Overview

The Property Blight Compensation Bill aims to improve compensation for property owners whose land value decreases due to major national infrastructure projects in England and Wales. It introduces a new system of property bonds to compensate for this "blight," covering depreciation caused by various factors such as noise and increased traffic.

Description

The bill amends the Land Compensation Act 1973 to create a new right to a property bond for depreciation caused by major national infrastructure projects. This bond would compensate for value loss due to blight factors such as noise, vibration, smell, fumes, smoke, artificial lighting, changes in landscape visibility, and increased traffic.

Property Bond Scheme

A "Property Bond Scheme" is established, outlining rules for applications, valuation, and bond redemption. An "amalgamated blight map" will identify geographically affected areas. The bond's value is based on the open market value before the project's proposal or the depreciated purchase price if already purchased at a reduced price due to blight. The bond is transferable upon property sale. Bonds become void after a specified date.

Amendments to the 1973 Act

The bill significantly amends the 1973 Act, adding sections on the right to a property bond (sections 1A and 1C), applications for bonds (section 3A), valuation provisions (section 4A), and a duty to assess value fairly (section 5A). It also updates definitions and adds provisions regarding record-keeping and dispute resolution.

Government Spending

The bill will increase government spending to the extent that the cost of property bonds exceeds existing compensation mechanisms. The exact amount is not specified in the provided bill text.

Groups Affected

• Property owners: Those whose property values are negatively affected by major infrastructure projects in England and Wales could receive compensation through the new property bond system.
• Infrastructure project promoters: These entities will be responsible for issuing and redeeming property bonds, potentially incurring increased costs.
• Government: Will need to fund the increased compensation costs.
• Valuers and legal professionals: Could experience increased demand for their services in assessing property values and handling bond-related issues.

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