Cornerstone Telecommunications Infrastructure Ltd v Compton Beauchamp Estates Ltd
[2022] UKSC 18
Independent editorial summary — not the official judgment. Read the full judgment via the source link.
Ratio Decidendi
Under the Electronic Communications Code (Schedule 3A Communications Act 2003), the consideration (rent) for an agreement to install telecoms apparatus should be assessed on a 'no-network' basis — excluding the value attributable to the telecommunications use.
Facts
A telecoms operator sought to renew rights to maintain a mast on private land. The landowner argued for market rent; the operator argued for the lower 'no-network' valuation basis.
Judgment Summary
The Supreme Court confirmed the 'no-network' valuation approach: the consideration should reflect only the value of the land without the telecoms use. This significantly reduced the amounts telecoms operators pay for site access.
Key Quotes
"This is an important provision because although it provides that the fee must represent the market value of the relevant person’s agreement to confer the right or be bound by the right, that market value must be assessed on the assumption that “the right that the transaction relates to does not relate to the provision or use of an electronic communications network” and that there is more than one site which the buyer could use. These assumptions - sometimes referred to as the “no scheme” basis for valuation - effectively remove from the equation the enhanced value that the rights to the land have to the operator (rather than to anyone else) arising from the use of the land as part of the network."
— Lady Rose at [24](verbatim, verified against the judgment)
Subsequent Treatment
Definitive authority on valuation under the Electronic Communications Code.
What To Do Next
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