Compulsory purchase in England and Wales

Compulsory purchase is the power to acquire rights over an estate in English land law, or to buy that estate outright, without the current owner's consent in return for compensation. In England and Wales Parliament has granted several different kinds of compulsory purchase power, which are exercisable by various bodies in various situations. Such powers are "for the public benefit", but this expression is interpreted very broadly.

Although land may be acquired by consent, and conduct which raises another party's reasonable expectations, these private methods of acquiring land are often insufficient for adequate public regulation. Building national infrastructure, such as railways, housing, and sewerage, as well as democratically determined planning rules, either by national or local government, typically requires compulsory purchase, because private owners might not give up land required for public works except at an extortionate price. Historically, compulsory purchases were carried out under the Inclosure Acts and their predecessors, where enclosure was frequently a method of expropriating people from common land for the benefit of barons and landlords. In the industrial revolution, most railways were built by private companies procuring compulsory purchase rights from private Acts of Parliament, though by the late 19th century, powers of compulsory purchase slowly became more transparent and used for general social welfare, as with the Public Health Act 1875, or the Housing of the Working Classes Act 1885. Compulsory purchase legislation was significantly extended during World War One for military use, and after the war for housing, as certain principles became standardised.

Today, the Land Compensation Act 1961 section 5 generally requires that the owner of an interest in land (e.g. a freehold, leasehold or easement as in Re Ellenborough Park) receives payment for the "value of the land... if sold on an open market by a willing seller". Compensation is often also available for losses to a home, or if one's business has to move. The Compulsory Purchase Act 1965 set conditions for a purchase to be made, and the Acquisition of Land Act 1981 regulates the conditions for granting a "Compulsory Purchase Order". Typically, either central government represented by a Secretary of State, or a local council will be interested in making a compulsory purchase. The authority of local councils for make purchases for specific reasons can be set out in specific legislation, such as the Highways Act 1980 to build roads when strictly necessary. However the Town and Country Planning Act 1990 section 226, which allows compulsory purchase to "facilitate the carrying out of development, re-development or improvement" for the area's economic, social, or environmental well being, must be confirmed by the Secretary of State, and similarly the Local Government Act 1972 section 121 requires the council seek approval from the government Minister, a time-consuming process which prevents compulsory purchase being carried out without co-ordination in central government.

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