Anyone who is faced with the prospect of having a land interest or rights interfered with through compulsory purchase due to an infrastructure or regeneration scheme affecting their property (e.g. HS2) will be all too familiar with the uncertainty and the risk this poses to their home life or livelihood.
If your property or land is at risk of compulsory purchase, it’s crucial not to ignore the issue. While dealing with compulsory purchase might not be your top priority, this is an opportunity to engage in meaningful negotiation with the acquiring authority. Early agreement can minimise disruption and help protect your interests.
When statutory notices are served for land acquisition or rights interference, you become entitled to claim compensation under what’s known as the ‘Compensation Code.’ This body of law governs how losses are assessed, ensuring you are neither financially ‘worse off’ nor ‘better off’ due to compulsory purchase.
Losses stemming from compulsory purchase include the market value of acquired land and the impact on retained land’s value (if applicable) at the date of possession or vesting – the transfer of title to the acquiring authority. If your occupation is ‘disturbed,’ you may also be entitled to compensation for disturbance losses.
Understanding the principles of compensation is essential:
Here are some strategies to reduce risks and ensure you receive fair compensation:
Don’t forget to request an advance payment of compensation to secure funds ‘on account.’ This can be a valuable tool in your negotiations.
Businesses and individuals facing compulsory purchase have up to six years following possession or vesting to refer their claim to the Upper Tribunal (Lands Chamber). Seeking assistance from a compulsory purchase surveyor can be a proactive step.
Gerald Eve’s Compulsory Purchase and Compensation team, as RICS members, adhere to strict standards of conduct and honesty. We are here to guide you through the process, protect your rights, and ensure you receive fair compensation. Contact us today to discuss your situation.