Land Compensation Act 1973

• Citation: 1973 c. 26
• Sections: 89

Section 1 Right to compensation.

(1) Where the value of an interest in land is depreciated by physical factors caused by the use of public works, then, if—

(a) the interest qualifies for compensation under this Part of this Act; and

(b) the person entitled to the interest makes a claim after the time provided by and otherwise in accordance with this Part of this Act,

compensation for that depreciation shall, subject to the provisions of this Part of this Act, be payable by the responsible authority to the person making the claim (hereafter referred to as “ the claimant ”).

(2) The physical factors mentioned in subsection (1) above are noise, vibration, smell, fumes, smoke and artificial lighting and the discharge on to the land in respect of which the claim is made of any solid or liquid substance.

(3) The public works mentioned in subsection (1) above are—

(a) any highway;

(b) any aerodrome; and

(c) any works or land (not being a highway or aerodrome) provided or used in the exercise of statutory powers.

(4) The responsible authority mentioned in subsection (1) above is, in relation to a highway, the appropriate highway authority and, in relation to other public works, the person managing those works.

(5) Physical factors caused by an aircraft arriving at or departing from an aerodrome shall be treated as caused by the use of the aerodrome whether or not the aircraft is within the boundaries of the aerodrome; but, save as aforesaid, the source of the physical factors must be situated on or in the public works the use of which is alleged to be their cause.

(6) Compensation shall not be payable under this Part of this Act in respect of the physical factors caused by the use of any public works other than a highway unless immunity from actions for nuisance in respect of that use is conferred (whether expressly or by implication) by an enactment relating to those works or, in the case of an aerodrome and physical factors caused by aircraft, the aerodrome is one to which section 77(2) of the Civil Aviation Act 1982 (immunity from actions for nuisance) for the time being applies.

(7) Compensation shall not be payable under this Part of this Act in respect of physical factors caused by accidents involving vehicles on a highway or accidents involving aircraft.

(8) Compensation shall not be payable under this Part of this Act on any claim unless the relevant date in relation to the claim falls on or after 17th October 1969.

(9) Subject to section 9 below, “the relevant date” in this Part of this Act means—

(a) in relation to a claim in respect of a highway, the date on which it was first open to public traffic;

(b) in relation to a claim in respect of other public works, the date on which they were first used after completion.

Section 2 Interests qualifying for compensation.

(1) An interest qualifies for compensation under this Part of this Act if it was acquired by the claimant before the relevant date in relation to the claim and the requirements of subsection (2) or, as the case may be, subsection (3) below are satisfied on the date on which notice of the claim for compensation in respect of that interest is served.

(2) If and so far as the interest is in land which is a dwelling, the said requirements are—

(a) that the interest is an owner’s interest; and

(b) where the interest carries the right to occupy the land, that the land is occupied by the claimant in right of that interest as his residence.

(3) If and so far as the interest is not in such land as aforesaid, the said requirements are—

(a) that the interest is that of an owner-occupier; and

(b) that the land is or forms part of either—

(i) a hereditament the annual value of which does not exceed the prescribed amount; or

(ii) an agricultural unit.

(4) In this section “ owner’s interest ” in relation to any land, means the legal fee simple therein or a tenancy thereof granted or extended for a term of years certain of which, on the date of service of the notice of claim in respect thereof, not less than three years remain unexpired.

(5) In this section “ owner-occupier ”, in relation to land in a hereditament, means a person who occupies the whole or a substantial part of the land in right of an owner’s interest therein and, in relation to land in an agricultural unit, means a person who occupies the whole of that unit and is entitled, while so occupying it, to an owner’s interest in the whole or any part of that land.

(6) In this section “ the prescribed amount ” means the amount for the time being prescribed for the purposes of section 149(3)(a) of the Town and Country Planning Act 1990 (interests qualifying for protection under planning blight provisions) and “ annual value ” and “ hereditament ” have the meanings given in section 171 of that Act taking references to the date of service of a notice under section 150 of that Act as references to the date on which notice of the claim is served.

(7) This section has effect subject to sections 10(4), 11 and 12 below.

(8) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 3 Claims.

(1) A claim under this Part of this Act shall be made by serving on the responsible authority a notice containing particulars of—

(a) the land in respect of which the claim is made;

(b) the claimant’s interest and the date on which, and the manner in which, it was acquired;

(c) the claimant’s occupation of the land (except where the interest qualifies for compensation without occupation);

(d) any other interests in the land so far as known to the claimant;

(e) the public works to which the claim relates;

(f) the amount of compensation claimed;

(g) any land contiguous or adjacent to the land in respect of which the claim is made, being land to which the claimant was entitled in the same capacity (within the meaning of section 6 below) on the relevant date.

(2) Subject to the provisions of this section and of sections 12 and 14 below, no claim shall be made before the expiration of twelve months from the relevant date; and the day next following the expiration of the said twelve months is in this Part of this Act referred to as “ the first claim day ”.

(3) Subsection (2) above shall not preclude the making of a claim in respect of an interest in land before the first claim day if—

(a) the claimant has during the said twelve months made a contract for disposing of that interest or (in so far as the interest is in land which is not a dwelling) for the grant of a tenancy of that land; and

(b) the claim is made before the interest is disposed of or the tenancy is granted;

but compensation shall not be payable before the first claim day on any claim made by virtue of this subsection.

(4) Where notice of a claim has been served on a responsible authority, any person authorised by that authority may, on giving reasonable notice, enter the land to which the claim relates for the purpose of surveying it and ascertaining its value in connection with the claim; and any person who wilfully obstructs a person in the exercise of the powers conferred by this subsection shall be guilty of an offence and liable on summary conviction to a fine not exceeding level 1 on the standard scale .

(5) Where compensation is payable by a responsible authority on a claim there shall be payable by the authority, in addition to the compensation, any reasonable valuation or legal expenses incurred by the claimant for the purposes of the preparation and prosecution of the claim; but this subsection is without prejudice to the powers of the Upper Tribunal in respect of the costs of and incidental to proceedings in the Upper Tribunal by virtue of section 29 of the Tribunals, Courts and Enforcement Act 2007 .

Section 4 Assessment of compensation: general provisions.

(1) The compensations payable on any claim shall be assessed by reference to prices current on the first claim day .

(2) In assessing depreciation due to the physical factors caused by the use of any public works, account shall be taken of the use of those works as it exists on the first claim day and of any intensification that may then be reasonably expected of the use of those works in the state in which they are on that date.

(3) In assessing the extent of the depreciation there shall be taken into account the benefit of any relevant works—

(a) which have been carried out, or in respect of which a grant has been paid, under section 20 below, section 15 of the Airports Authority Act 1965 , section 29A of the Civil Aviation Act 1971 , section 79 of the Civil Aviation Act 1982 or any corresponding local enactment or under any provision of a scheme operated by a person managing an aerodrome which provides for the payment of sound-proofing grants in respect of buildings near the aerodrome ;

(b) which have been carried out under section 23 or 27 below;

and it shall be assumed that any relevant works which could be or could have been carried out, or in respect of which a grant could be or could have been paid, under any of the provisions mentioned in paragraph (a) above have been carried out but, in a case where the authority having functions under that provision have a discretion whether or not to carry out the works or pay the grant, only if they have undertaken to do so.

In paragraph (a) above “ sound-proofing grants ”, in relation to any buildings, means grants towards the cost of insulating those buildings or parts of those buildings against noise.

(4) The value of the interest in respect of which the claim is made shall be assessed—

(a) subject to subsection (5) below, by reference to the nature of the interest and the condition of the land as it subsisted on the date of service of notice of the claim;

(b) subject to section 5 below, in accordance with rules (2) to (4) of the rules set out in section 5 of the Land Compensation Act 1961;

(c) if the interest is subject to a mortgage or to a contract of sale or to a contract made after the relevant date for the grant of a tenancy, as if it were not subject to the mortgage or contract.

(5) In assessing the value of the interest in respect of which the claim is made there shall be left out of account any part of that value which is attributable to—

(a) any building, or improvement or extension of a building, on the land if the building or, as the case may be, the building as improved or extended, was first occupied after the relevant date; and

(b) any change in the use of the land made after that date.

(6) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 5 Assessment of compensation: assumptions as to planning permission.

(1) The following assumptions shall be made in assessing the value of the interest in respect of which the claim is made.

(2) Subject to subsection (3) below, it shall be assumed that, in respect of the land in which the interest subsists (“the relevant land”) or any part of it, planning permission would be granted—

(a) subject to the condition set out in Schedule 10 to the Town and Country Planning Act 1990, for any development of a class specified in paragraph 1 of Schedule 3 to that Act; and

(b) for any development of a class specified in paragraph 2 of Schedule 3 to that Act.

(3) Notwithstanding subsection (2) above—

(a) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(b) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(c) where an order has been made under section 102 of or paragraph 1 of Schedule 9 to the said Act of 1990 , in respect of the relevant land or any part thereof, requiring the removal of any building or the discontinuance of any use, and compensation has become payable in respect of that order under section 115 of that Act, it shall not by virtue of the said subsection (2) be assumed that planning permission would be granted, in respect of the relevant land or any part thereof, as the case may be, for the rebuilding of that building or the resumption of that use.

(4) It shall be assumed that planning permission would not be granted in respect of the relevant land or any part thereof for any development other than such development as is mentioned in subsection (2) above; and, if planning permission has been granted in respect of the relevant land or any part thereof for such other development, it shall be assumed that the planning permission has not been granted in so far as it relates to development that has not been carried out.

(5) In this section any expression which is also used in the said Act of 1990 has the same meaning as in that Act and references to any provision of that Act include references to any corresponding provision previously in force.

(6) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 6 Reduction of compensation where land is benefited.

(1) The compensation payable on a claim shall be reduced by an amount equal to any increase in the value of—

(a) the claimant’s interest in the land in respect of which the claim is made; and

(b) any interest in other land contiguous or adjacent to the land mentioned in paragraph (a) above to which the claimant was entitled in the same capacity on the relevant date,

which is attributable to the existence of or the use or prospective use of the public works to which the claim relates.

(2) Sections 4 and 5 above shall not apply to the assessment, for the purposes of subsection (1) above, of the value of the interest mentioned in paragraph (a) of that subsection.

(3) Where, for the purpose of assessing compensation on a claim in respect of any interest in land, an increase in the value of an interest in other land has been taken into account under subsection (1) above, then, in connection with any subsequent acquisition to which this subsection applies, that increase shall not be left out of account by virtue of section 6A of the Land Compensation Act 1961 or taken into account by virtue of section 6B of that Act or any corresponding enactment, in so far as it was taken into account in connection with that claim.

(4) Subsection (3) above applies to any subsequent acquisition, not being an acquisition of the land in respect of which the claim is made, where either—

(a) the interest acquired by the subsequent acquisition is the same as the interest previously taken into account (whether the acquisition extends to the whole of the land in which that interest previously subsisted or only to part of that land); or

(b) the person entitled to the interest acquired is, or directly or indirectly derives title to that interest from, the person who at the time of the claim mentioned in that subsection was entitled to the interest previously taken into account;

and in this subsection “ the interest previously taken into account ” means the interest the increased value of which was taken into account as mentioned in the said subsection (3).

(5) For the purposes of this section a person entitled to two interests in land shall be taken to be entitled to them in the same capacity if, but only if, he is entitled—

(a) to both of them beneficially; or

(b) to both of them as trustee of one particular trust; or

(c) to both of them as personal representative of one particular person;

and in this section references to a person deriving title from another person include references to any successor in title of that other person.

(6) In subsection (3) above “ corresponding enactment ” has the same meaning as in section 8 of the said Act of 1961.

(7) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 7 Exclusion of minimal compensation.

Compensation shall not be payable on any claim unless the amount of the compensation exceeds £50.

Section 8 Other restrictions on compensation.

(1) Where a claim has been made in respect of depreciation of the value of an interest in land caused by the use of any public works and compensation has been paid or is payable on that claim, compensation shall not be payable on any subsequent claim in relation to the same works and the same land or any part thereof (whether in respect of the same or a different interest) except that, in the case of land which is a dwelling, this subsection shall not preclude the payment of compensation both on a claim in respect of the fee simple and on a claim in respect of a tenancy.

(2) Where a person is entitled to compensation in respect of the acquisition of an interest in land by an authority possessing compulsory purchase powers, or would be so entitled if the acquisition were compulsory, and—

(a) the land is acquired for the purposes of any public works; and

(b) that person retains land which, in relation to the land acquired, constitutes other land or lands within the meaning of section 63 of the Lands Clauses Consolidation Act 1845 or section 7 of the Compulsory Purchase Act 1965 (compensation for acquisition to include compensation for injurious affection of other land retained).

then, whether or not any sum is paid or payable in respect of injurious affection of the land retained, compensation shall not be payable under this Part of this Act on any claim in relation to those works made after the date of service of the notice to treat (or, if the acquisition is by agreement, the date of the agreement) in respect of any interest in the land retained.

(3) Subsection (2) above applies whether the acquisition is before, on or after the date on which this Part of this Act comes into force (hereafter referred to as “ the commencement date ”) and, where it is on or after that date, the public works for the purposes of which the land is acquired shall be taken to be those specified in the relevant particulars registered under subsection (4) below.

(4) Where on or after the commencement date an authority possessing compulsory purchase powers acquires land for the purposes of any public works and the person from whom the land is acquired retains land which, in relation to the land acquired, constitutes other land or lands within the meaning of the sections mentioned in subsection (2) above, the authority shall deposit particulars of the land retained and the nature and extent of those works with the council of the district or London borough or Welsh county or county borough in which the land retained is situated;. . .

(4A) Any particulars deposited pursuant to subsection (4) above shall be a local land charge and for the purpose of the Local Land Charges Act 1975 the council with whom any such particulars are deposited shall be treated as the originating authority as respects the charge thereby constituted.

(5) In a case in which compensation for injurious affection fell or falls to be assessed otherwise than in accordance with section 44 below, subsection (2) above shall not preclude the payment of compensation under this Part of this Act in respect of depreciation by public works so far as situated elsewhere than on the land acquired.

(6) Where after a claim has been made in respect of any interest in land the whole or part of the land in which that interest subsists is compulsorily acquired, then, if—

(a) the value of that land has been diminished by the public works to which the claim relates; but

(b) the compensation in respect of the compulsory acquisition falls to be assessed without regard to the diminution,

the compensation in respect of the acquisition shall be reduced by an amount equal to the compensation paid or payable on the claim or, if the acquisition extends only to part of the land, to so much of the last-mentioned compensation as is attributable to that part.

(7) Without prejudice to the foregoing provisions of this section, compensation shall not be payable in respect of the same depreciation both under this Part of this Act and under any other enactment.

(8) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 9 Alterations to public works and changes of use.

(1) This section has effect where, whether before, on or after the commencement date—

(a) the carriageway of a highway has been altered after the highway has been open to public traffic;

(b) any public works other than a highway have been reconstructed, extended or otherwise altered after they have been first used; or

(c) there has been a change of use in respect of any public works other than a highway or aerodrome.

(2) If and so far as a claim in respect of the highway or other public works relates to depreciation that would not have been caused but for the alterations or change of use, this Part of this Act shall, subject to subsection (3) below, have effect in relation to the claim as if the relevant date (instead of being the date specified in section 1(9) above) were—

(a) the date on which the highway was first open to public traffic after completion of the alterations to the carriageway;

(b) the date on which the other public works were first used after completion of the alterations; or

(c) the date of the change of use,

as the case may be.

(3) Subsection (2) above shall not by virtue of any alterations to an aerodrome apply to a claim in respect of physical factors caused by aircraft unless the alterations are runway or apron alterations.

(4) Where a claim relates to such depreciation as is mentioned in subsection (2) above the notice of claim shall specify, in addition to the matters mentioned in section 3 above, the alterations or change of use alleged to give rise to the depreciation; and if and so far as the claim relates to such depreciation—

(a) section 6 above shall have effect as if the increase in value to be taken into account were any increase that would not have been caused but for the alterations or change of use in question;

(b) subsection (1) of section 8 above shall not preclude the payment of compensation unless the previous claim was in respect of depreciation that would not have been caused but for the same alterations or change of use, and subsection (2) of that section shall not preclude the payment of compensation unless the works for which the land was acquired were works resulting from the alterations, or works used for the purpose, to which the claim relates.

(5) For the purposes of this section the carriageway of a highway is altered if, and only if—

(a) the location, width or level of the carriageway is altered (otherwise than by re-surfacing); or

(b) an additional carriageway is provided for the highway beside, above or below an existing one;

and the reference in subsection (2) above to depreciation that would not have been caused but for alterations to the carriageway of a highway is a reference to such depreciation by physical factors which are caused by the use of, and the source of which is situated on, the length of carriageway which has been altered as mentioned in paragraph (a) above or, as the case may be, the additional carriageway and the corresponding length of the existing one mentioned in paragraph (b) above.

(6) In this section “ runway or apron alterations ” means—

(a) the construction of a new runway, the major re-alignment of an existing runway or the extension or strengthening of an existing runway; or

(b) a substantial addition to, or alteration of, a taxiway or apron, being an addition or alteration whose purpose or main purpose is the provision of facilities for a greater number of aircraft.

(7) For the avoidance of doubt it is hereby declared that references in this section to a change of use do not include references to the intensification of an existing use.

Section 10 Mortgages, trusts of land and settlements.

(1) Where an interest is subject to a mortgage—

(a) a claim may be made by any mortgagee of the interest as if he were the person entitled to that interest but without prejudice to the making of a claim by that person;

(b) no compensation shall be payable in respect of the interest of the mortgagee (as distinct from the interest which is subject to the mortgage);

(c) any compensation which is payable in respect of the interest which is subject to the mortgage shall be paid to the mortgagee or, if there is more than one mortgagee, to the first mortgagee and shall in either case be applied by him as if it were proceeds of sale.

(2) Where the interest is subject to a trust of land the compensation shall be dealt with as if it were proceeds of sale arising under the trust.

(3) Where the interest is settled land for the purposes of the Settled Land Act 1925 the compensation shall be treated as capital money arising under that Act.

(4) Where an interest in land is vested in trustees (other than a sole tenant for life within the meaning of the Settled Land Act 1925) and a person beneficially entitled (whether directly or derivatively) under the trusts is entitled or permitted by reason of his interest to occupy the land, section 2 above shall have effect as if occupation by that person were occupation by the trustees in right of the interest vested in them.

(5) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 11 Interests acquired by inheritance.

(1) So much of section 2(1) above as requires an interest qualifying for compensation under this Part of this Act to have been acquired by the claimant before the relevant date shall not apply to any interest acquired by him by inheritance from a person who acquired that interest, or a greater interest out of which it is derived, before the relevant date.

(2) For the purposes of this section an interest is acquired by a person by inheritance if it devolves on him by virtue only of testamentary dispositions taking effect on, or the law of intestate succession or the right of survivorship between joint tenants as applied to, the death of another person or the successive deaths or two or more other persons.

(3) For the purposes of subsection (2) above a person who acquires an interest by appropriation of it in or towards satisfaction of any legacy, share in residue or other share in the estate of a deceased person shall be treated as a person on whom the interest devolves by direct bequest.

(4) Where an interest is settled land for the purposes of the Settled Land Act 1925 and on the death of a tenant for life within the meaning of that Act a person becomes entitled to the interest in accordance with the settlement, or by any appropriation by the personal representatives in respect of the settled land, subsection (2) above shall apply as if the interest had belonged to the tenant for life absolutely and the trusts of the settlement taking effect after his death had been trusts of his will.

(5) Subsection (4) above shall apply, with any necessary modifications, where a person becomes entitled to an interest on the termination of a settlement as it would apply if he had become entitled in accordance with the terms of the settlement.

(6) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 12 Tenants entitled to enfranchisement or extension under Leasehold Reform Act 1967.

(1) This section has effect where a person is entitled under Part I of the Leasehold Reform Act 1967 to acquire the freehold or an extended lease of a house by virtue of any tenancy (“the qualifying tenancy”) and—

(a) has on or before the relevant date given notice under that Act to the landlord of his desire to have the freehold or an extended lease; and

(b) has not acquired the freehold or an extended lease before that date.

(2) The qualifying tenancy shall be treated as an owner’s interest as defined in section 2(4) above whether or not the unexpired term on the date of service of the notice of claim is of the length there specified.

(3) If no claim is made in respect of the qualifying tenancy before the claimant has ceased to be entitled to it by reason of his acquisition of the freehold or an extended lease he may make a claim in respect of the qualifying tenancy as if he were still entitled to it.

(4) No claim shall be made by virtue of subsection (3) above after the claimant has ceased to be entitled to the freehold or extended lease but such a claim may be made before the first claim day if it is made before the claimant has disposed of the freehold or extended lease and after he has made a contract for disposing of it.

(5) Compensation shall not be payable before the first claim day on any claim made by virtue of subsection (4) above.

(6) Any notice of a claim made by virtue of this section shall contain, in addition to the matters mentioned in section 3 above, a statement that it is made in respect of a qualifying tenancy as defined in this section and, if made by virtue of subsection (3) or (4) above, sufficient particulars to show that it falls within that subsection.

(7) In relation to a claim made by virtue of subsection (3) above section 4(4)(a) above shall have effect as if the reference to the date of service of notice of the claim were a reference to the relevant date.

Section 12A Tenants participating in collective enfranchisement, or entitled to individual lease extension, under Part I of Leasehold Reform, Housing and Urban Development Act 1993.

(1) A tenancy to which subsection (2) or (3) below applies (“ a qualifying tenancy ”) shall be treated as an owner’s interest as defined in section 2(4) above whether or not the unexpired term on the date of service of the notice of claim is of the length there specified.

(2) This subsection applies to a tenancy if the tenant, on the relevant date—

(a) is in respect of the tenancy a qualifying tenant for the purposes of Chapter I of Part I of the 1993 Act (collective enfranchisement); and

(b) by virtue of the tenancy, either—

(i) is a participating tenant in relation to a claim to exercise the right to collective enfranchisement under that Chapter; or

(ii) is one of the participating tenants on whose behalf the acquisition by the nominee purchaser has been made in pursuance of such a claim.

(3) This subsection applies to a tenancy if the tenant, on the relevant date and in respect of the tenancy, is a qualifying tenant for the purposes of Chapter II of Part I of the 1993 Act (individual right to acquire new lease) who—

(a) has on or before that date given notice under section 42 of that Act (notice by qualifying tenant of claim to exercise right); and

(b) has not acquired a new lease before that date.

(4) If no claim is made in respect of a qualifying tenancy before the claimant has ceased to be entitled to it in consequence of a lease being granted to him by the nominee purchaser or, as the case may be, under Chapter II of Part I of the 1993 Act, the claimant may make a claim in respect of the qualifying tenancy as if he were still entitled to it.

(5) No claim shall be made by virtue of subsection (4) above after the claimant has ceased to be entitled to the lease referred to in that subsection, but such a claim may be made before the first claim day if it is made before the claimant has disposed of that lease and after he has made a contract for disposing of it.

(6) Compensation shall not be payable before the first claim day on any claim made by virtue of subsection (5) above.

(7) Any notice of a claim made by virtue of this section shall contain, in addition to the matters mentioned in section 3 above, a statement that it is made in respect of a qualifying tenancy as defined in this section and, if made by virtue of subsection (4) or (5) above, sufficient particulars to show that it falls within that subsection.

(8) In relation to a claim made by virtue of subsection (4) above, section 4(4)(a) above shall have effect as if the reference to the date of service of notice of the claim were a reference to the relevant date.

(9) In this section—

(a) “ the 1993 Act ” means the Leasehold Reform, Housing and Urban Development Act 1993; and

(b) “ participating tenant ”, “ nominee purchaser ” and “ the acquisition by the nominee purchaser ” shall be construed in accordance with sections 14, 15 and 38(2) of that Act respectively.

Section 13 Ecclesiastical property.

(1) Any compensation payable under this Part of this Act in respect of land which is ecclesiastical property shall be paid

(a) in the case of land which is not diocesan glebe land, to the Church Commissioners; and

(b) in the case of diocesan glebe land, to the Diocesan Board of Finance in which the land is vested,

to the Diocesan Board of Finance for the diocese in which the land is situated and (in either case) shall be applied for the purposes for which the proceeds of a sale by agreement of the land would be applicable under any enactment or Measure authorising, or disposing of the proceeds of, such a sale.

(2) In this section “ ecclesiastical property ” means land belonging to an ecclesiastical benefice of the Church of England, or being or forming part of a church subject to the jurisdiction of a bishop of any diocese of the Church of England or the site of such a church, or being or forming part of a burial ground subject to such jurisdiction or being diocesan glebe land; and “ Diocesan Board of Finance ” and “ diocesan glebe land ” have the same meaning as in the Endowments and Glebe Measure 1976 .

Section 15 Information for ascertaining relevant date.

(1) The responsible authority in relation to a highway or other public works shall keep a record and, on demand, furnish a statement in writing of—

(a) the date on which the highway was first open to public traffic, or was first open to public traffic after completion of any particular alterations to the carriageway of the highway;

(b) the date on which the public works were first used after completion, or were first used after completion of any particular alterations to those works;

(c) in the case of public works other than a highway or aerodrome, the date on which there was a change of use in respect of the public works.

(2) A certificate by the Secretary of State stating that runway or apron alterations have or have not been carried out at an aerodrome and the date on which an aerodrome at which any such alterations have been carried out was first used after completion of the alterations shall be conclusive evidence of the facts stated.

(3) In this section references to alterations to the carriageway of a highway, to runway or apron alterations and to a change of use shall be construed in the same way as in section 9 above; and subsection (1) above shall not apply unless the date in question falls on or after the commencement date.

Section 16 Disputes.

(1) Any question of disputed compensation under this Part of this Act shall be referred to and determined by the Upper Tribunal

(2) No such question arising out of a claim made before the first claim day shall be referred to The Tribunal before that day .

Section 17 Action for nuisance following unsuccessful claim where responsible authority have disclaimed statutory immunity.

Where, in resisting a claim under this Part of this Act, a responsible authority contend that no enactment relating to the works in question confers immunity from actions for nuisance in respect of the use to which the claim relates, then if—

(a) compensation is not paid on the claim; and

(b) an action for nuisance in respect of the matters which were the subject of the claim is subsequently brought by the claimant against the authority,

no enactment relating to those works, being an enactment in force when the contention was made, shall afford a defence to that action in so far as it relates to those matters.

Section 18 Interest on compensation.

(1) Compensation under this Part of this Act shall carry interest, at the rate for the time being prescribed under section 32 of the Land Compensation Act 1961, from—

(a) the date of service of the notice of claim; or

(b) if that date is before the first claim day , from the first claim day ,

until payment.

(2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 19 Interpretation of Part I.

(1) In this Part of this Act—

“ the appropriate highway authority ” means—

(a) except where paragraph (b) below applies, the highway authority who constructed the highway to which the claim relates or any other authority to which the functions of that authority in relation to that highway are transferred by virtue of the Local Government Act 1985 or the Local Government (Wales) Act 1994 ;

(b) if and so far as the claim relates to depreciation that would not have been caused but for alterations to the carriageway of a highway, the highway authority who carried out the alterations or any other authority to which the functions of that authority in relation to that highway are transferred by virtue of either of those Acts ;

“ claim ” means a claim under this Part of this Act and “ the claimant ” means the person making such a claim;

. . .

“ commencement date ” means the date on which this Part of this Act comes into force;

“ the first claim day ” has the meaning given in section 3(2) above;

“ highway ” includes part of a highway and,. . . , means a highway or part of a highway maintainable at the public expense as defined in section 329(1) of the Highways Act 1980

. . .

“ public works ” and “ responsible authority ” have the meaning given in section 1 above;

“ the relevant date ” has the meaning given in sections 1(9) and 9(2) above.

(2) For the purposes of sections 2(1), 11(1) and 14(2) above an interest acquired or disposed of, or a tenancy granted, pursuant to a contract shall be treated as acquired, disposed of or granted when the contract was made.

(2A) For the purposes of the Limitation Act 1939, a person’s right of action to recover compensation under this Part of this Act shall be deemed to have accrued on the first claim day.

(3) In the application of this Part of this Act to a highway which has not always since 17th October 1969 been a highway maintainable at the public expense as defined above—

(a) references to its being open to public traffic shall be construed as references to its being so open whether or not as a highway so maintainable;

(b) for references to the highway authority who constructed it there shall be substituted references to the highway authority for the highway;

and no claim shall be made if the relevant date falls at a time when the highway was not so maintainable and the highway does not become so maintainable within three years of that date. . .

(4) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 20 Soundproofing of buildings affected by public works.

(1) The Secretary of State may make regulations imposing a duty or conferring a power on responsible authorities to insulate buildings against noise caused or expected to be caused by the construction or use of public works or to make grants in respect of the cost of such insulation.

(2) Regulations under this section may—

(a) make provision as to the level of noise giving rise to a duty or power under the regulations and the area in which a building must be situated if a duty or power is to arise in respect of it;

(b) specify the classes of public works and of buildings in respect of which a duty or power is to arise, and the classes of persons entitled to make claims, under the regulations;

(c) specify the nature and extent of the work which is to be undertaken under the regulations and the expenditure in respect of which and the rate at which grants are to be made under the regulations;

(d) make the carrying out of work or the making of grants under the regulations dependent upon compliance with conditions;

(e) make provision as to the funds out of which expenses incurred by responsible authorities under the regulations are to be defrayed;

(f) make provision for the settlement of disputes arising under the regulations.

(3) Without prejudice to the generality of paragraph (a) of subsection (2) above, regulations made by virtue of that paragraph may provide for the relevant level of noise or the relevant area in a particular case to be determined by reference to a document published by or on behalf of the Secretary of State or by any other authority or body or in such other manner as may be provided in the regulations.

(4) If regulations under this section impose a duty or confer a power to carry out, or make a grant in respect of the cost of, work in respect of a building which is subject to a tenancy on a claim in that behalf made by the landlord or the tenant, provision may also be made by the regulations for enabling the work to be carried out notwithstanding the withholding of consent by the other party to the tenancy.

(5) Regulations under this section may authorise or require local authorities to act as agents for responsible authorities in dealing with claims and in discharging or exercising the duties or powers of responsible authorities under the regulations, and may provide for the making by responsible authorities of payments to local authorities in respect of anything done by them as such agents.

(6) Regulations under this section may authorise the council of a London borough to contribute towards expenses incurred under the regulations by a responsible authority in respect of the insulation of buildings against noise caused or expected to be caused by the use of any highway in that borough in relation to which an order has been made under section 6 of the Road Traffic Regulation Act 1967 or section 6 of the Road Traffic Regulation Act 1984 (traffic regulation orders in Greater London).

(7) Regulations under this section may contain such supplementary provisions as appear to the Secretary of State to be necessary or expedient and may make different provision with respect to different areas or different circumstances.

(8) The power to make regulations under this section shall be exercisable by statutory instrument.

(9) A draft of any regulations under this section shall be laid before Parliament and the first regulations shall not be made unless the draft has been approved by a resolution of each House of Parliament.

(10) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(11) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(12) In this section “ public works ” and “ responsible authority ” have the same meaning as in section 1 above except that “ public works ” does not include an aerodrome and except that “ responsible authority ”, in relation to a highway, includes any authority having power to make an order in respect of that highway under section 1 or 6 of the Road Traffic Regulation Act 1984 (traffic regulation orders).

Section 20A Power to make payments in respect of caravans and other structures affected by noise of public works.

(1) The Secretary of State may make regulations empowering responsible authorities to make a payment, not exceeding an amount specified in the regulations, in respect of any dwelling which—

(a) is not a building;

(b) is occupied by a person as his only or main residence; and

(c) is affected or likely to be affected by noise caused by the construction or use of public works.

(2) Regulations under this section may—

(a) make provision as to the level of noise giving rise to a power under the regulations and the area in which a dwelling must be situated if a power is to arise in respect of it;

(b) specify the classes of public works and of dwellings in respect of which a power is to arise, and the classes of persons entitled to make claims, under the regulations; and

(c) make provision as to the funds out of which expenses incurred by responsible authorities under the regulations are to be defrayed.

(3) The power to make regulations under this section shall be exercisable by statutory instrument which shall be subject to annulment in pursuance of a resolution of either House of Parliament.

(4) Subsections (3), (7) and (12) of section 20 above apply for the purposes of this section as they apply for the purposes of that.

Section 26 Acquisition of land in connection with public works.

(1) Subject to the provisions of this section, a responsible authority may acquire land by agreement for the purpose of mitigating any adverse effect which the existence or use of any public works has or will have on the surroundings of the works.

(2) Subject to the provisions of this section, a responsible authority may acquire by agreement—

(a) land the enjoyment of which is seriously affected by the carrying out of works by the authority for the construction or alteration of any public works;

(b) land the enjoyment of which is seriously affected by the use of any public works,

if the interest of the vendor is a qualifying interest .

(2A) Where the responsible authority—

(a) propose to carry out works on blighted land for the construction or alteration of any public works, and

(b) are, in relation to the land, the appropriate authority,

they may, subject to the provisions of this section, acquire by agreement land the enjoyment of which will in their opinion be seriously affected by the carrying out of the works or the use of the public works if the interest of the vendor is a qualifying interest.

(2B) In this section—

“ qualifying interest ” has the meaning given in section 149(2) of the Town and Country Planning Act 1990, taking references to the relevant date as references to the date on which the purchase agreement is made, and

“ appropriate authority ” and “ blighted land ” have the meanings given respectively in sections 169(1) and 149(1) of that Act.

(3) The powers conferred by subsection (2)(b) above shall not be exercisable unless the date on which the public works or, as the case may be, the altered public works, are first used falls on or after 17th October 1971 and the powers conferred by subsections (1) and (2)(a) above shall not be exercisable unless that date falls on or after 17th October 1972; and—

(a) if that date falls not later than one year after the passing of this Act—

(i) the powers conferred by subsections (1) and (2)(b) above shall not be exercisable unless the acquisition is begun before the end of one year after the passing of this Act or one year after that date, whichever ends later;

(ii) the powers conferred by subsection (2)(a) above shall not be exercisable unless the acquisition is begun before the end of one year after the passing of this Act;

(b) if that date falls more than one year after the passing of this Act—

(i) the powers mentioned in paragraph (a)(i) above shall not be exercisable unless the acquisition is begun before the end of one year after that date;

(ii) the powers mentioned in paragraph (a)(ii) above shall not be exercisable unless the acquisition is begun before that date.

(4) For the purposes of subsection (3) above the acquisition of any land shall be treated as begun when the agreement for its acquisition is made.

(5) This section applies only where the responsible authority have statutory powers to acquire land (whether compulsorily or by agreement) for the purposes of their functions but would not, apart from this section, have power to acquire land as mentioned in subsections (1) (2) and (2A) above.

(6) In this section “ public works ” and “ responsible authority ” have the same meaning as in section 1 above except that “ public works ” does not include a highway or any works forming part of a statutory undertaking as defined in section 336(1) of the Town and Country Planning Act 1990 .

Section 27 Execution of works etc. in connection with public works.

(1) A responsible authority may carry out—

(a) if they have power to acquire land under section 26 above, on any land acquired by them under that section;

(b) on any other land belonging to them,

works for mitigating any adverse effect which the construction, alteration, existence or use of any public works has or will have on the surroundings of the works.

(2) Without prejudice to the generality of subsection (1) above, the works that may be carried out under that subsection include the planting of trees, shrubs or plants of any other description and the laying out of any area as grassland.

(3) A responsible authority may—

(a) develop or redevelop any land acquired by them under section 26 above, or any other land belonging to them, for the purpose of improving the surroundings of public works in any manner which they think desirable by reason of the construction, alteration, existence or use of the works;

(b) dispose of any land acquired by them under section 26 above.

(4) This section applies only where the responsible authority are a body incorporated by or under any enactment and has effect only for extending the corporate powers of any such authority.

(5) In this section “ public works ” and “ responsible authority ” have the same meaning as in section 1 above except that “ public works ” does not include a highway

Section 28 Power to pay expenses of persons moving temporarily during construction works etc.

(1) This section has effect where works are carried out—

(a) by a highway authority for the construction or improvement of a highway; or

(b) by a responsible authority for the construction or alteration of any public works other than a highway,

and the carrying out of those works affects the enjoyment of a dwelling adjacent to the site on which they are being carried out to such an extent that continued occupation of the dwelling is not reasonably practicable.

(2) Subject to subsection (3) below, the highway authority or responsible authority, as the case may be, may pay any reasonable expenses incurred by the occupier of the dwelling in providing suitable alternative residential accommodation for himself and members of his household for the whole or any part of the period during which the works are being carried out.

(3) No payment shall be made to any person under this section in respect of any expenses except in pursuance of an agreement made between that person and the authority concerned before the expenses are incurred; and no payment shall be so made except in respect of the amount by which the expenses exceed those which that person would have incurred if the dwelling had continued to be occupied.

(4) In this section “ public works ” and “ responsible authority ” have the same meaning as in section 1 above.

(5) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 29 Right to home loss payment where person displaced from dwelling.

(1) Where a person is displaced from a dwelling on any land in consequence of—

(a) the compulsory acquisition of an interest in the dwelling;

(b) the making of a housing order in respect of the dwelling;

(c) where the land has been previously acquired by an authority possessing compulsory purchase powers or appropriated by a local authority and is for the time being held by the authority for the purposes for which it was acquired or appropriated, the carrying out of any improvement to the dwelling or of redevelopment on the land,

(d) the carrying out of any improvement to the dwelling or of redevelopment on the land by a housing association which has previously acquired the land and at the date of the displacement is either a private registered provider of social housing or a registered social landlord within the meaning of the Housing Act 1985 (see section 5(4) and (5) of that Act) ;

(e) the making of an order for possession on ground 10 or 10A in Part II of Schedule 2 to the Housing Act 1985;

(f) the making of an order for possession of a dwelling subject to a tenancy which is a secure contract on ground A or ground B of the Estate Management Grounds in Part 1 of Schedule 8 to the Renting Homes (Wales) Act 2016 (anaw 1),

he shall, subject to the provisions of this section and sections 32 and 32A below, be entitled to receive a payment (hereafter referred to as a “home loss payment”) from

(i) where paragraph (a) above applies, the acquiring authority;

(ii) where paragraph (b) above applies, the authority who made the housing order;

(iii) where paragraph (c) above applies, the authority carrying out the improvement or redevelopment; ...

(iv) where paragraph (d) above applies, the housing association carrying out the improvement or redevelopment and

(v) where paragraph ( e ) or (f) above applies, the landlord.

(2) A person shall not be entitled to a home loss payment unless the following conditions have been satisfied throughout the period of one year ending with the date of displacement—

(a) he has been in occupation of the dwelling, or a substantial part of it, as his only or main residence; and

(b) he has been in such occupation by virtue of an interest or right to which this section applies,

but, if those conditions are satisfied on the date of displacement, a payment (referred to in this section and sections 32 and 33 below as a “ discretionary payment ”) may be made to him of an amount not exceeding the amount to which he would have been entitled if he had satisfied those conditions throughout that period.

(3) For the purposes of this section a person shall not be treated as displaced from a dwelling in consequence of the compulsory acquisition of an interest therein if he gives up his occupation thereof before the date on which the acquiring authority were authorised to acquire that interest, but, subject to that, it shall not be necessary for the acquiring authority to have required him to give up his occupation of the dwelling.

(3A) For the purposes of this section a person shall not be treated as displaced from a dwelling in consequence of the carrying out of any improvement to the dwelling unless he is permanently displaced from it in consequence of the carrying out of that improvement.

(3B) For the purposes of this section a person must not be treated as displaced from a dwelling in consequence only of the compulsory acquisition of part of a garden or yard or of an outhouse or appurtenance belonging to or usually enjoyed with the building which is occupied or is intended to be occupied as the dwelling.

(4) This section applies to the following interests and rights—

(a) any interest in the dwelling;

(b) a right to occupy the dwelling—

(i) as a statutory tenant within the meaning of theRent (Agriculture) Act 1976 or the Rent Act 1977, or

(ii) under a contract to which section 19 of the Rent Act 1977 (restricted contracts) applies or would apply if the contract or dwelling were not excluded by section 19(3) to (5) or 144 of that Act

(c) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(d) a right to occupy the dwelling under a contract of employment.

(e) a right to occupy the dwelling under a licence where—

(i) it is a right to occupy as a protected occupier within the meaning of the Rent (Agriculture) Act 1976,

(ii) Part IV of the Housing Act 1985 (secure tenancies) applies to the licence, ...

(iii) the licence is an assured agricultural occupancy within the meaning of Part I of the Housing Act 1988 , or

(iv) Chapter 1 of Part V of the Housing Act 1996 (introductory tenancies) applies to the licence,

(v) the licence is a secure contract, or

(vi) the licence is an introductory standard contract.

(5) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(6) Where an authority possessing compulsory purchase powers acquire the interest of any person in a dwelling by agreement, then, in relation to any other person who is displaced from the dwelling in consequence of the acquisition, subsections (1) to (4) above shall have effect as if the acquisition were compulsory and the authority (if not authorised to acquire the interest compulsorily) had been so authorised on the date of the agreement.

(7) In this section “ a housing order ” means—

(a) a prohibition order under section 20 or 21 of the Housing Act 2004, or

(b) a demolition order under section 265 of the Housing Act 1985.

(7A) In this section—

“ improvement ” includes alteration and enlargement; and

“ redevelopment ” includes a change of use.

(8) Where an interest in a dwelling is vested in trustees (other than a sole tenant for life within the meaning of the Settled Land Act 1925) and a person beneficially entitled (whether directly or derivatively) under the trusts is entitled or permitted by reason of his interest to occupy the dwelling, he shall be treated for the purposes of this section as occupying it by virtue of an interest in the dwelling.

. . .

(9) This section applies if the date of displacement is on or after 17th October 1972.

Section 29A Spouses and civil partners having statutory rights of occupation.

(1) This section applies where, by reason of the entitlement of one spouse or civil partner (“A”) to occupy a dwelling by virtue of an interest or right to which section 29 above applies, the other spouse or civil partner (“B”) acquires home rights (within the meaning of Part IV of the Family Law Act 1996) .

(2) So long as—

(a) those home rights continue,

(b) B is in occupation of the dwelling and A is not, and

(c) B is not, apart from this section, treated as occupying the dwelling by virtue of an interest or right to which that section applies,

B shall be treated for the purposes of that section as occupying the dwelling by virtue of such an interest (but not an owner’s interest within the meaning of section 30 below).

(3) References in this section to a dwelling include a reference to a substantial part of it.

Section 30 Amount of home loss payment in England and Wales.

(1) In the case of a person who on the date of displacement is occupying, or is treated for the purposes of section 29 above as occupying, the dwelling by virtue of an interest in it which is an owner’s interest, the amount of the home loss payment shall be 10 per cent. of the market value of his interest in the dwelling or, as the case may be, the interest in the dwelling vested in trustees, subject to a maximum of £15,000 and a minimum of £1,500.

(2) In any other case, the amount of the home loss payment shall be £1,500.

(3) For the purposes of this section and section 32 below the market value of an interest in a dwelling—

(a) in a case where the interest is compulsorily acquired, is the amount assessed for the purposes of the acquisition as the value of the interest (and in a case where the compulsory purchase order authorising the acquisition directs that compensation is to be assessed in accordance with section 14A of the Land Compensation Act 1961 (cases where prospect of planning permission to be ignored), the market value is the value assessed in accordance with that section) ; and

(b) in any other case, is the amount which, if the interest were being compulsorily acquired in pursuance of a notice to treat served on the date of displacement, would be assessed for the purposes of the acquisition as the value of the interest,

and any dispute as to the amount referred to in paragraph (b) above shall be determined by the Upper Tribunal .

(4) In determining for the purposes of this section and section 32 below the market value of an interest in a dwelling, the dwelling shall be taken to include any garden, yard, outhouses and appurtenances belonging to or usually enjoyed with that dwelling.

(5) The Secretary of State may from time to time by regulations prescribe a different maximum or minimum for the purposes of subsection (1) above and a different amount for the purposes of subsection (2) above.

(6) The power to make regulations under subsection (5) above shall be exercisable by statutory instrument which shall be subject to annulment in pursuance of a resolution of either House of Parliament.

(7) In this section “ owner’s interest ” means the interest of a person who is an owner as defined in section 7 of the Acquisition of Land Act 1981.

Section 32 Supplementary provisions about home loss payments.

(1) No home loss payment or discretionary payment shall be made except on a claim in writing made by the claimant giving such particulars as the authority responsible for making the payment may reasonably require for the purpose of determining whether the payment should be made and, if so, its amount.

(2) Where a person is entitled to a home loss payment, the payment shall be made on or before the latest of the following dates—

(a) the date of displacement;

(b) the last day of the period of three months beginning with the making of the claim; and

(c) where the amount of the payment is to be determined in accordance with section 30(1) above, the day on which the market value of the interest in question is agreed or finally determined.

(2A) Where the amount of the payment is to be determined in accordance with section 30(1) above—

(a) the acquiring authority may at any time make a payment in advance; and

(b) if, on the later of the dates referred to in subsection (2)(a) and (b) above, the market value of the interest in question has not been agreed or finally determined, the acquiring authority shall make a payment in advance (where they have not already done so).

(2B) The amount of the payment in advance shall be the lesser of—

(a) the maximum amount for the purposes of section 30(1) above,

(b) 10 per cent. of the amount agreed to be the market value of the interest in question or, if there is no such agreement, 10 per cent. of the acquiring authority’s estimate of that amount.

(2C) Where the amount of a payment in advance differs from the amount of the home loss payment, the shortfall or excess shall be paid by or, as the case may be, repaid to the acquiring authority when the market value of the interest in question is agreed or finally determined.

(3) Where the claimant has satisfied, throughout any period, the conditions mentioned in section 29(2) above, that period shall be treated for the purposes of that subsection as including any immediately preceding period throughout which—

(a) he has resided in the dwelling as his only or main residence but without satisfying those conditions, and

(b) another person or other persons have satisfied those conditions,

and references in this subsection and subsection (3A) below to a dwelling include a reference to a substantial part of it.

(3A) Where the claimant has satisfied, throughout any period, the conditions mentioned in section 29(2) above, that period (or that period as extended under subsection (3) above) shall be treated for the purposes of section 29(2) above as including any immediately preceding period, or successive periods, throughout which he satisfied the conditions mentioned in section 29(2) above in relation to another dwelling or, as the case may be, other dwellings (applying subsection (3) above to determine the length of any period or periods).

(4) Where a person (“the deceased”) entitled to a home loss payment dies without having claimed it, a claim to the payment may be made , by any person, not being a minor, who—

(a) throughout a period of not less than one year ending with the date of displacement of the deceased, has resided in the dwelling, or a substantial part of it, as his only or main residence; and

(b) is entitled to benefit by virtue of testamentary dispositions taking effect on, or the law of intestate succession or the right of survivorship between joint tenants as applied to, the death of the deceased.

(5) Where the claimant has successively been in occupation of or resided in different dwellings in the same building, being dwellings consisting of a room or rooms not constructed or structurally adapted for use as a separate dwelling, section 29(2) above and subsections (3) to (4) above shall have effect as if those dwellings were the same dwelling.

(6) Where there are two or more persons entitled to make a claim to a home loss payment in respect of the same dwelling (whether by virtue of joint occupation or of subsection (4) above) the payment to be made on each claim shall be equal to the whole amount of the home loss payment divided by the number of such persons.

(7) Where an interest in a dwelling is acquired by agreement by an authority possessing compulsory purchase powers, the authority may, in connection with the acquisition, make to the person from whom the interest is acquired a payment corresponding to any home loss payment or discretionary payment which they would be required or authorised to make to him if the acquisition were compulsory and the authority had been authorised to acquire that interest before he gave up occupation of the dwelling.

(7A) For the purposes of the Limitation Act 1939 a person’s right of action to recover a home loss payment shall be deemed to have accrued on the date of displacement.

(7B) Where a landlord obtains possession by agreement of a dwelling subject to a secure tenancy within the meaning of Part IV of the Housing Act 1985 and—

(a) notice of proceedings for possession of the dwelling has been served, or might have been served, specifying ground 10 or 10A in Part II of Schedule 2 to that Act, or

(b) the landlord has applied, or could apply, to the Secretary of State or the Regulator of Social Housing . . . for approval for the purposes of ground 10A of a redevelopment scheme including the dwelling, or part of it,

the landlord may make to any person giving up possession or occupation a payment corresponding to any home loss payment or discretionary payment which they would be required or authorised to make to him if an order for possession had been made on either of those grounds.

(7C) Where a landlord obtains possession by agreement of a dwelling in Wales subject to a tenancy which is a secure contract and—

(a) notice of proceedings for possession of the dwelling has been served, or might have been served, specifying ground A or ground B of the estate management grounds in Part 1 of Schedule 8 to the Renting Homes (Wales) Act 2016 (anaw 1), or

(b) the landlord has applied, or could apply, to the Welsh Ministers for approval for the purposes of estate management ground B of a scheme for the disposal and redevelopment of an area of land consisting of or including the whole or part of the dwelling,

the landlord may make to any person giving up possession or occupation a payment corresponding to any home loss payment or discretionary payment which they would be required or authorised to make to that person if an order for possession had been made on either of those grounds.

(8) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(9) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 32A Home loss payments: exclusions

(1) This section applies to a person if—

(a) the person is displaced from a dwelling on land as mentioned in section 29(1)(a) (displacement in consequence of a compulsory acquisition),

(b) a notice falling within subsection (4) has been served on the person in relation to the land,

(c) at the relevant time the notice has effect or is operative, and

(d) the person has failed to comply with any requirement of the notice.

(2) This section also applies to a person if—

(a) the person is displaced from a dwelling on land as mentioned in section 29(1)(a) (displacement in consequence of a compulsory acquisition),

(b) a copy of an order falling within subsection (5) has been served on the person in relation to the land, and

(c) the order has not been quashed on appeal.

(3) No payment may be made under section 29 to a person to whom this section applies.

(4) These are the notices—

(a) a notice under section 215 of the Town and Country Planning Act 1990 (power to require proper maintenance of land);

(b) a notice under section 11 of the Housing Act 2004 (improvement notice relating to category 1 hazard);

(c) a notice under section 12 of that Act (improvement notice relating to category 2 hazard);

(d) a notice under section 48 of the Planning (Listed Buildings and Conservation Areas) Act 1990 or section 138 of the Historic Environment (Wales) Act 2023 (asc 3) (repairs notice prior to notice of compulsory acquisition of listed building).

(5) These are the orders—

(a) an order under section 20 of the Housing Act 2004 (prohibition order relating to category 1 hazard);

(b) an order under section 21 of that Act (prohibition order relating to category 2 hazard);

(c) an order under section 43 of that Act (emergency prohibition orders);

(d) an order under section 265 of the Housing Act 1985 (demolition order relating to category 1 or 2 hazard).

(6) For the purposes of subsection (1)(c), the relevant time is the date on which any of the following occurs—

(a) in the case of a compulsory acquisition which is to be authorised by a compulsory purchase order to which the Acquisition of Land Act 1981 applies—

(i) the compulsory purchase order is confirmed, other than conditionally, under section 13 or 13A of the Acquisition of Land Act 1981;

(ii) the compulsory purchase order is made, other than conditionally, under paragraph 4 or 4A of Schedule 1 to that Act;

(iii) a decision is made under section 13BA(2)(a) of that Act (decision that conditions subject to which order was confirmed have been met);

(iv) a decision is made under paragraph 4AA(2)(a) of Schedule 1 to that Act (decision that conditions subject to which order was made have been met);

(b) in the case of a compulsory acquisition which is to be authorised by any other order, the order is made or confirmed in accordance with the procedures which apply by virtue of the Act under which it is made;

(c) in the case of a compulsory acquisition which does not fall within paragraph (a) or (b) and which is deemed to be authorised following service of a notice by the owner requiring the purchase of their interest, a notice to treat is deemed to have been served;

(d) in the case of a compulsory acquisition which does not fall within paragraph (a), (b) or (c) and which is to be authorised by a special enactment, the enactment is passed.

(7) In subsection (6), references to a compulsory acquisition are to the compulsory acquisition in consequence of which the person is displaced.

(8) The appropriate national authority may by regulations amend subsections (4) and (5).

(9) In this section—

“ appropriate national authority ” means—

the Secretary of State, in relation to England;

the Welsh Ministers, in relation to Wales;

“ special enactment ” means—

a local or private Act which authorises the compulsory acquisition of land specifically identified in that Act, or

a provision which—

is contained in an Act other than a local or private Act, and

authorises the compulsory acquisition of land specifically identified in that Act.

(10) The power to make regulations under subsection (8) must be exercised by statutory instrument subject to annulment in pursuance of a resolution of—

(a) either House of Parliament, in the case of regulations made by the Secretary of State;

(b) Senedd Cymru, in the case of regulations made by the Welsh Ministers.

Section 33 Home loss payments for certain caravan dwellers.

(1) Sections 29 to 32A above shall, so far as applicable, have effect in relation to a person residing in a caravan on a caravan site who is displaced from that site as they have effect in relation to a person displaced from a dwelling on any land but shall so have effect subject to the following modifications.

(2) No home loss payment or discretionary payment shall be made to any person by virtue of this section except where no suitable alternative site for stationing a caravan is available to him on reasonable terms.

(3) Subsection (1) of section 29 above shall have effect as if for the words preceding paragraph (a) there were substituted the words “Where a person residing in a caravan on a caravan site is displaced from that site in consequence of” and subsection (2) of that section shall have effect as if for paragraphs (a) and (b) there were substituted—

(a) he has been in occupation of the caravan site by using a caravan stationed on it as his only or main residence; and

(b) he has been in such occupation of the site by virtue of an interest or right to which this section applies.

(4) Section 30 above shall have effect as if the references to a person occupying a dwelling by virtue of an interest in it and to his interest in the dwelling were to a person occupying a caravan site by virtue of an interest in it and to that interest.

(5) Section 32 above shall have effect—

(a) as if in subsections (3) and (3A) the references to a dwelling were to a caravan site;

(b) as if in subsection (4) for the words “resided in the dwelling, or a substantial part of it” there were substituted the words “resided in a caravan on the caravan site”; and

(c) as if for subsection (5) there were substituted—

(5) Where any land comprises two or more caravan sites and the claimant has successively been in occupation of or resided in a caravan on different caravan sites on that land, section 29(2) above and subsections (3) to (4) above shall have effect as if those sites were the same site.

(6) Sections 29 to 32A above shall have effect as if in any provision not modified as aforesaid for any reference to a dwelling or land there were substituted a reference to a caravan site.

(7) In this section “ caravan site ” means land on which a caravan is stationed for the purpose of human habitation and land which is used in conjunction with land on which a caravan is so stationed.

Section 33A Basic loss payment

(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.

(1A) In a case where the qualifying interest is in land in England, a person to whom this section applies is entitled to payment of whichever is the lower of the following amounts—

(a) 2.5% of the value of the interest;

(b) £25,000.

(2) In a case where the qualifying interest is in land in Wales, 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) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(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 Upper 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 (including in accordance with section 14A of the Land Compensation Act 1961 (cases where prospect of planning permission to be ignored)) ; 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.

Section 33B Occupier’s loss payment: agricultural land

(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).

(1A) In a case where the qualifying interest is in land in England, a person to whom this section applies is entitled to a payment of whichever is the greatest of the following amounts—

(a) 7.5% of the value of the interest;

(b) the land amount;

(c) the buildings amount.

(1B) But the maximum amount which may be paid to a person under subsection (1A) in respect of an interest in land is £75,000.

(2) In a case where the qualifying interest is in land in Wales, 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 subsection (2) 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 (including in accordance with section 14A of the Land Compensation Act 1961 (cases where prospect of planning permission to be ignored)) ; 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.

(7A) In the case of land in England, the land amount is the greater of £900 and the amount found in accordance with the following Table—

£300 per hectare for the first 100 hectares;

£150 per hectare for the next 300 hectares or part of a hectare.

(8) In the case of land in Wales, the land amount is the greater of £300 and the amount found in accordance with the following Table—

(a) £100 per hectare for the first 100 hectares;

(b) £50 per hectare for the next 300 hectares or part of a hectare.

(8A) In the case of land in England, the buildings amount is £75 per square metre (or part of a square metre) of the gross floor space of any buildings on the land.

(9) In the case of land in Wales 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.

Section 33C Occupier’s loss payment: other land

(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).

(1A) In a case where the qualifying interest is in land in England, a person to whom this section applies is entitled to a payment of whichever is the greatest of the following amounts—

(a) 7.5% of the value of the interest;

(b) the land amount;

(c) the buildings amount.

(1B) But the maximum amount which may be paid to a person under subsection (1A) in respect of an interest in land is £75,000.

(2) In a case where the qualifying interest is in land in Wales, 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 subsection (2) 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 (including in accordance with section 14A of the Land Compensation Act 1961 (cases where prospect of planning permission to be ignored)) ; 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.

(7A) In the case of land in England, the land amount is the greater of—

(a) £7,500;

(b) £7.50 per square metre (or part of a square metre) of the area of the land.

(7B) But if only part of land in which a person has an interest is acquired, for the figure specified in subsection (7A)(a) there is substituted £900.

(8) In the case of land in Wales, 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.

(9A) In the case of land in England, the buildings amount is £75 per square metre (or part of a square metre) of the gross internal floor space of any buildings on the land.

(10) In the case of land in Wales, the buildings amount is £25 per square metre (or part of a square metre) of the gross internal floor space of any buildings on the land.

(11) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 33D Loss payments: exclusions

(1) This section applies to a person if—

(a) he is a person to whom section 33A, 33B or 33C applies,

(b) a notice falling within subsection (4) has been served on him in relation to the land mentioned in that section,

(c) at the relevant time the notice has effect or is operative, and

(d) he has failed to comply with any requirement of the notice.

(2) This section also applies to a person if—

(a) he is a person to whom section 33A, 33B or 33C applies,

(b) a copy of an order falling within subsection (5) has been served on him in relation to the land mentioned in that section, and

(c) the order has not been quashed on appeal.

(3) No payment may be made under section 33A, 33B or 33C to a person to whom this section applies.

(4) These are the notices—

(a) notice under section 215 of the Town and Country Planning Act 1990 (power to require proper maintenance of land);

(b) notice under section 11 of the Housing Act 2004 (improvement notice relating to category 1 hazard);

(c) notice under section 12 of that Act (improvement notice relating to category 2 hazard);

(d) notice under section 48 of the Planning (Listed Buildings and Conservation Areas) Act 1990 or section 138 of the Historic Environment (Wales) Act 2023 (repairs notice prior to compulsory notice of acquisition of listed building).

(5) These are the orders—

(a) an order under section 20 of the Housing Act 2004 (prohibition order relating to category 1 hazard);

(b) an order under section 21 of that Act (prohibition order relating to category 2 hazard);

(c) an order under section 43 of that Act (emergency prohibition orders);

(d) an order under section 265 of the Housing Act 1985 (demolition order relating to category 1 or 2 hazard).

(6) For the purposes of subsection (1)(c), the relevant time is the date on which any of the following occurs—

(a) in the case of a compulsory acquisition which is to be authorised by a compulsory purchase order to which the Acquisition of Land Act 1981 applies—

(i) the compulsory purchase order is confirmed, other than conditionally, under section 13 or 13A of the Acquisition of Land Act 1981;

(ii) the compulsory purchase order is made, other than conditionally, under paragraph 4 or 4A of Schedule 1 to that Act;

(iii) a decision is made under section 13BA(2)(a) of that Act (decision that conditions subject to which order was confirmed have been met);

(iv) a decision is made under paragraph 4AA(2)(a) of Schedule 1 to that Act (decision that conditions subject to which order was made have been met);

(b) in the case of a compulsory acquisition which is to be authorised by any other order, the order is made or confirmed in accordance with the procedures which apply by virtue of the Act under which it is made;

(c) in the case of a compulsory acquisition which does not fall within paragraph (a) or (b) and which is deemed to be authorised following service of a notice by the owner requiring the purchase of their interest, a notice to treat is deemed to have been served;

(d) in the case of a compulsory acquisition which does not fall within paragraph (a), (b) or (c) and which is to be authorised by a special enactment, the enactment is passed.

(6A) In subsection (6)—

“ special enactment ” means—

a local or private Act which authorises the compulsory acquisition of land specifically identified in that Act, or

a provision which—

is contained in an Act other than a local or private Act, and

authorises the compulsory acquisition of land specifically identified in that Act;

references to a compulsory acquisition are to the compulsory acquisition of the person’s interest in land.

(7) The Secretary of State may by regulations amend subsections (4) and (5).

Section 33E Claims

(1) This section applies for the purposes of sections 33A to 33C.

(2) A claim for payment must be made in writing to the acquiring authority.

(3) The claim must give such particulars as the authority may reasonably require for the purpose of deciding—

(a) whether a payment is to be made;

(b) the amount of any such payment.

(4) For the purposes of the Limitation Act 1980 a person’s right of action to recover a payment must be taken to have accrued—

(a) in the case of a claim under section 33A on the last day of the period specified in subsection (4) of that section;

(b) in the case of a claim under section 33B or 33C on the date of his displacement from the land.

Section 33F Insolvency

(1) This section applies if a person is entitled to a payment under section 33A, 33B or 33C but before a claim is made under section 33E insolvency proceedings are started in relation to the person.

(2) Any of the following may make a claim instead of the person mentioned in subsection (1)—

(a) a receiver, trustee in bankruptcy or the official receiver in the case of an individual;

(b) an administrator, administrative receiver, liquidator or provisional liquidator or the official receiver in the case of a company or a partnership.

(3) Insolvency proceedings are—

(a) proceedings in bankruptcy;

(b) proceedings under the Insolvency Act 1986 for the winding up of a company or an unregistered company (including voluntary winding up of a company under Part 4 of that Act);

(c) proceedings for the winding up of a partnership.

Section 33G Death

(1) This section applies if a person is entitled to a payment under section 33A, 33B or 33C but before a claim is made under section 33E the person dies (the deceased).

(2) A claim may be made by a person who—

(a) occupied the land for a period of not less than one year ending with the date on which the deceased is displaced from the land, and

(b) is entitled to benefit on the death of the deceased by virtue of a ground mentioned in subsection (3).

(3) The grounds are—

(a) a testamentary disposition;

(b) the law of intestate succession;

(c) the right of survivorship between joint tenants.

Section 33H Agricultural land: dual entitlement

(1) This section applies if a person is entitled in respect of the same interest in agricultural land to a payment both—

(a) under section 33B of this Act, and

(b) by virtue of section 12(1) of the Agriculture (Miscellaneous Provisions) Act 1968 (additional payments in consequence of compulsory acquisition of agricultural holding).

(2) Payment may be made in respect of only one entitlement.

(3) If the person makes a claim under both provisions he must be paid in respect of the entitlement which produces the greater amount.

Section 33I Payment

(1) Any dispute as to the amount of a payment to be made under section 33A, 33B or 33C must be determined by the Upper Tribunal .

(2) The acquiring authority must make any payment required by section 33A not later than whichever is the latest of the following dates—

(a) the last day of the period specified in section 33A(4);

(b) the last day of the period of three months beginning with the day the claim is made;

(c) the day on which the amount of the payment is determined.

(3) The authority must make any payment required by section 33B or 33C not later than whichever is the latest of the following dates—

(a) the date the person is displaced from the land;

(b) the last day of the period of three months beginning with the day the claim is made;

(c) the day on which the amount of the payment is determined.

(4) If paragraph (c) of subsection (2) or (3) applies the authority may at any time make a payment in advance to the person entitled to a payment (the claimant).

(5) If when the value of the interest is agreed or determined the amount of a payment made under subsection (4) differs from the payment required by section 33A, 33B or 33C—

(a) the amount by which the advance payment exceeds the payment required must be repaid by the claimant to the authority;

(b) the amount by which the payment required exceeds the advance payment must be paid by the authority to the claimant.

(6) The acquiring authority must pay interest on the amount required to be paid at the rate prescribed by regulations under section 32 of the Land Compensation Act 1961.

(7) Interest accrues from the date specified in paragraph (a) of subsection (2) or (3) (as the case may be).

(8) The authority may, at the request of the person entitled to the payment, make a payment on account of the interest mentioned in subsection (6).

Section 33J Acquisition by agreement

(1) This section applies if—

(a) an interest in land which is a qualifying interest for the purpose of section 33A is acquired by agreement by an authority which has power to acquire the interest compulsorily, and

(b) the interest is acquired from a person who would be entitled to a payment under section 33A, 33B or 33C if the interest is acquired compulsorily.

(2) The authority may make a payment to the person of an amount equal to the amount they would be required to pay if the interest is acquired compulsorily.

Section 33K Regulations

(1) This section applies for the purposes of sections 33A to 33I.

(2) The Secretary of State may by regulations substitute for any amount or percentage figure specified in these sections such other amount or percentage figure (as the case may be) as he thinks fit.

(3) Except as provided in the following provisions of this section, a power to make regulations must be exercised by statutory instrument subject to annulment in pursuance of a resolution of either House of Parliament.

(4) This subsection applies to regulations under subsection (2) which substitute—

(a) a percentage figure, or

(b) an amount, in a case where the change in value condition is not satisfied.

(5) A statutory instrument containing regulations to which subsection (4) applies must not be made unless a draft of the regulations has been laid before and approved by resolution of each House of Parliament.

(6) The change in value condition is satisfied if the Secretary of State thinks that in the case of the substitution of an amount it is expedient to make the substitution in consequence of changes in the value of money or land.

(7) Regulations under subsection (2) may make different provision for different purposes.

Section 34 Right to farm loss payment where person displaced from agricultural unit.

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 35 Amount of farm loss payment.

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 36 Supplementary provisions about farm loss payments.

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Section 37 Disturbance payments for persons without compensatable interests.

(1) Where a person is displaced from any land in consequence of—

(a) the acquisition of the land by an authority possessing compulsory purchase powers;

(b) the making of a housing order in respect of a house or building on the land;

(c) where the land has been previously acquired by an authority possessing compulsory purchase powers or appropriated by a local authority and is for the time being held by the authority for the purposes for which it was acquired or appropriated, the carrying out of any improvement to a house or building on the land or of redevelopment on the land,

(d) the carrying out of any improvement to a house or building on the land or of re-development on the land by a housing association which has previously acquired the land and at the date of the displacement is either a private registered provider of social housing or a registered social landlord within the meaning of the Housing Act 1985 (see section 5(4) and (5) of that Act) ;

he shall, subject to the provisions of this section, be entitled to receive a payment (hereafter referred to as a “disturbance payment”) from

(i) where paragraph (a) above applies, the acquiring authority;

(ii) where paragraph (b) above applies, the authority who made the housing order;

(iii) where paragraph (c) above applies, the authority carrying out the improvement or redevelopment; and

(iv) where paragraph (d) above applies, the housing association carrying out the improvement or redevelopment.

(2) A person shall not be entitled to a disturbance payment—

(a) in any case, unless he is in lawful possession of the land from which he is displaced;

(b) in a case within subsection (1)(a) above, unless either—

(i) he has no interest in the land for the acquisition or extinguishment of which he is (or if the acquisition or extinguishment were compulsory would be) entitled to compensation under any other enactment; or

(ii) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(c) in a case within subsection (1)(b) above, if he is entitled to a payment under section 584A(1) of the Housing Act 1985 (compensation payable in case of prohibition and demolition orders) .

(d) in a case within subsection (1)(d) above, unless the displacement occurred on or after 31st July 1974 (on which date the Housing Act 1974 was passed).

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(3) For the purposes of subsection (1) above a person shall not be treated as displaced in consequence of any such acquisition improvement or redevelopment as is mentioned in paragraph (a), (c) or (d) of that subsection unless he was in lawful possession of the land—

(a) in the case of land acquired under a compulsory purchase order, at the time when notice was first published of the making of the compulsory purchase order prior to its submission for confirmation or, where the order did not require confirmation, of the preparation of the order in draft;

(b) in the case of land acquired under an Act specifying the land as subject to compulsory acquisition, at the time when the provisions of the Bill for that Act specifying the land were first published;

(c) in the case of land acquired by agreement, at the time when the agreement was made;

and a person shall not be treated as displaced in consequence of a housing order within paragraph (b) of that subsection unless he was in lawful possession as aforesaid at the time when the order was made.

(3A) For the purposes of subsection (1) above a person shall not be treated as displaced in consequence of the carrying out of any improvement to a house or building unless he is permanently displaced in consequence of the carrying out of that improvement.

(4) Where a person is displaced from land in circumstances such that, apart from this subsection, he would be entitled to a disturbance payment from any authority and also to compensation from that authority under section 37 of the Landlord and Tenant Act 1954 (compensation from landlord where order for new tenancy of business premises precluded on certain grounds) he shall be entitled, at his option, to one or the other but not to both.

(5) Where a person is displaced from any land as mentioned in subsection (1) above but is not entitled, as against the authority there mentioned, to a disturbance payment or to compensation for disturbance under any other enactment, the authority may, if they think fit, make a payment to him determined in accordance with section 38(1) to (3) below.

(6) A disturbance payment shall carry interest, at the rate for the time being prescribed under section 32 of the Land Compensation Act 1961. . . , from the date of displacement until payment.

(7) This section does not apply to any land which is used for the purposes of agriculture.

(8) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(9) In this section “a housing order. . . ...” “improvement” and “ redevelopment ” have the same meaning as in section 29 above.

(10) This section applies if the date of displacement is on or after 17th October 1972.

Section 38 Amount of disturbance payment.

(1) The amount of a disturbance payment shall be equal to—

(a) the reasonable expenses of the person entitled to the payment in removing from the land from which he is displaced; and

(b) if he was carrying on a trade or business on that land, the loss he will sustain by reason of the disturbance of that trade or business consequent upon his having to quit the land.

(2) In estimating the loss of any person for the purposes of subsection (1)(b) above, regard shall be had to the period for which the land occupied by him may reasonably have been expected to be available for the purposes of his trade or business and to the availability of other land suitable for that purpose.

This subsection has effect subject to section 46(7) below.

(3) Where the displacement is from a dwelling in respect of which structural modifications have been made for meeting the special needs of a disabled person (whether or not the person entitled to the disturbance payment) then, if—

(a) a local authority in England having functions under Part 1 of the Care Act 2014 or a local authority in Wales having functions under Part 4 of the Social Services and Well-being (Wales) Act 2014 , . . . , provided assistance, or

(b) such an authority would, if an application had been made, have provided assistance,

for making those modifications, the amount of the disturbance payment shall include an amount equal to any reasonable expenses incurred by the person entitled to the payment in making, in respect of a dwelling to which the disabled person removes, comparable modifications which are reasonably required for meeting the disabled person’s special needs.

(4) Any dispute as to the amount of a disturbance payment shall be referred to and determined by the Upper Tribunal . . . .

Section 39 Duty to rehouse residential occupiers.

(1) Where a person is displaced from residential accommodation on any land in consequence of—

(a) the acquisition of the land by an authority possessing compulsory purchase powers;

(b) the making of a housing order in respect of a house or building on the land;

(c) where the land has been previously acquired by an authority possessing compulsory purchase powers or appropriated by a local authority and is for the time being held by the authority for the purposes for which it was acquired or appropriated, the carrying out of any improvement to a house or building on the land or of redevelopment on the land,

(d) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

and suitable alternative residential accommodation on reasonable terms is not otherwise available to that person, then, subject to the provisions of this section, it shall be the duty of the relevant authority to secure that he will be provided with such other accommodation.

(2) Subsection (1) above shall not by virtue of paragraph (a) thereof apply to a person if the acquisition is in pursuance of the service by him of a blight notice within the meaning of section 149 of the Town and Country Planning Act 1990 . . .

(3) Subsection (1) above shall not apply to any person who is a trespasser on the land or who has been permitted to reside in any house or building on the land pending its demolition or improvement .

(4) Subsection (1) above shall not apply to any person to whom money has been advanced—

(a) under section 41 below;

(b) under the Small Dwellings Acquisition Acts 1899 to 1923 or section 43 of the Housing (Financial Provisions) Act 1958 or section 435 of the Housing Act 1985 ;

(c) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(d) by a development corporation or the new towns residuary body otherwise than under section 41 below,

(f) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

for the purpose of enabling him to obtain accommodation in substitution for that from which he is displaced as mentioned in that subsection.

(5) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(6) For the purposes of subsection (1) above a person shall not be treated as displaced in consequence of any such acquisition improvement or redevelopment as is mentioned in paragraph (a) or (c) of that subsection unless he was residing in the accommodation in question—

(a) in the case of land acquired under a compulsory purchase order, at the time when notice was first published of the making of the order prior to its submission for confirmation or, where the order did not require confirmation, of the preparation of the order in draft;

(b) in the case of land acquired under an Act specifying the land as subject to compulsory acquisition, at the time when the provisions of the Bill for the Act specifying the land were first published;

(c) in the case of land acquired by agreement, at the time when the agreement was made;

and a person shall not be treated as displaced in consequence of a housing order within paragraph (b) of that subsection unless he was residing in the accommodation in question at the time when the order was made.

(6A) For the purposes of subsection (1) above a person shall not be treated as displaced in consequence of the carrying out of any improvement to a house or building unless he is permanently displaced from the residential accommodation in question in consequence of the carrying out of that improvement.

(7) Subject to subsection (8) below, the ’relevant authority’ for the purpose of this section is the local housing authority within the meaning of the Housing Act 1985.

(8) Where the land is in an area designated as the site of a new town—

(a) paragraph (c) of subsection (1) above shall apply if the land on which the redevelopment is carried out has been previously acquired by the development corporation and is for the time being held either by that corporation or by the new towns residuary body ;

(b) if the authority by whom the land is acquired or redeveloped is the development corporation, that corporation shall, in a case falling within paragraph (a) or (c) of that subsection, be the relevant authority for the purposes of this section;

(c) if the authority by whom the land is redeveloped is the new towns residuary body, that body shall, in a case falling within paragraph (c) of that subsection, be the relevant authority for the purposes of this section.

(d) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(8A) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(9) In this section —

(a) “a housing order . . . ...” “improvement” and “ redevelopment ” have the same meaning as in section 29 above.

(b) “ new towns residuary body ” means—

(i) in relation to England, the Homes and Communities Agency so far as exercising functions in relation to anything transferred (or to be transferred) to it as mentioned in section 52(1)(a) to (d) of the Housing and Regeneration Act 2008 or the Greater London Authority so far as exercising its new towns and urban development functions ; and

(ii) in relation to Wales, the Welsh Ministers so far as exercising functions in relation to anything transferred (or to be transferred) to them as mentioned in section 36(1)(a)(i) to (iii) of the New Towns Act 1981.

Section 40 Duty to rehouse certain caravan dwellers.

(1) Section 39 above shall, so far as applicable, have effect in relation to a person residing in a caravan on a caravan site who is displaced from that site as it has effect in relation to a person displaced from residential accommodation on any land but shall so have effect subject to the following modifications.

(2) Subsection (1) of the said section 39 shall have effect—

(a) as if for the words preceding paragraph (a) there were substituted the words “Where a person residing in a caravan on a caravan site is displaced from that site in consequence of”; and

(b) as if for the words following paragraph (c) there were substituted the words “and neither suitable residential accommodation nor a suitable alternative site for stationing a caravan is available to that person on reasonable terms, then, subject to the provisions of this section, it shall be the duty of the relevant authority to secure that he will be provided with suitable residential accommodation”.

(3) Subsection (6) of the said section 39 shall have effect as if in the words preceding paragraph (a) for the words “unless he was residing in the accommodation in question” there were substituted the words “unless he was residing in a caravan on the caravan site in question”.

(4) The said section 39 shall have effect as if in any provision not modified as aforesaid for any reference to land there were substituted a reference to a caravan site.

(5) In this section “ caravan site ” has the same meaning as in section 33 above.

Section 41 Power of relevant authority to make advances repayable on maturity to displaced residential owner-occupiers.

(1) Where a person displaced from a dwelling in consequence of any of the matters mentioned in subsection (1)(a), (b) or (c) of section 39 above—

(a) is an owner-occupier of the dwelling; and

(b) wishes to acquire or construct another dwelling in substitution for that from which he is displaced,

the relevant authority for the purposes of that section may advance money to him for the purpose of enabling him to acquire or construct the other dwelling.

(2) The power conferred by this section shall be exercisable subject to such conditions as may be approved by the Secretary of State and the following provisions shall apply with respect to any advance made in the exercise of that power.

(3) The advance shall be made—

(a) on terms providing for the payment of the principal—

(i) at the end of a fixed period, with or without a provision allowing the authority to extend that period; or

(ii) upon notice given by the authority,

subject, in either case, to a provision for earlier repayment on the happening of a specified event;

(b) on such other terms as the authority may think fit having regard to all the circumstances.

(4) An advance for the construction of a dwelling may be made by instalments from time to time as the works of construction progress.

(5) The principal of the advance, together with interest thereon, shall be secured by a mortgage of the borrower’s interest in the dwelling, and the amount of the principal shall not exceed the value which, in accordance with a valuation duly made on behalf of the relevant authority, it is estimated that the borrower’s interest will bear or, as the case may be, will bear when the dwelling has been constructed.

(6) Before advancing money under this section the relevant authority shall satisfy themselves that the dwelling to be acquired is or will be made, or that the dwelling to be constructed will on completion be, in all respects fit for human habitation.

(7) While the payment of the principal of an advance made by a local authority under this section is not required in accordance with the terms of the advance, the local authority may suspend, with respect to so much of any sum borrowed by them as is referable to the advance or with respect to any sum paid in respect of the advance out of their Consolidated Loans Fund, any periodical provision for repayment that may be required by any enactment or by any scheme (whether made under section 55 of the Local Government Act 1958 or under any local enactment) by which the Fund was established.

(8) The power conferred by this section on a relevant authority is without prejudice to any power to advance money exercisable by the authority under any other enactment.

(9) In this section “ owner-occupier ”, in relation to any dwelling, means a person who occupies it on the date of displacement and either—

(a) occupies it on that date in right of a freehold interest therein or a tenancy thereof granted or extended for a term of years certain of which not less than three years remain unexpired; or

(b) if the displacement is in consequence of the matters mentioned in paragraph (c) of section 39(1) above, occupied it in right of such an interest or tenancy on the date on which the land was acquired or appropriated as mentioned in that paragraph.

(10) In this section references to the construction of a dwelling include references to the acquisition of a building and its conversion into a dwelling and to the conversion into a dwelling of a building previously acquired.

(11) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 42 Duty of displacing authority to indemnify rehousing or lending authority for net losses.

(1) Where a relevant authority within the meaning of section 39 above provide or secure the provision of accommodation for any person in pursuance of subsection (1)(a) or (c) of that section, then, if—

(a) the authority providing the accommodation (“the rehousing authority”) are not the same as the authority by whom the land in question is acquired or redeveloped (“the displacing authority”); and

(b) the displacing authority are not an authority having functions under Part II of the Housing Act 1985 or (if they are such an authority) the land is acquired or redeveloped by them otherwise than in the discharge of those functions

the displacing authority shall make to the rehousing authority periodical payments, or if the rehousing authority so require a lump sum payment, by way of indemnity against any net loss in respect of the rehousing authority’s provision of that accommodation which may be incurred by that authority in any year during the period of ten years commencing with the year in which the accommodation is first provided.

(2) For the purposes of subsection (1) above a local authority incur a net loss in respect of their provision of accommodation for a person whom they are rehousing—

(a) if they rehouse him in a dwelling provided by them under Part II of the said Act 1985 , , for the purpose of rehousing him; or

(b) if—

(i) they rehouse him in a Housing Revenue Account dwelling not so provided , and

(ii) provide under the said Part II in the year immediately preceding that in which he first occupies it, or in the period of three years commencing with the year in which he first occupies it, a dwelling of a similar type or size.

(3) Where money has been advanced to a person as mentioned in section 39(4) above, then if—

(a) the authority making the advance (“the lending authority”) are not the same as the displacing authority; and

(b) the lending authority incur a net loss in respect of the making of the advance,

the displacing authority shall make to the lending authority a lump sum payment by way of indemnity against that loss.

(4) For the purposes of subsection (3) above, a lending authority incur a net loss in respect of the making of an advance to any person if—

(a) he does not fully discharge his liability to the authority in respect of principal, interest and costs or expenses in accordance with the terms on which the advance is made; and

(b) the deficiency exceeds the net proceeds arising to the authority on a sale of the interest on which the principal and interest is secured.

(5) The Secretary of State may—

(a) for the purposes of subsection (1) above from time to time determine a method to be used generally in calculating net losses incurred by rehousing authorities;

(b) for the purposes of that subsection or subsection (3) above, determine the net loss incurred by a rehousing authority or lending authority in any particular case;

(c) give directions as to the manner in which any payment under this section is to be made.

(6) In subsection (2)—

’Housing Revenue Account dwelling’ means a dwelling which is within the authority’s Housing Revenue Account (within the meaning of Part VI of the Local Government and Housing Act 1989)