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2. The good news is that the 12 year rule in relation to registered property wasa bsolished in 2003 and so no longer applies between you can your neighbour. So, your neighbour cannot build on your land, nor can your neighbour claim the boundary has moved because he has used the piece of land for more than 12 years. So, you can sue your neighbour to prevent him extending his house by 5metres into your land and get an injunction to get him to remove anything that might be there now which is his property and doesn´t belong to you. So, I would advise you to see a solicitor and get the solicitor to point out to your neighbour that adverse possession or squatter´s title was abolished in relation to registered land in 2003 and it is no longer possible to seize adjoining land just by using it or by occupying it. You should also write to the Council and state that the planning permission obtained is invalid because it encroaches unlawfully on your land. GEt your solicitor to do this also.
3. If you require any further clarification or if there is additional information you require, I am happy to provide it to you.
4. You should get a solicitor to get an injunction issued to prevent this abuse taking place. This is how you get a sale. The injunction can state that the neighbour is not to interfere with your sale and that the land is yours. This is the way forward if you want to sell your property.