THE MEASURE OF DAMAGES (Hansard, 9 June 1988)

HC Deb 09 June 1988 vol 134 cc1092-3 1092

§ Amendments made: No. 266, in page 18, line 11, leave out 'landlord's interest' and insert `interest of the landlord in default'.

§ No. 267, in page 18, line 14, leave out 'the landlord's' and insert `that'.—[Mr. Waldegrave.]

§ Mr. Waldegrave
I beg to move amendment No. 268, in page 18, line 17, leave out 'subsection (1) above' and insert `this section'.

§ Mr. Speaker
With this, it will be convenient to discuss Government amendments Nos. 270, 272 and 274.

§ Mr. Waldegrave
Clause 26 sets out the basis on which the court is to assess damages when a landlord is found unlawfully to have evicted a tenant under clause 25.
As the clause stands, the court has to disregard any value that can be attributed to the potential development of the building. The matter was discussed in Committee, but it has also been discussed outside Parliament. The amendments are designed to allow development value to be taken into account in certain cases. They will increase the compensation that is available.
A common reason why landlords want to evict tenants from houses in multiple occupation is to convert the buildings into fiats for sale. There may be large profits to be made, and the amendments should catch that sort of case. They allow any value resulting from works to the building that is within the general development order to be taken into account, as well as any value from changing the use of the building by increasing or reducing the number of residential units in it. I hope that hon. Members will accept that this is further evidence of the Government's determination to ensure that potentially very wicked behaviour does not pay. Although some people have wanted us to go further, some of the pressure groups involved, such as Shelter, have acknowledged that the amendments will be a great help.

§ Amendment agreed to.

§ Amendments made: No. 269, in page 18" line 18 leave out 'landlord's interest' and insert `interest of the landlord in default'.

§ No. 270, in page 18, line 20, at end add 'together with its curtilage.'.

§ No. 271, in page 18, line 23, leave out `is selling his interest in the building in question' and insert `in default is selling his interest'.

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§ No. 272, in page 18, line 27, leave out from first 'any' to end of line 29 and insert 'substantial development of any of the land in which the landlord's interest subsists or to demolish the whole or part of any building on that land.'.

§ No. 273, in page 18, line 30, leave out 'Subsection (8) of section 25 above' and insert 'In this section "the landlord in default" has the same meaning as in section 25 above and subsection (8) of that section'.

§ No. 274, in page 18, leave out lines 34 and 35 and insert— '(6) The reference in subsection (3)(c) above to substantial development of any of the land in which the landlord's interest subsists is a reference to any development other than—

(a) development for which planning permission is granted by a general development order for the time being in force and which is carried out so as to comply with any condition or limitation subject to which planning permission is so granted; or
(b) a change of use resulting in the building referred to in subsection (2) above or any part of it being used as, or as part of, one or more dwelling-houses;

and in this subsection "general development order" has the same meaning as in section 43(3) of the Town and Country Planning Act 1971 and other expressions have the same meaning as in that Act.'.—[Mr. Waldegrave.]