31/03 13 October 2003

LAND REGISTRATION ACT 2002 COMES INTO FORCE TODAY

The new Land Registration Act 2002 Act (LRA 2002) and LandRegistration Rules 2003 come fully into force today, 13 October 2003,completely replacing the statutory framework for Land Registration set out inthe 1925 legislation. A new Fee Order prescribing the charges for theregistration services contained in the Act comes into effect at the same time.

Key changes made by the Act are:

Moreinformation on the register, streamlining conveyancing investigations. The Actreduces the number of interests that can exist off the register (overridinginterests) and increases the range of interests that can or must be registered,thus reducing the investigations that must be carried out and increasingcertainty in property transactions. All leases over seven (rather than 21)years will have to be registered, bringing most leases, and therefore mostcommercial property transactions, within the scope of the Act.

Better title for registered owners.The interests of registered proprietors are given increased protection againstthe acquisition of title by squatters.A squatter will not be able to apply successfully to be registered asowner of the land however long he or she may have been in adverse possession,if the existing owner objects, except in very limited and clearly definedcircumstances. This additionalprotection should encourage owners of unregistered land to register theirtitle, helping to complete the Land Register and making the benefits ofregistered conveyancing more widely available.

Electronic conveyancing. The Act makes possible thedevelopment of an electronic conveyancing system by setting out a framework inwhich interests in registered land can be transferred and createdelectronically. Land Registry is now developing a system to be piloted from2006.

Adjudicator. The Adjudicator to HM Land Registry is a new office createdby the Act. The role of the independentAdjudicator will be to determine disputed land registration applicationsreferred from Land Registry.

ENDS

NOTES FOR EDITORS

1. The Land Registration Act 2002comes into force on 13 October 2003, although a number of provisions includingthose relating to the appointment of the Adjudicator to HM Land Registry andthe power to set land registration fees are already in force.

2. The Land Registration Act 2002 received Royal Assent on 26February 2002. The Land Registration Rules 2003 which underpin and support theAct were laid in Parliament on 5 June 2003.

3. Comprehensive information about the new Act, Rules and FeeOrder is available from Land Registrys website www.landregistry.gov.uk/legislation or local Land Registryoffices.

4. With the largest property database in Europe,todays Land Registry underpinsthe economy by guaranteeing ownership of many billions of pounds worth ofproperty. Around 1 million worth of property is processed every minute inEngland and Wales.

5. Land Registry is a Government Department, Executive Agencyand Trading Fund and reports to the Secretary of State for ConstitutionalAffairs and Lord Chancellor. LandRegistry keeps and maintains a registerof interests in land for England and Wales. There are 24 offices inEngland and Wales, each providing land registration services for differentcounties and unitary authorities. For more information about LandRegistry, please visit its website at www.landregistry.gov.uk

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