Water and sewage companies have statutory powers to lay, inspect or maintain underground pipes across land that you might own. Their statutory rights over your land should be outlined in your purchase contract, but here’s our helpful insight…

Water Pipes – the Water Industry Act 1991

When water or sewage companies need to lay pipes or carry out maintenance, they have statutory powers under the Water Industry Act 1991. These powers allow companies to lay, inspect, maintain, and repair pipes to ensure water supply and sewage services across England and Wales.

For landowners, these powers can impact development plans and property values. Here’s what you need to know—and how Lawson West Solicitors can help.

Easements Explained

An easement may be expressly granted by Deed and provide confirmation of the routes agreed between you and the water company, therefore it is crucial to make sure that everything is described clearly and plans are in place.

Access to Private Land & Rights

Water or sewage companies have statutory powers by virtue of the Water Industry Act 1991 to access private land.

As a landowner it means you cannot prohibit a water or sewage company from entering your land to lay, inspect, maintain and repair, or alter any pipes on private land. Although these rights are not absolute and are subject to conditions, and reasonable notice periods.

How much notice must a water company provide?

• A Water company must provide reasonable notice in writing, e.g. for laying pipes this is usually 3 months minimum (s159(5)).

• The notice requirements under s159(5) Water Industry Act 1991 do not apply for works in an emergency or for specific purposes like laying or altering a service pipe.

How much compensation is given by a water or sewerage company?

• The Water Industry Act 1991 requires water and sewerage companies to pay compensation for any loss or damage caused by their work.

• The provisions relating to compensation are contained in Schedule 12.1 (2) of the Water Industry Act 1991.

Am I Entitled to Compensation?

• To be entitled to compensation there must be a strong link between the works being carried out and the loss of business, and any loss must be more than that of general inconvenience.

• The amount received, if any, will depend on factors such as its long-term impact, but will usually broadly cover the value of the land affected.

• However, the compensation is often limited to the cost of moving the cables/pipes and would not compensate you for the often, considerable, increase in value of the land if it could be developed.

What is a ‘lift and shift’ provision? and
Why is it important to include a ‘lift and shift’ provision?

• Lift and Shift provisions enable the Grantor (landowner) to command the beneficiary of the easement to relocate the apparatus (like pipes or cables) to a new location on the land and offers greater flexibility for landowners to develop their land.

• Lift and shift clauses should be drafted to clearly establish the circumstances under which the grantor can require the relocation of any easement routes, with a timescale, and an agreement as to who will bear the costs of the relocation works.

• For the clause to be effective, it must clearly define the circumstances for relocation, provide for compensation to the easement holder, and specify who bears the costs and the timescale for the changes.

• If the ‘lift & shift’ clause is triggered in the future, then it is important to remove the easement over the old route and re-register it at the Land Registry with the new route, to retain the provision for future generations.

How We Can Help Landowners

At Lawson West, our expert commercial property solicitors can advise you on the best course of action and how to overcome any obstacles as they arise, to reduce minimise disruption to you and your land.

We can help by putting you in contact with land agents or help you deal with any easement problems as constructively as possible.

Contact Us, selecting commercial property and real estate.