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Further HS2 Compensation Details Announced

Further HS2 Compensation Details Announced

Further details have been released in relation to the compensation packages for homeowners and businesses close to the HS2 high-speed rail link – even if there is no desire to move.

The latest proposals are that the state would buy properties within 60 metres of the line at 10% above full market value. Those up to 120 metres away, who do not want to move, would be eligible for a payment of 10% of the home’s value.

These latest changes to HS2 compensation packages are still to be consulted on but are expected to come in from 2015.

At IBB Solicitors, our extensive knowledge of development and property law, as well as an intimate understanding of a wide range of additional legislation has helped those affected to gain compensation for loss of land or potential impact to their business or home.

Rules relaxed on homes more than 300 metres from route

Ministers are also considering relaxing the rules on buying up homes of those living more than 300 metres from the London to Birmingham route. Homeowners and small businesses must currently prove they would suffer from “exceptional hardship” from the building of the line. It is proposed this should be replaced by a “compelling reason” to sell.

For homes and small businesses within up to 60 metres of the line the state would buy up properties at the full unblighted market value, plus 10%.

For those within 60 and 120 metres of the line who do not wish to sell the government would pay out cash compensation of 10% of the market value, up to a maximum of £100,000.

Those within 120 and 300 metres would be offered between £22,500 to £7,500 on a sliding scale, based on distance from the line. The payments are all proposed to be tax free.

A rent-back option would also be available, so that people who want to sell their properties but carry on living where they are may be able to do so. No limits have been set on how far away from HS2 applicable properties will have to be.

If your home or business is in the proposed pathway of HS2, or is likely to be adversely affected by the construction of this controversial rail route, we can help. Call us on 01895 207988. Alternatively, email us at propertydisputes@ibblaw.co.uk.

Claim that 240,000 homes not eligible for compensation

Opposition group HS2 Action Alliance (HS2AA) said nearly 240,000 homes within one kilometre of the proposed line are likely to suffer losses and that “almost all are ineligible for compensation under the current policy”.

HS2 chairman Sir David Higgins said: “The new Charter and Commissioner will provide residents with the confidence that we’ll deal with each case clearly, fairly and as fast as we can.”

Local MP gives cautious welcome, Nick Hurd, MP for Ruislip Northwood and Pinner, said he is pleased that some areas in Hillingdon that are directly affected by HS2 will now receive compensation but will continue to argue for a tunnel extension beyond Ickenham.

“The old compensation proposals were unfair. These are better news for some of my constituents most directly affected by HS2. I am pleased that the Secretary of State listened to my argument. However this is one step in a long process to secure a better deal for our area – if HS2 goes ahead,” said Mr Hurd.

IBB has one of the largest real estate groups in West London and the South East, with expertise in commercial real estate, residential development, real estate finance, construction and real estate dispute resolution. Contact a member of the team by visiting the relevant service page, or you can call us on 08456 381 381 or email enquiries@ibblaw.co.uk.