Details of a new discretionary compensation package for those owning property affected by the HS2 rail link between London and Birmingham have been released by the UK government.
These discretionary measures are in addition to the existing statutory compensation schemes, some of which will only apply once HS2 is operational, that are generally considered insufficient for an infrastructure scheme of the scale of HS2.
The package includes an express purchase package for owner occupiers in the safeguarded area which is approximately 60 meters from the railway in either direction, or the owner of a small business or agricultural property.
The voluntary purchase packages is to assist owner occupiers in rural areas who live outside the safeguarded area but within 120 meters of HS2 while the Need to sell scheme is for owner occupiers who need to sell and has no outer boundary.
There is also a rent back package for those who sell their property under an HS2 compensation scheme but want to rent it back and live in it and a home owner payment for properties in rural areas 120 to 300 meters from HS2 in phase 1.
The creation of a Residents’ Charter and the appointment of an Independent Residents Commissioner were also announced. HS2 Ltd said the charter will ensure that all communications will use plain non-technical language, individuals will be offered a single named case officer with direct contact details and be offered the opportunity to meet in private with HS2 property specialists.
However, many will feel that the package is still inadequate, according to James Del Mar, head of Knight Frank’s HS2 team. ‘But at least it will now be easier for people to work out which compensation route is best for them when making plans for the future although the fact that some of the new proposals need to be consulted on further before they are introduced will prolong the agony for some,’ he said.
‘Although the Express Purchase scheme will be helpful for many of those affected, it is still a version of the Statutory Blight process and applications will need to be filled in carefully, particularly for properties that do not fall 100% within the safeguarded area. Agreeing fair levels of compensation for farms and businesses could also involve detailed negotiations and the need for expert advice,’ he explained.
‘Hopefully the Independent Residents Commissioner will have the teeth to ensure that those affected are treated fairly and their claims handed in a timely and professional manner,’ he added.
‘I completely understand the concerns and anxieties of those living near the line and it is only right that those people are properly looked after. I believe this package of compensation and assistance will enable us to help people more. But I want to get it absolutely right, so I am asking for further views on some aspects before we finalise the plans,’ said Transport Secretary Patrick McLoughlin.
‘HS2 will transform many people’s lives for the better, but where its impacts are less positive we will do all we can to provide the right help and assistance. The government believes this package represents the best possible balance between properly helping people and providing value for money for the taxpayer,’ he added.
The Royal Institution of Chartered Surveyors (RICS) said that the role of property professionals, like surveyors trained in compulsory purchase and compensation, will be key to interpreting these options for home owners.
‘It’s a shame that ministers have decided not to go ahead with a property bond option, though publishing the research into it is welcome. Such work will be useful in the future for other infrastructure projects,’ said Jeremy Blackburn, RICS head of UK policy.
‘The government has evidently striven to show fairness and consistency, and provide more choices to those affected by the line. It is good to see that those whose blight notices have been rejected in the safeguarded zone, will now be able to re-apply at its full market value plus 10%, under the newly launched Express Purchase,’ he explained.
‘We also welcome the option of a Rent Back element, which should help smooth disruptive effects of moving and selling all along the route. Given the current lack of housing stock across the country - we need to keep existing homes within the available stock,’ he added.
*source Propertywire