url encoding in XML

Hi,
A very basic question.  Should the hrefs that appear within the XML content be encoded? For example, should the hrefs reported in the DAV:successor-set be URL encoded?

<D:successor-set>
	<D:href>http://repo.webdav.org/his/23/ver/V+1</D:href>
	<D:href>http://repo.webdav.org/his/23/ver/V 1</D:href>
</D:successor-set>

Should the '+' and the blank in the above URLs be encoded?

Rgds,
Girish