Our dedicated team of compulsory purchase and compensation professionals has a deep understanding of the often-complicated processes and how best to navigate them. We’re supported by our wider network, giving us access to valuable resources and expertise. We offer national coverage, so no matter where you are, we’re here to help.
What is compulsory purchase?
A compulsory purchase order (CPO) is a legal function that allows certain acquiring authorities to buy land without the owner’s approval. Compulsory purchase and compensation processes can be incredibly detailed and tricky to navigate.
How does compulsory purchase work?
Different schemes go through different processes before power can be obtained. Significant Infrastructure Projects go through the Development Consent Order process, determined at a national level. Road schemes may be built under a Highways Act CPO while rail schemes tend to use a Transport and Works Act Order. Local authorities possess varied CPO powers, which are often used for urban regeneration. Some schemes, such as High Speed Two (HS2), obtain their powers via a bespoke act of parliament. Most of these processes take years to come to fruition although some bodies, like water companies and the Environment Agency, have powers they can use at short notice.
Another common scenario is when landowners and occupiers are approached before compulsory powers are available to see if the land can be acquired by mutual agreement. It’s key that claimants understand their negotiating position and basis of claim. Compensation can also be available to those who don’t have land taken, usually when residential property is devalued by noise, lighting, and other physical factors.
When can we help with compulsory purchase?
Although we mainly represent affected landowners and occupiers, we assist acquiring authorities too.We have extensive experience of higher-level acquiring authority work, including compensation estimates for whole schemes. Early specialist valuer input into the scheme design can reduce the compensation liability and the impact on landowners.
We deal with almost any type of property affected by compulsory purchase. Our experience includes houses, farms, offices, factories, shops, and more unusual properties like football grounds, airfields, fishing lakes, racing yards, police stations, shooting ranges, fuel stations, medical facilities, showgrounds, woodland, and development sites.
We focus on road and rail schemes, including the HS2 railway, but work on other projects which include pipelines, flood defences, electricity, and regeneration.
How can we help with compulsory purchase?
It’s important to get professional help and guidance early in the process. The sooner you know where you stand, the easier it is to identify issues and work out solutions. We’ll help you find your way through a compulsory purchase scheme, and work alongside lawyers, planners, forensic accountants, and other specialist professionals to get you the compensation you’re due.
FAQs
How long does compulsory purchase take?
The process is often long and drawn out as it’s full of complexities, but utility companies can use existing powers to take rights over or under land at short notice.
How much does it cost for a compulsory purchase order?
Claimants are normally entitled to reimbursement of professional fees. Where there’s no legal entitlement, for example when advice is sought or negotiations conducted in advance of powers being obtained, we’ll request a fee indemnity.
How to stop a compulsory purchase order?
Most schemes go through processes to obtain planning permission and give powers of compulsory acquisition to the acquiring authority. These processes include opportunities for affected landowners and occupiers to make representations. Stopping a scheme altogether is likely to be difficult but you may be able to demonstrate that changes should be made.
How to get compensation from a compulsory purchase order?
With specialist advice early on, you’ll submit your initial ‘form of claim’ once notices are received. It’s important this is done promptly, with as much detail and supporting evidence as possible. Typically, full details of the claim won’t be known at this stage, but the form submission will at least start the negotiations. A request for an advance payment of compensation is normally made at the same time, and this is payable when the land is taken or no more than three months after the request. The advance is supposed to be based on 90% of the acquiring authority’s estimate of the total claim but is often significantly less than the final agreed figure.
When did compulsory purchase start?
Much of the current compensation code has its roots in the Victorian railway building era, but powers of compulsory purchase were used well before that, such as to enclose common land. Difficulty practitioners face is that some of the current legislation, itself many decades old, was simply copied from those earlier times. Many areas of uncertainty remain.
What if we can’t reach agreement on the amount of compensation?
Most cases are settled by negotiation between the acquiring authority’s agent and the claimant’s agent. Acquiring authorities are expected to treat people fairly and try to reach an agreement, but this doesn’t always happen. The ultimate arbiter is the Upper Tribunal (Lands Chamber) but simpler disputes are increasing dealt with via alternative dispute resolution.