Last edited 08 Jun 2021

Planning and Compensation Act 1991

The Planning and Compensation Act 1991 is a UK Act of Parliament which was introduced to amend the Town and Country Planning Act 1990 by introducing the plan-led system. The main effect of the Act was to extend powers to acquire land by agreement which may be affected by the carrying out of public works and providing appropriate compensation where necessary. The Act also had the effect of affirming that planning applications should be decided in line with the development plan.

The Act determined that compensation may be appropriate where people are displaced from the land, the value of the land may be negatively affected, or the enjoyment of the land may be negatively impacted, and so on, by the public works. Where compensation is payable, the Act provided for advance payments and payments in interest.

You can see the Act in full here.

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