CPO Flashcards
When can powers be used
Central government encourages public bodies to use their CPO in order to facilitate much needed development in their area
What is an essential part when enacting CPO
That there is a compelling case in the public interest and will benefit the whole community
What is an acquiring authority
The organization using its compulsory purchase powers to facilitate delivery for a project
What is a claimant
A person or organisation affected by an order and entitled to make a claim for compensation
What is a statement of reasons
Non statutory document setting out why an acquiring authority has decided to make an order. Justifies use of CPO
What is appropriation
An internal transfer of land by a local authority from one purpose to another in order to allow use of the Housing and planning act 2016 powers to override third party rights
What is an objector
A person or organisation who has objected to the making of an order
What is a public inquiry
A formal process to hear evidence and submissions from an acquiring authority and any objectors to an order
What does it mean by statutory compensation
The amount of money to which a claimant is entitled following a CPO
What is included in statutory compensation
Market value of land
Costs of relocation and/or reinvestment
Statutory loss payments
Reimbursement of professional fees
What is General Vesting Declaration
A legal process for implementing an order, which transfers title of the land to the acquiring authority and allows entry to be takenn
What is notice to treat/notice of entry
Notices served to commence a process for implementing an order. Allows entry to be taken to property, but title will only be conveyed once compensation has been agreed
What is the Lands Tribunal
The upper tribunal (Lands Chamber) The body responsible for settling disputes over compensation
What is a clearance area
Area identified by a local housing authority which is to be cleared of all buildings
What are the Crichel Down Rules
The non statutory process by which central government should dispose of land or property which was acquired compulsorily
What is a property cost estimate
An acquisition cost budget including all statutory compensation heads of claim
What are some examples of an acquiring authority
Secretaries of State, local authorities, Mayor of London, Homes England
How would you decide which enabling powers should be used
Based on the purpose for which the the land is to be acquired
Who has the power to enact the Town and Country Planning Act 1990
Local planning authority
What sort of projects would need to enact the Town and Country Planning Act 1990
Development and regeneration projects
e.g. mixed use town centre scheme
Who has the power to enact the Housing Act 1985
Local Housing Authorities
What sort of projects would need to enact the Housing Act 1985
Assembling land for housing projects to achieve qualitative or quantitative gain in housing, bringing empty properties back in to use or improving defective properties
Who would have the power to enact the Highways Act 1990
Highway Authorities
What sort of projects would need to enact the Highways Act 1990
Schemes delivering highways only works for transport purposes
Who would have the power to enact the Local Government Act 1972
Local Authorities
What sort of projects would need to enact the Government Act 1972
Projects where local authority can acquire lane by agreement for a specific purpose but not compulsorily
Who would have the power to enct the Housing and Planning Act 2016
Planning authorities, regeneration bodies
What sort of project would need to enact the Housing and Planning Act 2016
Dealing with third party rights affected by the scheme which provides benefits to the economic
Who has the power to enact the Housing and Regeneration Act 2008
Homes England
What sort of projects would need to enact the Housing and Regeneration Act 2008
Improving supply and quality of housing in England, to secure regeneration or development of land or infrastructure in England
Who would have the powers to enact the Water Resources Act 1991
Environment Agency
What sort of project would need to enact the Water Resources Act 1991
Flood alleviation, coastal erosion, protection of land and water
What section of the Town and Country Planning Act 1990 is most likely to be used by local authorities
Section 226
What does section 226(1)(a) enable
Local authorities with planning powers to acquire land if they think it will facilitate development, redevelopment or improvement on the land being acquired
What does section 226 (1)(b) of the Town and Country Planning Act 1990 enable
Allows an authority to acquire land which is required for a purpose which is necessary to achieve in the interests of the proper planning of an area in which the land is situated
What does Section 226 (1)(A) of the Town and Country Planning Act 1990 state
States that the acquiring authority must not exercise power unless it thinks that the proposed development is likely to contribute on the wellbeing of the area
What restrictions are placed on Section 226 (1)(a) of the Town and Country Planning Act 1990
Section 226 (1)(A) of the TCPA
What are some examples of wellbeing benefits
Type and tenure of housing stock
Provision of new employment opportunities
Improvements to public transport
What are some key points that the Secretary of State should consider on whether to confirm an order
Whether the purpose of the acquisition fits within the adopted local plan for the area
The extent to which it contributes to the wellbeing of the area
Whether the purpose could be achieved through other means
The potential financial viability of the scheme
What section in the Housing Act 1985 is most commonly used
Section 17
What is section 17 in Housing Act 1985 most commonly used for
To assemble land required for housing and associated development, to bring empty properties back in to use
What would the authorities need to do when attempting to acquire an empty property to bring back in to use
The authority will have to demonstrate the efforts they have made to encourage the owner to bring the property back in to use
What is detailed in section 290 of the Housing Act 1985
A local housing authority has the power to acquire property compulsorily following designation of a clearance area
What is section 290 of the Housing Act 1985 term ‘clearance area’ also referred to
Slum clearance powers
What will the Authority need to do when determining a clearance area
Demonstrate when and why it has identified the area as a clearance area, why they consider the buildings within the area as substandard
What sections are key within the Highways Act 1980
Sections 239-246
What does sections 239-246 of the Highways Act 1980 give powers for
Powers for the relevant highway authority to compulsorily acquire land for highway purposes
What is section 250 of the Highways Act 1980
Provides for the creation of new rights over land
What section of the Local Government Act 1972 is most commonly used
Section 121
What is the purpose of section 121 of the Local Government Act 1972
Intended to be use only where no more specific power is available
Can the Local Government Act 1972 be used in conjunction with other acts
Yes when land is required for more than one function or use
What section is most commonly used in the Housing and Planning Act 2016
Section 203
What does section 203 of the Housing and Planning Act 2016 state
Local authorities have power to acquire or appropriate land for planning purposes
How do you engage section 203 powers of the Housing and Planning Act 2016
The land must be lawfully appropriated for planning purposes
What would be the appropriate amount of time for the cpo process from the start of preparatory work to taking vacant possession of the site
18-24 months
How long is the preparation phase of the compulsory purchase process
4-6 months minimum
What information is usually gathered during the preparation phase
Order
Schedule of all affected third party interests
Order map identifying third party interested
Non statutory statement of reasons
Any required notices
Once the key documentation is gathered, what are the next steps in the CPO process
The acquiring authority will need to formally make the order, usually by sealing the documents.
The order must then be publicized and notify all affected parties
How long do affected parties have to object to the order
The deadline for submission of any objections is a minimum of 21 days
What would be the next steps if there are objections to the order
An independent inspector will be appointed by the relevant Secretary of State and a public inquiry will be held
When is the public inquiry likely to be once the Order has been made
6-8 months
What happens after a public inquiry
The independent inspector will prepare their report and make the decision on confirmation of the order will either be made by the inspector or the Secretary of State
What is the time frame that a decision will be published following a public inquiry
12 weeks maximum from an Inspector
24 weeks maximum from the Secretary of State
What is the timeframe that all affected parties must be informed regarding the confirmed order
within six weeks of the order being confirmed
How is an order implemented
Through serving either a General Vesting Declaration or a Notice to Treat
What time period does a local authority have from confirmed compulsory purchase to serving a general vesting declaration
Within 3 years of the confirmed order and then have another 3 years to take entry of the land
What does a site assembly strategy include
High level review of land and rights to be acquired, methods of site assembly and which powers are available and if more than one order may be required
Provides a initial review of the policy, including planning policy, which underlies the proposed project
What project certainty is required for order confirmation?
Planning permission
Any other consents such as Stopping Up Orders
No special types of land being within the order
A credible delivery plan
Funding
What sets out the procedure to make a cpo
Acquisition of Land Act 1981
What is the procedure to make a compulsory purchase order
- Formulation
- Resolution
- Referencing
- Making the order
- Notification and Publicity
- Objections
- Consideration of objections
- The inquiry
- The written representation
- The decision
What would be the typical Heads of Claim for a Landowner?
1) The Value of the Land Taken
2) Severance and Injurious Affection
3) Disturbance
4) Loss Payments
5) Professional Fees
What would be the typical Heads of Claim for a Tenant?
1) Value of unexpired interest of the tenancy
2) Severance and injurious affection
3) Any just allowance by an incoming tenancy
5) Rent reorganisation payment (If an AHA tenant)
6) Disturbance
7) Loss payments
8) Professional fees
What is severance?
Severance occurs where the land acquired contributes to the value of the land which is retained so that when severed from it, the retained land loses value.
What is Injurious Affection?
The depreciation in value of the retained land as a result of the proposed construction on land acquired both for construction of works and their subsequent use.
What is Betterment?
The increase in value of retained land that is adjacent to the land acquired. The increase in value would be offset against the total compensation.
What is Material Detriment?
A claimant is able to serve a counter-notice within 2 months of a CPO notice requesting the acquiring authority purchase the retained land if found that the part being compulsorily acquired cannot be taken without causing material detriment to the remainder, MD meaning usually that is no longer suitable or able to be farmed or used for its previous use. S8 of CPA 1965 gives right for Upper tribunal to require the AA to purchase land caused MD to as part of scheme.
What is the Pointe Gourde principle?
Any increase in the value of the land which is solely attributable to the scheme should not be paid as compensation. (Quarry case law)
What powers are available to acquire land?
(notices/vesting etc.)
1) By Agreement
2) Notice to Treat followed by Notice of Entry
3) General Vesting Declaration
What is a blight notice?
A blight notice can be served on an acquiring authority requesting the acquiring authority to purchase the property at its untainted value. The value of the property must have been reduced by the scheme. The acquiring authority have 2 months to respond to the blight notice. Eg counter-notice within 2 months of receipt
What are the Notification and Publicity requirements of making a CPO?
1) A notice must be published for 2 successive weeks in a local newspaper
2) A notice must be published on the site
3) Notices must be served on affected parties providing details of the scheme and the timeframe for objections - This must be at least 21 days from the date the notice was served.
What is Basic Loss?
Basic Loss an additional payment made to reflect the inconvenience and disruption caused by the acquisition. The payment made is 7.5% of the value of the interest subject to a maximum payment of £75,000. To qualify you must have held an interest in the land for a year or more prior to possession.
What other loss payments are there and what statute are they governed under?
Home Loss 10% and occupiers loss 2.5%. S33 of LCA 1973
What is in Section 8 of Compulsory Purchase Act 1965
Provides mechanism whereby a landowner can require the acquiring authority to purchase the whole of their land (if retained land suffers material detriment) holding rather than just the part contained in the CPO
What is in Schedule 1 of Compulsory Purchase (Vesting Declarations) Act 1981
Contains procedures to enable landowner to serve notice (within 28 days of receipt of GVD) on AA to require it to take the whole of the severed land.
What is a hybrid bill
Hybrid of a public general act and private act
Affecting population at large but the scheme has a localised impact
E.g. HS2
What did the Housing & Planning Act 2016 bring in?
Powers of Entry for Survey Purposes
Changes to Advance Payment process
Dispute resolution
Counter-notice provisions
What did the Neighbourhood Planning Act 2017 bring in?
Temporary Possession
“No Scheme” principle
Treatment of Minor Tenancies
Repeal of Part 4 of Land Compensation Act 1961
What act states the 6 rules for compensation
LCA 1961
What are the six rules of compensation
- No allowance for the fact the acquisition is compulsory
- The value of land shall be taken to be the amount which the land if sold in the open market by a willing seller
- Special suitability of land not considered
- Where the value of land is ignored if it is increased by illegal use -
- If there is no reasonable assessment to value the land the value will be decided using the equivalent replacement cost
- Rule 2 not applied to disturbance - also s.5
What is the local plan for Bracknell in terms of the car park
approximately 210 residential units (including 35% affordable homes)
Office space
Green infrastructure
What does the local plan set out
The homes and jobs needed in the area.
Retail, leisure and other commercial development.
Infrastructure for transport, waste management, water supply, waste water, flood risk, and
the provision of minerals and energy.
Community and cultural infrastructure and other local facilities, including health provision.
Climate change mitigation and adaptation, conservation and enhancement of the natural
and historic environment, including landscape.
What are key points included in a PCE
Title number
Assumed Tenure
Address and postcode
Owner/occupier
Property type
Site area
What is included in the settlement calculations
Market Value
Disturbance
Severance and injurious affection
Basic Loss Payment
Occupier loss payment
Stamp Duty
Professional Fees
Statutory payments
Home loss
What is a statement of reasons
a document that accompanies a Compulsory Purchase Order (CPO) and explains the acquiring authority’s reasons for seeking to acquire the land.
What is a schedule of affected
a document that lists the people and entities with legal interests in land that may be affected by a CPO.
What is injurious affection compensation
where legal rights held with land are interfered with but no interest is acquired from the claimant. The measure of compensation is the reduction in the value of the claimant’s land as a result of the interference.
What is a s.10 claim
Injurious affection
In what legislation can you find the section 10 claim
Compulsory purchase act 1965
What is the compulsory purchase act 1965
An Act to consolidate the Lands Clauses Acts as applied by Part I of Schedule 2 to the Acquisition of Land (Authorisation Procedure) Act 1946, and by certain other enactments, and to repeal certain provisions in the Lands Clauses Acts and related enactments which have ceased to have any effect
Why can development and regeneration projects not be accomplished through market forces alone?
a legal process that allows public authorities to acquire land or property for public purposes, even without the owner’s consent. CPOs are necessary for large-scale projects that improve infrastructure, regenerate cities, and provide housing. They can also be used to preserve historic buildings.
when the public benefit outweighs the private loss
What is the purpose of the Compensation code?
The principle purpose of the compensation code is to provide for the payment of fair compensation to an owner whose land is compulsorily purchased for public works.
What is the compensation code
The Compensation Code is not a single document but a collective term used for the principles set out in Acts of Parliament, principally the Land Compensation Act 1961, the Compulsory Purchase Act 1965, the Land Compensation Act 1973, the Planning & Compulsory Purchase Act 1991 and the Planning & Compulsory Purchase Act 2004.
