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First-tier Tribunal (General Regulatory Chamber) |
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You are here: BAILII >> Databases >> First-tier Tribunal (General Regulatory Chamber) >> Tarling v Somerset Council & Anor (Re Community Right to Bid) [2024] UKFTT 442 (GRC) (30 May 2024) URL: http://www.bailii.org/uk/cases/UKFTT/GRC/2024/442.html Cite as: [2024] UKFTT 442 (GRC) |
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(General Regulatory Chamber)
Community Right to Bid
Heard on: 14 May 2024 |
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B e f o r e :
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MR ANDREW TARLING | Appellant |
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- and - |
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(1) SOMERSET COUNCIL (2) SAVE THE HALF MOON GROUP |
Respondents |
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For the Appellant: In person
For the Respondent: Mrs A Kershaw-Moore, solicitor
For the Second Respondent: Mr Toby Butler, chairman of Save the Half Moon Group
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Crown Copyright ©
Decision: The appeal is dismissed.
The Half Moon Inn
Registration as an Asset of Community Value
Under subsection (1):
(a) an actual current use of the building or other land that is not an ancillary use furthers the social wellbeing or social interests of the local community, and
(b) it is realistic to think that there can continue to be non-ancillary use of the building or other land which will further (whether or not in the same way) the social wellbeing or social interests of the local community.
Or, under subsection (2):
(a) there is a time in the recent past when an actual use of the building or other land that was not an ancillary use furthered the social wellbeing or interests of the local community, and
(b) it is realistic to think that there is a time in the next five years when there could be non-ancillary use of the building or other land that would further (whether or not in the same way as before) the social wellbeing or social interests of the local community.
The appeal
Issues
a. Was there a time in the recent past when an actual use of the pub (that was not an ancillary use) furthered the social wellbeing or interests of the local community?
b. Is it realistic to think that there is a time in the next five years when there could be non-ancillary use of the pub that would further (whether or not in the same way as before) the social wellbeing or social interests of the local community?
"20. The relevant legal principles this court must follow in deciding an application of this kind are essentially as follows. The court must disturb the decision of the IOT only if satisfied that the decision is "wrong". This does not mean that the court is confined to acting only if a public law error is identified, such as would be the position on judicial review. The way in which the principle operates so as to prevent an unconstrained "merits" review is by requiring this court to give weight to the views of the specialist Tribunal.
21. Although arising in a different statutory context, it is instructive to note what Andrews LJ has said recently in Waltham Forest LBC v Hussain & Ors [2023] EWCA (Civ) 733 at paragraph 64:
" 'Wrong', as Upper Tribunal Judge Cooke explained in Marshall v Waltham Forest LBC [2020] UKUT 35 (LC) means in this context that the appellate tribunal disagrees with the original decision despite having accorded it the deference (or 'special weight') appropriate to a decision involving the exercise of judgment by the body tasked by Parliament with the primary responsibility for making licensing decisions. It does not mean 'wrong in law'. Put simply, the question that the FTT must address is, does the Tribunal consider that the authority should have decided the application differently?"
a. First, Mr Tarling has raised the issue of compensation. Under regulation 17 the Tribunal only has jurisdiction to consider compensation "where a local authority has carried out a compensation review", and no such review has been carried out.
b. Second, Mr Tarling complains about the procedure followed by Somerset in listing the pub, its delay in conducting the review (months beyond the statutory time limit) and the suitability of the reviewer. The Tribunal has no jurisdiction to afford redress for any of these matters, the legislation provides no specific consequences for breaching its provisions, nor are these complaints otherwise determinative of the appeal – the outcome depends on the answers to the questions posed above. I do accept that when answering those questions, failures by Somerset may be relevant to the weight that ought properly to be attached to their views.
c. Third, in his closing submissions Mr Tarling queried whether Save the Half Moon's stance that it would not put forward a bid itself carried any legal consequence. It does not, there being no requirement in the Act or Regulations that the voluntary or community body must actually propose to bid for the land itself. The lack of such intention is still a relevant factor in answering the question on future use, but no issue arises concerning the validity of the nomination.
Community value in the recent past
Future use
30. In Gullivers Bowls Club Ltd v Rother District Council and Anor (CR/2013/0009), Judge Warren heard an appeal by Gullivers Bowls Club Ltd, the owner of land used as a bowls club, which appealed against the inclusion of its land in the statutory list, following nomination by a Community Association. Judge Warren held:
"11. Turning to the future condition in Section 88(1)(b) Mr Cameron [representing the Bowls Club] submits that the existing bowls club has no realistic prospect of continuing. He points to the poor state of the buildings and the finances and relies on a report prepared by GVA. This finds that Gullivers is not commercially viable. Mr Cameron submitted that since listing lasts for five years, my starting point in considering whether the future condition was satisfied, should be whether the bowls club could continue in existence for that length of time.
12. I do not accept that the statute requires me to foresee such long-term viability. Indeed, it seems in the very nature of the legislation that it should encompass institutions with an uncertain future. Nor, in my judgment, is commercial viability the test. Community use need not be and often is not commercially profitable.
13. On this issue, I accept the submissions made by Mr Flanagan. Gullivers may be limping along financially but it still keeps going and membership is relatively stable. Of course it is possible that something could go drastically wrong with the buildings and Gullivers would not have the capital to repair them; but that has not happened yet and, in an institution that has lasted for 50 years, it would be wrong to rule out community spirit and philanthropy as resources which might then be drawn on. In any event, should the site cease to be land of community value, Rother would have power to remove it from the list."
31. In Worthy Developments Ltd v Forest of Dean District Council and Anor (CR/2014/0005), Judge Warren dismissed the appeal of a developer, which had bought a former pub known as the "Rising Sun" outside Chepstow, and wished to build two four-bedroomed houses on the site. A planning application to that effect had been refused but was likely to be appealed. The respondent accepted nomination by the "Save our Sun Committee" of the land and building comprising the pub. On the issue of section 88(1)(b), Judge Warren held:
"17. In respect of the future condition, Worthy Developments Ltd asked me to have regard to their intention to develop the plot to provide two houses. I take that into account although I balance it with the fact that they have not yet obtained the necessary planning permission. I also take into account the remoteness of the public house which must compound the general malaise affecting public houses nationally.
18. The written submissions ask me to consider which was the more likely to happen, that planning permission should be obtained and houses be built, or that the building be revived as a pub? In my judgment, however, to approach the issue in this way is to apply the wrong test.
19. I agree with the council. The future is uncertain. Worthy Developments Ltd may or may not obtain their planning permission. They may or may not sell the land. The Save our Sun Committee may or may not see their plans reach fruition. It remains still a realistic outcome that The Rising Sun might return to use either as a traditional pub or as a pub/shop/community centre as envisaged by the committee.
20. My conclusion in this respect is reinforced by the pledges of support and petitions gathered by our (sic) Save our Sun Committee. It is true that they have not yet made an offer with a firm completion date but their proposals are not fanciful. It is enough that return to use as a pub or some other venture furthering the social wellbeing or interests of the local community be realistic."
a. There has been a large influx of new young families into the village in the last two or three years, and nowhere to meet that can be easily walked to with children. Other pubs in the wider area successfully offer daytime teas, coffees and lunch menus, and so could the Half Moon Inn. Likewise, the ageing residents of the village unlikely to be able to access other venues that can only be reached by car.
b. So popular were the skittles and darts teams in the past, they could surely be re-established. The function room remains intact and the village "now has many professional musicians, artists, film makers, set designers, all of whom would love to have a venue to use".
c. There is no local shop in the village, and a small part of the building could open for a short time in the morning to sell "basic or artisan supplies – bread, milk, cheese, etc".
d. Beer from small and microbreweries is now very popular and the pub could increase its commercial viability by hosting beer and food festivals from local suppliers come out that would draw in paying customers from further afield.
a. First, Mr Tarling points to the high cost of repairs. In his grounds of appeal he estimates that investment in excess of £1 million would be required. This figure is not broken down, but in his oral evidence he explained that the immediate priority is the roof. His survey when buying the pub 32 years ago had said that the roof needed replacing. Such is its state of repair now that it leaks water and cannot be insured, precluding commercial use. The roof is listed, dates from around the year 1800, and has eleven elevations with original tiles and elm purlins. It had been patched here and there, but replacement is now necessary. There are only two roofers in the South-West who could bring it up to standard, and he had been quoted more than £40,000 just for the scaffolding. In his Reply, he estimates that the total job would take over five years and cost over £300,000 plus VAT. Modernisation and refurbishment would be an additional major cost.
b. Second, Mr Tarling repeats his case on viability. Costs have risen and custom declined. Recent extension of the minimum wage to 18-20 year olds means a 14.8% wage increase that will hit hospitality particularly hard. The wage bill of a busy viable pub would be around £3,000 per week together with utility costs of £700 per week. Mr Tarling cites a recent Sunday Times article to show that the average profit on a pint of beer is now 12 pence – less than half of the 2018 figure.
c. Third, there is another pub, the White Horse, just outside the village and this competition, together with the lifestyle and social changes from the past few years makes it unlikely that anyone would find the expenditure described above worthwhile. If there are customers who truly wish to walk to a pub, they already walk to the White Horse.
d. Fourth, Mr Tarling casts doubt on whether some of the supporters would realistically patronise the pub as much as they now claim – what, he asks, was stopping them when it was still open? Why did it take them so long to nominate it as an ACV?
e. Fifth, Mr Tarling raises doubts as to the likelihood of someone running a shop from the pub, or of people travelling from far afield to visit it
f. Sixth, Mr Tarling states that he has no intention of selling the Half Moon Inn at the sort of price available for it to be run a pub. He and his family will simply continue to live there.
"An effort would be made to re-open and transform the business via the introduction of high quality ale, wine and cuisine. I do not see any reason that this site could not be very successful following investment and the selection of highly competent, enthusiastic and skilled staff.
Our business is London based, and we do understand that a country pub may require more marketing, community engagement and promotion, combined with a more nuanced approach to service than our city sites. With almost 40 years of business, and a plethora of material and experiential resources within our family business, we are confident of success."
Signed
Judge Neville
Date: 29 May 2024