Families affected by HS2 face 'major worry and uncertainty'

Transport Minister Baroness Kramer visited three rural businesses in Cheshire and Staffordshire affected by the HS2 route to see the impact on farmers and landowners facing compulsory purchase as part of the rail project.

The fact-finding tour was organised by the CLA, which represents landowners, farmers and rural businesses, and gave the Minister the opportunity to understand the specific problems rural businesses face when having land and property purchased by the Government to build major infrastructure projects like HS2.

The visit took in two farms as well as a modern estate and looked at issues including the need for HS2 Ltd to enter into early discussions with landowners, continued access to land, machinery and livestock during construction and once HS2 is operational, the importance of prompt and proper compensation and capital gains tax implications.

CLA President Henry Robinson said: “Families and businesses affected by compulsory purchase face major worry and uncertainty, often over a number of years. It is important that the Government recognises the effects that HS2 is having on the rural economy.”

Baroness Kramer said: “HS2 is vital to building a stronger economy and a fairer society, but I completely understand the concerns and anxieties of landowners near the line and it is only right that those people are properly looked after.

“I would like to thank the CLA for the opportunity to talk to landowners and famers about HS2 and see first-hand how the railway may affect them. The Government and HS2 Ltd have had extensive engagement with the CLA over a number of years and successfully resolved several issues. We will continue negotiations to try resolve any outstanding concerns.”

The visit comes the day after Chancellor George Osborne announced in a speech to the Royal Economic Society that he would make changes to the compulsory purchase system to speed up big infrastructure projects.

CLA President Henry Robinson said: “We welcome the Chancellor’s comments. We must move away from the current system to one that is faster and fairer for those affected. We must end the uncertainty caused by year after year of the looming threat of compulsory purchase and no ability to plan for the future.

“We want a simpler, faster process of negotiations and support in making reinvestment decisions. This includes paying a fair price, but other measures as well. For example, allowing businesses that reinvest money from compulsory purchase in building replacement buildings not to pay capital gains tax when they reinvest that money in an alternative business property. Or fast tracking planning approval for new replacement buildings where others have been subject to compulsory purchase.

“We will continue to press for these reforms.”