Compensation — Noise and traffic on motorway — Valuation date 1981 — Estimates of traffic on valuation date — Whether estimates of traffic flows for 1981-87 accurate — Final award — Measure of compensation at 6% of agreed valuation
The claimant is the owner of a house in Chertsey, Surrey, and claimed compensation under Part I of the Land Compensation Act 1973 for depreciation resulting from a section of the M25 motorway opened on October 9 1980. Following a reference to the Lands Tribunal for a preliminary issue to be decided, the tribunal issued an interim award on April 11 1989. It held that the principle in Bwllfa and Methyr Dare Steam Collieries (1891) Ltd v Pontypridd Waterworks Co [1903] AC 426 could have little application to the case as compensation has to be ascertained at a particular date (October 9 1981), on facts at that date, on prices current at that date and on any intensification of traffic use that might reasonably have been anticipated at that date: see [1989] EGCS 57.
At the resumed hearing, further evidence was given on behalf of the department as to the accuracy of traffic estimates known by the valuation date for the period 1981-87.
Held The final award was £7,500 compensation. From the additional evidence it was possible to show that the estimates of traffic flows on the M25 between junctions 11 and 12 known by 1981 were reasonably accurate. This evidence was contrary to the claimant’s evidence that the traffic had been grossly underestimated. Accordingly, the evidence of the department that 6% of the agreed “before” value of £125,000 could be accepted. This was based on traffic estimates prepared in 1976 and on a number of settlements reached with claimants — some 17% of the total claims in the private sector.
The claimant, Air Marshal Sir Geoffrey Dhenin, appeared in person; and W Robert Griffiths (instructed by the Treasury Solicitor) appeared for the compensating authority and called Michael Jacobs ARICS, deputy district valuer and valuation officer.