Clause 27 relates to the no-scheme principle. In moving Amendment 107, I wish to speak also to Amendments 109 and 111.
Clause 27 seeks to put the no-scheme principle in the compensation code on to a statutory footing. The Bill defines the no-scheme principle as,
“any increase in the value of land caused by the scheme for which the authority acquires the land is to be disregarded”.
Amendment 107 seeks to take this further to make the Bill state that,
“any increase in the value of land caused by the scheme or the prospect of the scheme”,
should also be disregarded. The Government have tabled a very similar amendment. I welcome that amendment and do not plan to say any more about it.
I turn to Amendment 109. New Section 6A(3) on page 21 of the Bill states:
“In applying the no-scheme principle the following rules in particular … are to be observed”.
This amendment seeks to delete the words “in particular” given that new Section 6A contains five rules which are clearly defined. I will come on to Rule 4 in a moment. If one has rules defining what the position is, why do we need the words “in particular”? That implies that there are other rules that might be considered and there is no indication as to what those might be. The current position is that only the statutory disregards can be taken into account in disregarding the scheme. This provides clarity over the valuation exercise to be undertaken. I hope the Minister will agree that “in particular” on page 21, line 28 should be taken out.
Finally, Amendment 111 relates to Rule 4. The purpose of scheme cancellation being on the valuation date is to avoid the need to speculate on what may have happened between the date of cancelation and valuation because they are the same. It is not clear what the purpose of Rule 4 is. It seems to be unnecessary and likely to create confusion, particularly in the context of the other four rules. I hope the Minister will be able to explain why it forms part of the Bill and why the words “in particular” need to appear in new Section 6A in Clause 27. I beg to move.