I read Colin Cottage’s thoughts on compulsory purchase orders (CPOs) with interest, and agree that the system is “certainly overdue intelligent scrutiny”. In fact, I think a complete reform of CPO rules is required.
The Queen’s Speech in May promised a Neighbourhood Planning and Infrastructure Bill that would make the compulsory purchase process “clearer, fairer and faster”. With the population growth we are experiencing and the speed at which London is moving, the planning system has to be able to keep up. New CPO powers could unlock sites and speed up planning.
Too many regeneration schemes have been hit by the ambiguity of current legislation, which is why it has been on the government’s radar. Schemes such as Tottenham Hotspur FC’s Northumberland Development Project, which will transform one of London’s most deprived areas, have cost a fortune in legal expenses and been held up for years because of people contesting CPOs.
The intention (announced in the Queen’s Speech) to offer “market value”, as it would be in the “absence” of the “scheme underlying the CPO”, may simplify the process but it won’t speed it up. All it takes is a few people to contest what the market value is. You always end up going as fast as the slowest person.
The Olympics was one of the few projects delivered on time and that was because the government paid people over the odds to ensure everything ran smoothly.
George Osborne said last year that “if you pay people a little more you’d get planning a little quicker and the whole process could cost you less”, so this latest announcement surprises me. In France, people are paid 150% of the market value.
In addition to offering fair compensation, new legislation must also give local authorities the power to be more proactive with the use of CPOs. As long as it is done in consultation with the local community and stakeholders, compulsory purchase should be considered lawful and as acting in the interests of the public if it enables boroughs to meet housing targets.
We are in the middle of a housing crisis, and the interests of the many must be considered greater than the interests of the few. Drastic intervention is the only hope we have of meeting London’s long-term housing needs.
Edo Mapelli Mozzi, chief executive, Banda Property
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