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CTA09/S1150

CTA09/S1178A

A Landlord cannot claim Land Remediation Relief for cleaning up contamination caused by one of their tenants.

A Landlord can claim relief for cleaning up contamination that was already present when they acquired the property from an unconnected person with no ‘slice of action� payment. For further information on “slice of action� agreements, see CIRD60155.

Example

A Ltd lets industrial premises to B Ltd, whose processes produce a certain amount of contamination. A Ltd decides to buy out the remaining 9 years of B Ltd’s lease and re-develop the site for residential use.

A Ltd engages a specialist remediation contractor to bring the site up to a standard that can be used for residential purposes.

A Ltd cannot claim Land Remediation Relief as the site was not contaminated when it acquired its interest in the site. A Ltd is also the polluter as it allowed B Ltd to carry out a process that was contaminating the site.

Example

A Ltd purchases an old factory site divided into small industrial units. Although none of the current tenants are causing pollution, the site is contaminated from activities carried on previously. »Ê¹ÚÌåÓýapp contamination is contained within one area of the site.

After a year, A Ltd buys out the remaining tenants and re-develops the site for residential use. Because the level of contamination is too high for a residential development, A Ltd has to remediate the site.

A Ltd can claim Land Remediation Relief as the land was already contaminated at the time of acquisition and nothing has been added to it subsequently.

A Ltd is not the polluter as the contamination has not spread during its period of ownership (see CIRD60135).