Compulsory purchase order manual

Document History To be read with Compulsory purchase procedure manual. A legal procedure used in connection with compulsory purchase whereby an acquiring authority, having secured confirmation of a compulsory purchase order, is able to obtain possession and ownership of the land. This is a procedure for the speedy acquisition of land and normal conveyancing practice does not have to be adopted. By Laura Fuller. This timeline sets out the key stages and steps to be taken to secure a compulsory purchase order CPO.

The dates referered to provide an indication of how long the process might take for a small scale and relatively straightforward CPO. Each stage could take more or less time depending on the complexity of a scheme. The Compulsory Purchase Act CPA provides a code of law that spells out the powers of the acquiring authority to implement a compulsory purchase order by taking possession and securing a conveyance of the land and the rights of the parties in consequence of such processes.

The following classes of person may enjoy a right to compensation arising from the compulsory acquisition of land:. The above entitlements comprise compensation for the acquisition, or depreciation in value, of land or the consequential losses arising therefrom. There are in addition statutory entitlements to which the claimant may be entitled such as:. Freeholders and leaseholders except where their unexpired term at date of entry is less than a year who have been or are deemed to have been served with notice to treat are entitled to compensation in respect of the acquisition of their interest by the acquiring authority.

Statutory tenants under the Rent Acts have no estate or interest in land and therefore are not entitled to compensation under section 20 CPA A licensee has no interest in land entitling him to compensation from the acquiring authority except that he may qualify for a disturbance payment under section 37 LCA provided he is in lawful possession. Agricultural tenants are excluded from the provisions of section 37 LCA but may be entitled to a discretionary payment under section 22 Agriculture Miscellaneous Provisions Act The holder of an option to purchase the land acquired may be entitled to claim compensation.

Oppenheimer v Minister of Transport [] 1 KB Persons entitled to the benefit of an easements or restrictive covenants over or affecting the land acquired are not entitled to notice to treat but may have a right to claim compensation under section 10 CPA for depreciation in the value of their interest as a result of losing the benefit of the easement or restrictive covenant.

Sections 14 to 17 CPA lay down provisions governing the acquisition of land subject to mortgage. If the value of the mortgaged land is less than the outstanding charge, the value of the land or the compensation to be paid for it must be agreed between the mortgagee and the person entitled to the equity of redemption on the one part and the acquiring authority on the other part or, in default of agreement, be determined by the Upper Tribunal Lands Chamber. The amount so agreed or determined shall be paid to the mortgagee who shall then convey or release all interest in the mortgaged land to the acquiring authority.

Where part only of the land subject to the mortgage is taken and that part is of less value than the outstanding mortgage, and the mortgagee does not consider the remaining land to be sufficient security for the outstanding charge or is unwilling to release the part required, the value of such part and the compensation for severance shall, failing agreement between the parties, be determined by the Upper Tribunal Lands Chamber and paid to the mortgagee. Many Acts that authorise compulsory acquisition also contain separate provisions that empower the purchase of land by agreement.

In some cases, however, section 10 CPA is specifically excluded eg by section 2 Town and Country Planning Act and reference should be made to the empowering Act to find out which provisions of CPA , or what other provisions, are incorporated. In cases where an authority is purchasing land by agreement under provisions which authorise compulsory acquisition, eg where negotiations are proceeding at the initiative of the authority in advance of the making or confirmation of the CPO, the purchase price should be assessed having regard to the statutory code of compensation.

In cases where there are no compulsory powers in the background or the statutory code is not written into the provisions that empower purchase by agreement there are no statutory rules for the assessment of compensation. Unless otherwise indicated by instructions in a specific case or type of case see below the consideration for the purchase will be open market value but not exceeding the amount that would have been paid in compensation under the compulsory purchase code. Examples of powers to purchase by agreement are summarised below:.

Schedule 2 CPA sets out the procedure to be adopted for the assessment and payment of compensation where the owner of an interest is absent from the UK or cannot be found. The assistance of the VOA is available to the surveyor member of the Upper Tribunal Lands Chamber appointed to make a valuation of the interest in question. In all such cases the valuation request from the Tribunal will be routed via Chief Valuer Group and any requests received direct by the valuer should be referred to the PS Professional Guidance team.

There is a presumption in English law that the owner of the surface is entitled to the whole of the property and as a general rule a compulsory acquisition of land will include all that is above and below the surface. However, this basic presumption is subject to many exceptions.

In particular, minerals have frequently been severed from the ownership of the surface by statute, deed or custom. Spoil heaps associated with mineral workings lying on the surface may or may not form part of the land on which they rest depending on whether or not the materials in the spoil heaps have retained their chattel nature. Legal advice will often be necessary to determine whether or not spoil heaps will pass with the surface on compulsory acquisition of the land on which they rest.

Where spoil heaps are present on land to be acquired the advice of the Mineral Valuer will be required in all cases. The inclusion of the mining code in a CPO means that the acquiring authority does not acquire minerals under or within a specified distance of the land acquired.

There are special arrangements by which the mineral owner may be compensated at a later date if the acquiring authority does not wish the minerals to be extracted from beneath or nearby the acquired land. Whether or not a particular stratum will be acquired together with the surface may require legal guidance. Reference should be made to Section 11 of this Manual for instructions on the valuation of land where the value of the land or the compensation payable on acquisition may be affected by the presence of minerals or by the presence of buildings and plant erected or used for the purpose of winning and working or of processing minerals.

Under certain circumstances government departments and local authorities may be compelled to purchase land as a result of a purchase notice or blight notice served on them by an owner, as if they themselves had served notice to treat under a CPO.

Where land is acquired following service of notice to treat interest is payable under section 11 CPA from the time of entry until the compensation is paid. Where land is vested in an acquiring authority interest is payable from the date of vesting until the compensation is paid by virtue of section 10 Compulsory Purchase Vesting Declarations Act Where statute provides for the payment of compensation for damage or injury to land, unless the relevant provision makes express mention of entitlement to interest, none is payable, either as an additional sum, or as part of the compensation.

Section 80 of the Planning and Compensation Act now provides for the payment of interest on compensation awarded under various Acts where interest had not been payable previously.