Town and Country Planning Act 1990

Recovery of compensation

131 Apportionment of compensation

(1) Where, on a claim for compensation under this Part in respect of a planning decision, the Secretary of State determines that compensation is payable and that the amount of the compensation exceeds £20, the Secretary of State shall—

(a) if it appears to him to be practicable to do so, apportion the amount of the compensation between different parts of the land to which the claim for compensation relates, and

(b) include particulars of the apportionment in the notice of his findings under section 129.

(2) In carrying out such an apportionment the Secretary of State shall divide the land into parts and distribute the compensation between them according to the way in which the different parts appear to him to be differently affected by the planning decision.

(3) Subsections (1) and (2) shall apply on a reference to the Lands Tribunal under section 129 with the substitution for references to the Secretary of State of references to the Lands Tribunal (unless the decision of the Tribunal will not affect the amount of the compensation or any apportionment of it by the Secretary of State).

132 Registration of compensation

(1) Where, on a claim for compensation under this Part in respect of a planning decision, compensation of an amount exceeding £20 has become payable, the Secretary of State shall cause notice of that fact to be deposited—

(a) with the council of the district or London borough in which the land is situated, and

(b) if that council is not the local planning authority, with the local planning authority.

(2) Notices deposited under this section must specify—

(a) the planning decision and the land to which the claim for compensation relates,

(b) the amount of compensation, and

(c) any apportionment of it under section 131.

(3) Notices deposited under this section shall be local land charges, and for the purposes of the [1975 c. 76.] Local Land Charges Act 1975 the council with whom any such notice is deposited shall be treated as the originating authority as respects the charge constituted by it.

(4) In relation to compensation specified in a notice registered under this section, references in this Part to so much of the compensation as is attributable to a part of the land to which the notice relates shall be construed as follows—

(a) if the notice does not include an apportionment under section 131, the amount of the compensation shall be treated as distributed rateably according to area over the land to which the notice relates;

(b) if the notice includes such an apportionment—

(i) the compensation shall be treated as distributed in accordance with that apportionment as between the different parts of the land by reference to which the apportionment is made; and

(ii) so much of the compensation as, in accordance with the apportionment, is attributed to a part of the land shall be treated as distributed rateably according to area over that part.

133 Recovery of compensation on subsequent development

(1) No person shall carry out any new development to which this section applies, on land in respect of which a notice (“a compensation notice”) is registered under section 132, until any amount which is recoverable under this section in accordance with section 134 in respect of the compensation specified in the notice has been paid or secured to the satisfaction of the Secretary of State.

(2) Subject to subsections (3) and (4), this section applies to any new development—

(a) which is development of a residential, commercial or industrial character and consists wholly or mainly of the construction of houses, flats, shop or office premises, or industrial buildings (including warehouses), or any combination of them; or

(b) which consists in the winning and working of minerals; or

(c) to which, having regard to the probable value of the development, it is in the opinion of the Secretary of State reasonable that this section should apply.

(3) This section shall not apply to any development by virtue of subsection (2)(c) if, on an application made to him for the purpose, the Secretary of State has certified that, having regard to the probable value of the development, it is not in his opinion reasonable that this section should apply to it.

(4) Where the compensation specified in the compensation notice became payable in respect of the imposition of conditions on the granting of permission to develop land, this section shall not apply to the development for which that permission was granted.

134 Amount recoverable and provisions for payment or remission of it

(1) Subject to the following provisions of this section, the amount recoverable under section 133 in respect of the compensation specified in a compensation notice—

(a) if the land on which the development is to be carried out (“the development area”) is identical with, or includes (with other land) the whole of, the land comprised in the compensation notice, shall be the amount of compensation specified in that notice;

(b) if the development area forms part of the land comprised in the compensation notice, or includes part of that land together with other land not comprised in that notice, shall be so much of the amount of the compensation specified in that notice as is attributable to land comprised in that notice and falling within the development area.

(2) Where, in the case of any land in respect of which a compensation notice has been registered, the Secretary of State is satisfied, having regard to the probable value of any proper development of that land, that no such development is likely to be carried out unless he exercises his powers under this subsection, he may, in the case of any particular development, remit the whole or part of any amount otherwise recoverable under section 133.

(3) Where part only of any such amount has been remitted in respect of any land, the Secretary of State shall cause the compensation notice to be amended by substituting in it, for the statement of the amount of the compensation, in so far as it is attributable to that land, a statement of the amount which has been remitted under subsection (2).

(4) Where, in connection with the development of any land, an amount becomes recoverable under section 133 in respect of the compensation specified in a compensation notice, then, except where, and to the extent that, payment of that amount has been remitted under subsection (2), no amount shall be recoverable under section 133 in respect of that compensation, in so far as it is attributable to that land, in connection with any subsequent development of it.

(5) No amount shall be recoverable under section 133 in respect of any compensation by reference to which a sum has become recoverable by the Secretary of State under section 308.

(6) An amount recoverable under section 133 in respect of any compensation shall be payable to the Secretary of State either—

(a) as a single capital payment, or

(b) as a series of instalments of capital and interest combined, or

(c) as a series of other annual or periodical payments, of such amounts, and payable at such times, as the Secretary of State may direct.

(7) Before giving a direction under subsection (6)(c) the Secretary of State shall take into account any representations made by the person by whom the development is to be carried out.

(8) Except where the amount payable under subsection (6) is payable as a single capital payment, it shall be secured by the person by whom the development is to be carried out in such manner (whether by mortgage, covenant or otherwise) as the Secretary of State may direct.

(9) If any person initiates any new development to which section 133 applies in contravention of subsection (1) of that section, the Secretary of State may serve a notice on him—

(a) specifying the amount appearing to the Secretary of State to be the amount recoverable under that section in respect of the compensation in question, and

(b) requiring him to pay that amount to the Secretary of State within such period as may be specified in the notice.

(10) The period specified under subsection (9)(b) must not be less than three months after the service of the notice.