Matthew Wiggins, a celebrity dog trainer, has been awarded approximately £4.9 million ($5 million) in compensation after his exclusive kennels were demolished to make way for the HS2 railway line. The UK government was ordered to pay the sum after Wiggins took them to court, demanding over £8 million in damages.
Wiggins moved his business, WKD Trained Dogs Ltd, to a 3.4-acre farm near Stone in Staffordshire in 2012. He transformed the site into a high-end training center with 44 kennels, supplying specially trained dogs to wealthy individuals and celebrities, including Game of Thrones actress Indira Varma.
HS2 Plans Lead to Compulsory Purchase
In 2019, the Department for Transport identified Wiggins's farm as being in the path of the planned £100 billion HS2 railway. The farm was subject to a compulsory purchase order in 2023, forcing the closure of his business as he was unable to find a suitable alternative premises.
Wiggins claimed that the years of uncertainty leading up to the compulsory purchase had significantly damaged his company. He argued that staff morale declined, impacting productivity and profits, and that the looming eviction preoccupied his own focus, preventing him from effectively managing the business. This period of uncertainty is referred to as 'shadow losses'.
Impact on Business Operations
Part of the dispute centered on the impact of this uncertainty between 2019 and 2023. Wiggins testified that the blight over his business affected his mindset and focus, preventing him from traveling to his preferred dog suppliers in Eastern Europe for fear of missing relocation opportunities. Previously, dogs were assessed in their familiar environment in Hungary, but due to the need to stay in the UK, he began sourcing dogs from Ireland. These dogs were assessed after a long journey in unfamiliar surroundings in the UK, which Wiggins claimed led to a decline in training success rates and affected company profits.
The Department for Transport's barrister acknowledged a tail-off in the rate of trained dogs to failed dogs during the 'shadow' period but suggested other factors, including the COVID-19 pandemic, were at play.
Tribunal Ruling and Compensation
Tribunal deputy president Martin Rodger KC stated that if Wiggins had not been distracted by the HS2 threat, he and his team likely would have maintained the company's performance, especially during the pandemic. The judge accepted that the scheme adversely impacted staff morale and Wiggins's own performance, leading to a decline in the trained dog rate.
The judge ruled that the change in the source of dogs was attributable to the HS2 scheme and directly contributed to the decline in performance. The award included approximately £1.3 million for 'shadow losses' and £2.7 million for the 'extinguishment' of the business, along with other losses and costs. The total awarded was £4,907,348, with approximately £3 million already paid to be offset against this sum.