Lake Lothing Third Crossing

The views expressed in this page do not represent those of the Planning Inspectorate. This page consists of content submitted to the Planning Inspectorate by the public and other interested parties, giving their views of this proposal.

Lake Lothing Third Crossing

Received 20 September 2018
From CMS Cameron McKenna Nabarro Olswang LLP on behalf of B.S. Pension Fund Trustee Ltd

Representation

The British Steel Pension Scheme (BSPS) is administered by B.S. Pension Fund Trustee Limited. The day-to-day administration of the Scheme is supervised by the Trustee board, who are directors of the Trustee Company; which is a managing corporate trustee owned by the directors on behalf of the membership. The Scheme is a registered Pension Scheme under Section 153(9) of the Finance Act 2004.

B.S. Pension Fund Trustee Limited’s (BSPF) owns the freehold of plot 1-04. Plot 1-04 and the retail site in its immediate vicinity is let to and occupied by Wickes Building Supplies Limited (Wickes) on a lease from BSPF which expires on 23 June 2030. BSPF’s asset is part of a portfolio of UK Property owned by BSPF for the benefit of its subscribers.

One of key concerns is to ensure that the value of BSPF’s asset is properly protected in respect of potential impact from the construction and operation of the Lake Lothing Third Crossing. From a review of the application material provided, the project has the potential to adversely affect:

• access to the unit let to Wickes by customers on foot and in vehicles;
• delivery and other service access to the unit currently let to Wickes by small and large vehicles; and
• the amenity enjoyed by its current and potential future tenants as a result of noise, odour, dust and traffic disruption caused during the implementation of the proposed development consent order (DCO).

BSPF would object to the inclusion in the DCO of powers for the compulsory acquisition of land or rights that BSPF has an interest in given the current economic importance of protecting pension fund assets in the UK.

BSPF is prepared to enter into in to a voluntary agreement with the promoter of the DCO to enable plot 1-04 to be acquired to facilitate the construction and operation of the Lake Lothing Third Crossing subject to the agreement of appropriate terms. BSPF’s costs of engaging with the promoter on this agreement and the CPO process must be comprehensively covered to protect the interests of the subscribers to the pension fund.

Such an agreement must also regulate the time at which the land will be acquired to provide certainty for BSPF on the future of this important asset. It will also address the amenity, operational and value issues raised in the bullet points set-out above.

BSPF notes it has begun to engage positively with the promoter in relation to agreeing an undertaking for its CPO adviser’s fees and has received heads of terms for a Land and Works Agreement. However the promoter has not progressed these documents in a timely manner, engaged in negotiations with BSPF, or responded to the initial points raised by BSPF on these documents despite several months having elapsed.

BSPF notes that promoter is under a duty to take reasonable steps to acquire a property by agreement before doing so by compulsion (para 2 DCLG 2015 Circular). It shall object to the acquisition of its land by compulsion unless the promoter is willing to engage in through, timely and comprehensive negotiations.