What is a purchase notice?

The purchase notice procedure provides landowners with a means of having land acquired by a local planning authority (LPA) where the land has become incapable of reasonably beneficial use. The purchase notice system is often referred to as 'reverse compulsory purchase', because the owner of the land can initiate compulsory purchase of its land by an LPA and is paid compensation as if it were a compulsory purchase.

The procedure is not intended to provide a universal remedy whenever planning permission is refused but it is a ‘longstop’ in cases where no development can be carried out to make the land capable of reasonably beneficial use.

The government has published guidance on the purchase notice procedure.

When can a purchase notice be served?

A purchase notice can only be served following a:

1. •

   refusal of planning permission or listed building consent

2. •

   conditional grant of planning permission or listed building consent

3. •

   revocation of planning permission by a 'revocation order' under section 97 of the Town and Country Planning Act 1990 (TCPA 1990)

4. •

   revocation