) The Land Compensation Act 1973 is amended as follows.
(2) In section 52 (right to advance payment of compensation)—
(a) after subsection (1) there are inserted the following subsections—
“(1A) If the acquiring authority have taken possession of part of the land—
(a) specified in a notice of entry, or
(b) in respect of which a payment into court has been made,
the compensation mentioned in subsection (1) is the compensation payable for the compulsory acquisition of the interest in the whole of the land.
(1B) Notice of entry and payment into court must be construed in accordance with section 5A of the Land Compensation Act 1961.”,
(b) for subsection (6) there is substituted the following subsection—
“(6) If the land is subject to a mortgage sections 52ZA and 52ZB apply.”
(3) After section 52 of that Act there are inserted the following sections—
(1) This section applies if—
(a) an acquiring authority take possession of land,
(b) a request is made in accordance with section 52(2) for an advance payment, and
(c) the land is subject to a mortgage the principal of which does not exceed 90% of the relevant amount.
(2) The advance payment made to the claimant must be reduced by the amount the acquiring authority think will be required by them to secure the release of the interest of the mortgagee (or all the mortgagees if there is more than one).
(3) The acquiring authority must pay to the mortgagee the amount the acquiring authority think will be required by them to secure the release of the mortgagee’s interest, if—
(a) the claimant so requests, and
(b) the mortgagee consents to the making of the payment.
(4) If there is more than one mortgagee—
(a) subsection (3) applies to each mortgagee individually, but
(b) payment must not be made to a mortgagee before the interest of each mortgagee whose interest has priority to his interest is released.
(5) The amount of the advance payment made to the claimant under section 52 and the amount of the payments made to mortgagees under this section must not in aggregate exceed 90% of the relevant amount.
(6) Subsection (7) applies if—
(a) the acquiring authority estimated the compensation,
(b) it appears to the acquiring authority that their estimate was too low and they revise the estimate, and
(c) a request is made by the claimant in accordance with section 52(2).
(7) The provisions of subsections (2) to (5) must be re-applied on the basis of the revised estimate.
(1) This section applies if—
(a) an acquiring authority take possession of land,
(b) a request is made in accordance with section 52(2) for an advance payment, and
(c) the land is subject to a mortgage the principal of which exceeds 90% of the relevant amount.
(2) No advance payment is to be made to the claimant.
(3) But the acquiring authority must pay to the mortgagee the amount found under subsection (4), if—
(a) the claimant so requests, and
(b) the mortgagee consents to the making of the payment.
(4) The amount is whichever is the lesser of—
(a) 90% of the value of the land;
(b) the principal of the mortgagee’s mortgage.
(5) The value of the land is the value—
(a) agreed by the claimant and the acquiring authority, or (failing such agreement)
(b) estimated by the acquiring authority.
(6) For the purposes of subsection (5) the value of the land is to be calculated in accordance with rule 2 of section 5 of the Land Compensation Act 1961 (market value), whether or not compensation is or is likely to be assessed in due course in accordance with rule 5 of that section (equivalent re-instatement).
(7) If there is more than one mortgagee, payment must not be made to a mortgagee until the interest of each mortgagee whose interest has priority to his interest is released.
(8) But the total payments under subsection (3) must not in any event exceed 90% of the value of the land.
(9) Subsection (10) applies if—
(a) the acquiring authority estimated the compensation,
(b) it appears to the acquiring authority that their estimate was too low and they revise the estimate,
(c) the condition in section 52ZA(1)(b) would have been satisfied if the revised estimate had been used instead of their estimate, and
(d) a request is made by the claimant in accordance with section 52(2).
(10) The provisions of section 52ZA(2) to (5) must be applied on the basis of the revised estimate.
(11) If—
(a) the acquiring authority estimated the value of the land,
(b) it appears to the acquiring authority that their estimate was too low and they revise the estimate, and
(c) a request is made by the claimant in writing,
any balance found to be due to a mortgagee on the basis of the revised estimate is payable in accordance with this section.
(1) This section applies for the purposes of sections 52ZA and 52ZB.
(2) The claimant must provide the acquiring authority with such information as they may require to enable them to give effect to those sections.
(3) A request under section 52ZA(3) or 52ZB(3) must be made in writing and must be accompanied by the written consent of the mortgagee.
(4) Subsections (4) and (8) to (9) of section 52 apply to a payment which may be or is made under section 52ZA or 52ZB as they apply to a payment which may be or is made under section 52.
(5) The relevant amount is the amount of the compensation agreed or estimated as mentioned in section 52(3).
(6) If the land is subject to more than one mortgage, the reference in sections 52ZA(1)(c) and 52ZB(1)(c) to the principal is to the aggregate of the principals of all of the mortgagees.
(7) A payment made to a mortgagee under section 52ZA or 52ZB—
(a) must be applied by the mortgagee in or towards the discharge of the principal, interest and costs and any other money due under the mortgage;
(b) must be taken to be a payment on account of compensation and treated for the purposes of section 52(10) as if it were an advance payment made under section 52;
(c) must be taken, with effect from the date of the payment, to reduce by the amount of the payment the amount in respect of which interest accrues for the purposes of section 11(1) of the Compulsory Purchase Act 1965, any bond under Schedule 3 to that Act or section 85 of the Lands Clauses Compensation Act 1845;
(d) must be taken into account for the purposes of determining any payments (or payments into court) which may be made for the purposes of sections 14 to 16 of the Compulsory Purchase Act 1965.
(8) If the amount, or aggregate amount, of any payments under—
(a) sections 52 and 52ZA, or
(b) section 52ZB,
on the basis of the acquiring authority’s estimate of the compensation exceed the compensation as finally determined or agreed, the excess must be repaid by the claimant.
(9) No payment must be made to a mortgagee—
(a) if any of the circumstances mentioned in subsection (10) applies, or
(b) if the compulsory acquisition is only of a right over land.
(10) The circumstances are—
(a) payment has been made under section 14(2) of the Compulsory Purchase Act 1965;
(b) a notice under section 14(3) of that Act has been given;
(c) there is an agreement under section 15(1) or 16(1) of that Act or the matter has been referred to the Lands Tribunal under that section.
(11) The claimant in relation to settled land for the purposes of the Settled Land Act 1925 is the persons entitled to give a discharge for capital money.”
(4) In section 52A (right to interest where advance payment made) for subsection (2) there is substituted—
“(2) If the authority make a payment under section 52(1) to any person on account of the compensation—
(a) they must at the same time make a payment to that person of accrued interest, for the period beginning with the date of entry, on the amount of the compensation agreed or estimated under section 52(3) (the total amount), and
(b) the difference between the paid amount and the total amount is an unpaid balance for the purposes of this section.
(2A) The paid amount is—
(a) the amount of the payment under section 52(1), or
(b) if the land is subject to a mortgage, the aggregate of that amount and the amount of any payment made under section 52ZA(3).”
(1) The Acquisition of Land Act 1981 (c. 67) is amended as follows.
(2) After section 5 (local inquiries) there is inserted—
(1) This section applies to information about land in relation to which an acquiring authority is entitled to exercise a power of compulsory purchase.
(2) The acquiring authority may serve a notice on a person mentioned in subsection (4) requiring him to give to the authority in writing the following information—
(a) the name and address of any person he believes to be an owner, lessee, tenant (whatever the tenancy period) or occupier of the land;
(b) the name and address of any person he believes to have an interest in the land.
(3) The power in subsection (2) is exercisable for the purpose of enabling the acquiring authority to acquire the land.
(4) The persons are—
(a) the occupier of the land;
(b) any person who has an interest in the land either as freeholder, mortgagee or lessee;
(c) any person who directly or indirectly receives rent for the land;
(d) any person who, in pursuance of an agreement between himself and a person interested in the land, is authorised to manage the land or to arrange for the letting of it.
(5) The notice must specify the period within which the information must be given to the acquiring authority (being a period of not less than 14 days beginning with the day on which the notice is served).
(6) The notice must also specify or describe—
(a) the land,
(b) the compulsory purchase power, and
(c) the enactment which confers the power.
(7) The notice must be in writing.
(8) Section 6(4) does not apply to notices to be served under this section.
(1) A person commits an offence if he fails without reasonable excuse to comply with a notice served on him under section 5A.
(2) A person commits an offence if, in response to a notice served on him under section 5A—
(a) he gives information which is false in a material particular, and
(b) when he does so, he knows or ought reasonably to know that the information is false.
(3) If an offence under this section committed by a body corporate is proved to have been committed with the consent or connivance of, or to be attributable to any neglect on the part of—
(a) a director, manager, secretary or other similar officer of the body corporate, or
(b) a person purporting to act in any such capacity,
he, as well as the body corporate, is guilty of that offence and liable to be proceeded against accordingly.
(4) The reference in subsection (3) to a director must be construed in accordance with section 331(2) of the Town and Country Planning Act 1990.
(5) A person guilty of an offence under this section is liable on summary conviction to a fine not exceeding level 5 on the standard scale.”
(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—
(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.
(1) After section 33A of the Land Compensation Act 1973 (inserted by section 106 of this Act) there are inserted the following sections—
(1) This section applies to a person if—
(a) he has a qualifying interest in land for the purposes of section 33A,
(b) the land is agricultural land,
(c) the interest is acquired compulsorily, and
(d) he occupied the land for the period specified in section 33A(4).
(2) A person to whom this section applies is entitled to a payment of whichever is the greatest of the following amounts—
(a) 2.5% of the value of his interest;
(b) the land amount;
(c) the buildings amount.
(3) But the maximum amount which may be paid to a person under this section in respect of an interest in land is £25,000.
(4) A payment under this section must be made by the acquiring authority.
(5) 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 (6) and (7).
(6) 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.
(7) 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.
(8) The land amount is the greater of £300 and the amount found in accordance with the following Table—
| Area of the land | Amount per hectare |
|---|---|
| Not exceeding 100 hectares | £100 per hectare or part of a hectare |
| Exceeding 100 hectares | (a) £100 per hectare for the first 100 hectares; (b) £50 per hectare for the next 300 hectares or part of a hectare. |
(9) The buildings amount is £25 per square metre (or part of a square metre) of the gross floor space of any buildings on the land.
(10) The gross floor space must be measured externally.
(1) This section applies to a person if—
(a) he has a qualifying interest in land for the purposes of section 33A,
(b) the land is not agricultural land,
(c) the interest is acquired compulsorily, and
(d) he occupied the land for the period specified in section 33A(4).
(2) A person to whom this section applies is entitled to a payment of whichever is the greatest of the following amounts—
(a) 2.5% of the value of his interest;
(b) the land amount;
(c) the buildings amount.
(3) But the maximum amount which may be paid to a person under this section in respect of an interest in land is £25,000.
(4) A payment under this section must be made by the acquiring authority.
(5) 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 (6) and (7).
(6) 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.
(7) 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.
(8) The land amount is the greater of—
(a) £2,500;
(b) £2.50 per square metre (or part of a square metre) of the area of the land.
(9) But if only part of land in which a person has an interest is acquired, for the figure specified in subsection (8)(a) there is substituted £300.
(10) The buildings amount is £25 per square metre (or part of a square metre) of the gross floor space of any buildings on the land.
(11) The gross floor space must be measured externally.”