(1)Capital money arising under the [15 Geo. 5. c. 18.] Settled Land Act, 1925 (either as originally enacted or as applied in relation to trusts for sale by section twenty-eight of the Law of Property Act, 1925), or under the [15 Geo. 5. c. 24.] University and College Estates Act, 1925, may be applied—
(a)in payment as for an improvement authorised by the Act of any money expended and costs incurred by a landlord under or in pursuance of this Part of this Act in or about the execution of any improvement;
(b)in payment of any sum due to a tenant under this Part of this Act in respect of compensation for an improvement or goodwill, and any costs, charges, and expenses incidental thereto;
(c)in payment of the costs, charges, and expenses of opposing any proposal by a tenant to execute an improvement.
(2)The satisfaction of a claim for such compensation as aforesaid shall be included amongst the purposes for which a tenant for life, statutory owner, trustee for sale, or personal representative may raise money under section seventy-one of the Settled Land Act, 1925.
(3)Where the landlord liable to pay compensation for an improvement or goodwill is a tenant for life or in a fiduciary position, he may require the sum payable as compensation and any costs, charges, and expenses incidental thereto, to be paid out of any capital money held on the same trusts as the settled land.
In this subsection " capital money" includes any personal estate held on the same trusts as the land, and "settled land" includes land held on trust for sale or vested in a personal representative.