New transparency requirements to impact property sector

Under the new regime, the Land Registry will maintain a register containing key information about qualifying land agreements. While the agreements themselves will not be publicly available, important details relating to the agreements will be disclosed.

Property lawyers say the changes represent one of the most notable shifts in land transparency in recent years and are likely to provide greater insight into strategic land holdings and development opportunities.

Karl Brown, a property expert at national law firm Clarke Willmott, said: “The regulations apply to agreements concerning registered land in England and Wales that grant rights to acquire a freehold interest or a lease exceeding 15 years, provided the agreement has a duration of at least 18 months. The agreements include option agreements, rights of pre-emption, conditional contracts and certain promotion agreements.

“Some arrangements are excluded, including section 106 agreements that relate solely to infrastructure, amenities or services, loan security arrangements and rights that are unrelated to development, such as utility or maintenance rights.”

The register will contain core information, including the type of contractual control right, the parties involved, the land affected and key dates relating to the arrangement. Although commercially sensitive terms will remain confidential, the regulations will significantly increase visibility of who controls development land and for how long.

The regulations come into force on 6 April 2027. However, there is a retrospective element in that they apply to agreements granted on or after 8 June 2026. Existing agreements which are assigned or varied (where the variation affects any of the required information) on or after 6 April 2027 are also caught.

The regulations only apply where the right is held by a business, charity or other organised activity or where a public function is being exercised.

Responsibility for registration will rest with the recipient of the contractual right, which in most cases will be the developer or promoter, and the process is expected to be managed by their legal advisers.

There will also be an ongoing obligation to update the register within 60 days if an agreement is assigned, varied (as above), exercised or comes to an end. Failure to comply without a reasonable excuse could result in criminal liability and may also lead to practical consequences, including HM Land Registry refusing to register notices or restrictions on affected titles connected to the agreement.

Alistair Wallworth, partner in Clarke Willmott’s commercial property team, is encouraging developers, promoters and landowners to begin identifying existing or future qualifying agreements within their portfolios. He also advises reviewing transaction processes and ensuring appropriate systems are in place to capture the information and deadlines required by the new regime.

“The reforms signal a clear move towards greater transparency in land ownership and development control arrangements, with potentially far-reaching implications for the property sector.”