ABSTRACT

This right to claim compensation for the refusal of planning permission, or its grant subject to conditions, seems at odds with the general philosophy of the 1990 Act that compensation is not payable for a planning refusal. However, section 108 provides that if planning permission has been granted by a development order, or a local development order, and that permission is revoked or modified, or withdrawn by the issue of a direction (such as an Article 4 direction under the General Permitted Development Order 1995), then, if a person is subsequently refused planning permission for that development or it is granted subject to conditions, he is entitled to compensation; certain classes of development are so specified in the Town and Country Planning (Compensation) (No 3) (England) Regulations 2010. However, the 1991 Act amended section 108 to provide power to make regulations to exclude the right to compensation. For recent claims see Slot v Guildford Borough Council [1993] and Bolton v North Dorset District Council [1997]. As the claim for compensation under section 108 is in respect of the refusal of planning permission, not the withdrawal of development rights by an Article 4 direction, a claim for compensation can be made after the last of a number of planning applications, even years after the withdrawal of development rights: see Green v Durham City Council [2007].