HC Deb 06 December 1960 vol 631 cc1042-3
12. Mr. Ridley

asked the Chancellor of the Exchequer what rate of interest he instructs the Service Departments to pay on claims for compensation for compulsory purchase or dilapidations which are held up pending a settlement.

Mr. Selwyn Lloyd

When Departments enter on land before compensation for compulsory permanent acquisition has been paid, interest is added for the period before settlement at the rate of 6½ per cent. at present. In the quite different circumstances of a Department restoring possession of requisitioned land to an owner, compensation may be paid for the cost of making good any damage to the land and if settlement is delayed interest is added at the rate of 2 per cent.