Labour's compulsory purchase plan 'another attack' on countryside

Rural groups have spoken out over new plans to force farmers to sell land for less than its potential value
Rural groups have spoken out over new plans to force farmers to sell land for less than its potential value

Rural campaigners have criticised the government’s proposed changes to compulsory purchase orders as 'another attack' on the countryside.

The Countryside Alliance has warned that the government would force farmers and landowners to sell their land for less than its potential value.

The controversial measure is part of Labour's flagship Planning and Infrastructure Bill, which has been introduced to parliament to help build 1.5m new homes over the next five years.

Housing Minister Matthew Pennycook said the government wanted to make use of compulsory purchase orders more often, which permit authorities to acquire land without the consent of the owner.

But the Countryside Alliance stated that landowners, including farmers, would have their fields bought at a small fraction of its potential value if identified by local authorities as being necessary for new homes, hospitals, or schools.

Tim Bonner, CEO of the alliance, said the move was "a step too far", adding "this is not about people blocking development, it’s about the state paying the market price for land".

"We need more houses and more economic development, but not at the cost of basic principles," Mr Bonner said.

Labour's controversial bill extends an existing power to remove value attributed to the prospect of planning permissions, or "hope value".

Removing this is not a new proposal as it was introduced under the previous government’s Levelling-up and Regeneration Act 2023.

The Labour government's changes, however, focus on who can approve the removal of the "hope value".

Under the proposed rules inspectors, councils, or mayors will be able to make decisions on the issue, where there are no objections.

Under the 2023 act brought in by the previous Conservative government, all value removals have to be approved by the Secretary of State.

The government said the bill would improve the compulsory purchase order process and land compensation rules to enable more effective land assembly through public sector-led schemes.

But the Countryside Alliance said the plans would "punish" farmers, who would face pressure to sell land to pay for inheritance tax changes that come in after April 2026.

Gavin Lane, Country Land and Business Association's (CLA) deputy president, said that pushing farmers and landowners into selling land "isn’t the answer".

He said: "Compulsory purchase drags landowners through years of stress, disruption and compensation battles, harming individuals and communities alike.

“Instead of pushing landowners to bear the burden, why not work with them? Most want to see progress and could deliver development faster, cheaper and with more care.

"Hitting landowners isn’t the solution – fixing the planning system is."