Minister Seeks to Reassure Landowners on New Compulsory Purchase Powers for Housing

06 January 2016

The CLA, which represents landowners, farmers and rural businesses, welcomes the opportunity to meet with Ministers to discuss compensation for landowners affected by compulsory purchase for housing development as a part of future nationally significant infrastructure projects (NSIPs).

Last night Housing Minister Brandon Lewis stated that he is willing to work with the CLA “to discuss making sure that the provisions in place are adequate” for landowners affected by compulsory purchase orders under clause 116 of the Housing and Planning Bill.  

Under the clause, which was debated in the House of Commons last night, land within a mile of nationally significant infrastructure projects (NSIPs) could be compulsorily purchased for up to 500 houses unrelated to the project.

CLA Chief Surveyor Andrew Shirley said: “This change in the law could have significant consequences for those who own land near to nationally significant infrastructure projects.

“Under legislation proposed in this Bill a developer who compulsorily purchases land for housing as part of an NSIP such as road schemes, energy projects or other infrastructure would be able to purchase it at current use value despite it being used for housing development. The land value would be much greater had the land been brought forward for housing development on the open market, meaning that landowners and rural businesses affected could be at a significant loss.”

“We look forward to working with the Housing Minister to ensure that adequate provisions are in place so that landowners are not further disadvantaged.”

Click here to see a transcript of the discussion on compulsory purchase of land under the Housing and Planning Bill (1:30am onwards)