Hi Teresaevans
I do think the 1981 amendments to the 1884 Act are key to whether building (since 1981) can take place or not, but you really do need to seek qualified legal opinion on this.
Section 3 to the amendment act (Rights, powers and duties of subsequent owners) covers private ownership as well as church ownership and gives private ownership the same rights under the amendment act, section1 already quoted (Exclusion of Disused Burial Grounds Act 1884 in certain cases) which allows development and therefore amends/changes the law of 1884 - whether the land has been built on previously or not doesn't seem to come into it.
Section 3
'Where a church or other religious body disposes of an interest in a disused burial ground, then the owner for the time being of that interest shall have the same rights and powers and be subject to the same obligations, restrictions, duties and liabilities conferred or imposed by this Act on that church or other religious body, as if that interest had not been so disposed of.'http://www.legislation.gov.uk/ukpga/1981/18/section/3Section 2 paragraph 7 of the Amendment Act concerns the Disposal of human remains under the 1857 Burial Act. That would only need to apply if building works went ahead and disturbed human remains (as it appears to have done in 1928 and certainly did in the1990s when the Amendment Act was in place).
'The provisions of section 25 of the Burial Act 1857 (prohibition of removal of human remains without the licence of the Secretary of State except in certain cases) shall not apply to a removal carried out in accordance with the provisions of the said Schedule.'Section 2 in full (paragraphs 1-7) - Disposal of human remains
http://www.legislation.gov.uk/ukpga/1981/18/section/2I have far less understanding of planning acts but the argument about whether building legally took place on the site in 1928 would surely be important for planning applications for the site since if building has legally taken place (other than concreting it over for a car park which is allowed) then the site has the status of brownfill and can be more easily redeveloped under planning law an argument that has been made on appeal to the Planning Inspectorate (information from your posts) and it appears has been accepted (from your information)?
I don't doubt that Transport for London have employed some very highly trained legal staff who know their way around these Acts of Parliament both Planning and Burial Acts since building development and burial grounds, usually more ancient, regularly come into the equation in developments in central London.
I understand statutory undertakers certainly have more rights under planning law (nothing to do with undertakers as in funeral directors).
http://en.wikipedia.org/wiki/Statutory_Undertakersand it would seem building rights may have been extended by the planning act - Housing and Regeneration Act 2008 in regard to disused burial grounds (part 3 and schedule 4 parts 1-4)?
http://www.legislation.gov.uk/ukpga/2008/17/contentsPart 3 Powers in relation to burial grounds and consecrated land etc.
http://www.legislation.gov.uk/ukpga/2008/17/schedule/3/part/3The source for exhumations of 40 skeletons taking place in 1928 and being reburied at Brookwood Cemetery is the Museum of London publication their source apparently a newspaper article (my source Graveyard London Lost and Forgotten Burial Grounds). Brookwood Cemetery would be able to confirm whether that happened. The skeletons were disturbed during building works - legally or otherwise (the building works) though such exhumations could only have occurred with the necessary permissions needed under the 1857 Burial Act. That building work was stopped and in the following year the sale was declared void under the Disused Burial Grounds Act 1884 (quoted from same source as given above not actual primary source material) which would be the only legislation then applying in 1929. However in 2011 there is much more recent legislation to take into account, both the amendment to the burial act and it would seem more recent planning legislation as well (and including the Local Authorities Cemeteries Order 1977 - though Crossbones was the additional burial ground to St Saviours so this legislation which impacts on private cemeteries should not apply).
The adjacent London borough of Lambeth seem to have a churchyard and cemeteries action plan. At the end of the plan is a list where further advice on churchyards and cemeteries, their protection and conservation, can be found. Thes links might prove helpful.
http://www.rootschat.com/links/0eg6/ Regards
Valda