The Community Right to
Challenge and Community
Right to Buy
Bethan Evans
Partner
31 March 2011
Localism Bill
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Introduced into Parliament 13 December 2010
207 Clauses, 24 Schedules
Royal Assent – November 2011
Implementation – from April 2012
Consultations on Community Right to Challenge and
Community Right to Buy launched 4 February 2011,
close 4 May 2011
“Community Right to Reclaim Land” announced
February 2011
Community Right to Challenge
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Right to take over local services and facilities
A “Relevant Body” may submit an Expression of Interest
in providing or assisting to provide a relevant service
“Relevant Service” is
• any service, unless specified
• provided by or on behalf of a County, District or
London Borough Council (can be extended)
Relevant Body
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“Relevant Body” is
• Voluntary or community body
• Body or trust for charitable purposes only
• Parish Council
• Two or more employees
• Such other person or body as specified
“Voluntary Body” = body whose activities are carried out
not for profit, or profit is used for voluntary purposes or
“invested in the community”
“Community Body” = body whose activities are carried
out primarily for the benefit of the community
Acceptance / Rejection of Expression of
Interest
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Secretary or State may specify permitted grounds for rejection
In considering Expression of Interest, the local authority must
consider whether acceptance would promote the social, economic
or environmental well-being of the area
If it accepts the Expression of Interest, the local authority must
carry out a procurement exercise for the service, appropriate to
nature and value of “contract”
Assets of Community Value
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Local authority must maintain a “list of assets of community value” in its
area
“Community Nominations” of building or land by Parish and Community
Councils and other specified persons
Local authority may also nominate building or land as being “of community
value”
Regulations will set out what constitutes “community value” – may include:
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Identity of the owner
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Identity of any occupier
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Nature of the estates or interests in the land
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Historic, current and potential use
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Statutory provisions that affect the land
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Price or value of this or other land
List of Assets of Community Value
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If land is of “community value”, it must go on the “pass”
list
• For a period specified by the authority
• Normally 5 years
Unsuccessful community nominations go on “fail” list
Both lists must be available to inspection free of charge
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Notification to landowners and as local land charge
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Community Right to Buy
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If landowner wants to sell listed land –
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Must notify local authority of intention to sell
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Authority gives notice to person who nominated and publicise
in locality
If landowner wants to “enter into a relevant disposal” –
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Moratorium of up to 6 months to allow Community Interest
Group to bid
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No requirement to sell at all or at undervalue
“Community Interest Group” to be defined in Regulations
Regulations may provide for payment of compensation to
landowner – by whom?
Community Right to Reclaim Land
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Announced February 2011
“Public request to order disposal” under Local Government,
Planning and Land Act 1980 – power to request that empty public
sector land owned by local authorities and some other public
bodies is sold off
Improvements to system enabling “members of public” to request
that empty public land or buildings are sold off, so they can be
brought back into use
Online database with information about empty land and buildings
Regulations out by the end of May 2011