ADVISORY NOTES IN CONNECTION WITH POSSIBLE COMPENSATION – HS2

COMPENSATION: HS2 (PROPOSED HIGH SPEED RAIL LINK LONDON TO BIRMINGHAM)

INTRODUCTION:

Following extensive media coverage relating to the above proposed High Speed Rail Link we are, without prejudice, providing some background information that may be of interest to potential claimants.

At the outset we can advise that Coles & Co have extensive Land Compensation experience arising from, inter alia, M2 and M20 Motorways locally but more importantly the HS1 (the Channel Tunnel Rail Link). In this latter case, Coles & Co have successfully acted for many dozens of claimants and more to the point have gained invaluable experience in respect of seeing the effects a high speed railway (the first ever to be built in the UK) has on residential property.

MISCELLANEOUS BACKGROUND INFORMATION:

If and when the proposed Scheme is built and operational, residents and owners of residential property will not need to be reminded of the enormous environmental disturbance that can be created by the high speed trains as they thunder through the countryside in opposite directions, probably at 15 minute intervals or less between early morning hours to late evening hours (if not running to a 24 hours schedule).

The fact that the trains can be heard does not, in itself, give rise to compensation. Under the Land Compensation Act the nuisance has to be severe enough to cause loss in value – as perceived through the eyes of an intending purchaser “coming fresh to the scene”.

The Land Compensation Act 1973 created by Parliament in the early 1970’s was particularly concerned with the building of highways and airports near to residential property, creating what is known as the classical conflict i.e. the needs of the community weighed against the rights of the individual. Prior to the passing of the Act if an owner did not have any land taken for the Scheme he or she could not claim compensation for the subsequent use of the new public works.

The 1973 Act changed this anomaly so that even if a claimant had no land taken for the Scheme, provided there was sufficient disturbance from the use of the new undertaking to cause injurious affection (loss in value) a claim may well be proved.

In respect of a modern High Speed Railway, although the Act specifies seven “physical factors” that can be taken into account under the legislation, the three most likely to affect loss in value from a High Speed Rail Link will be noise, vibration and artificial lighting. It should be noted that whilst compensation may be payable for properties where no land has been taken, the claim period does not commence until one year after the operation of the Rail Link. The opening date (to the general public) is known as the ‘relevant date’ and the ‘first claim date’ arises one year after the relevant date so a claim lodged, where no land is taken, is to redress adverse impact once the works have been completed and settled for a year.

We mention the above to show that it will be several years at the earliest before claims can be submitted under the Land Compensation Act 1973 but there are other categories of claims that will be dealt with much earlier:

The most important claims are those where (a) Land and property are to be compulsory purchased. (b) Land and property that will be statutorily blighted i.e. not actually taken for the undertaking but likely to be severely blighted – these properties are usually to be found within a given swathe beyond the actual boundaries of the new railway.

Following from these cases there are ( c) discretionary blight cases where, although not falling within the swathe as mentioned above, the impact of the Scheme is sufficiently serious in devaluing a property and a case may be made for the Scheme Undertaker to purchase under the discretionary blight criteria.

If not covered by the above categories there is what is known as severe hardship blight and subject to specified conditions a claimant may well persuade the Compensating Authority to purchase and compensate accordingly.

The above information is given in outline to alert owner/occupiers of the likely compensation hierarchy that will arise if the Scheme proceeds.

In the latter ‘no land taken’ category, there is no guarantee that every claim will be successful. The Compensating Authority will need to be convinced that the high speed trains are causing enough disturbance to affect values. But from the above information claimants should be able to determine more accurately under which category of compensation they might qualify.

Finally, as mentioned above, most professional fees are paid by the Compensating Authority, in addition to the compensation (where awarded) and many firms, including Coles & Co, do not charge fees on unsuccessful claims.

For more detailed information please write giving your full address and where possible a Plan of your property so far as it relates to the published line of the proposed High Speed Rail Link.

COLES & CO Land Compensation Surveyors, Valuers & Estate Agents 76 King Street Maidstone Kent ME14 1BH