Land Registry: if it ain't broke, don't fix it

The Land Registry (LR) has launched a consultation to widen its powers beyond land registration. It wants to engage in new activities such as providing local land charges information, which currently forms part of the local authority search we conveyancers undertake as part of our due diligence using the LLC1 enquiries.

In relation to LLCs, the LR’s goals include:

• implementing a standard fee and allow payment by account;
• standardising and improve processing times;
• standardising the format of results; and
• supporting the government’s digital by default agenda.

An electronic LLC register is a key part of achieving these aims. The LR may also look at maintaining other registers about properties, such as a register of licensed landlords. And there could be scope for storing other documents alongside property information such as certificates and guarantees.

Certainly, this all seems well and good. But how will this affect conveyancing day to day?

For the most, my CON29 and LLC1 searches are returned relatively quickly. This seems to be the case regardless of which search provider I use. Maybe it’s because of the local authority’s efficiency, so others may have different experiences. Regardless, although increasing efficiency and accessibility while lowering costs is a good thing for the conveyancing process, I also think that the LR is focusing on an area that is perhaps of little consequence.

If it is possible to centralise LLC results to a point where you can get them as quickly and as easily as office copy entries, this will have some positive impact on the conveyancing process. And expanding it to all searches, including the CON29, which may happen eventually, would dramatically reduce conveyancing timescales.

Warning signs

It seems that as the UK property market is seen as one of the key components to the success or fall of the economy, there is little regard for the fact that extending these powers could, ultimately, create a monopoly on providing such data and thus see the decline and eventual eradication of search providers throughout the UK – not to mention job losses in the land charges departments in each of the 348 local authorities.

Some commentators say this consultation is just the beginning and perhaps the Land Registry is trying to make more money for the exchequer; others believe this is the first step to ultimate privatisation.

If privatisation is the goal then this, in turn, could spell disaster for the conveyancer. A private company that is driven by maximising profit may have shortcomings when it comes to the types of skills and expertise we are used to in the current LR system.

Staff would be asked questions that may use a tick-box mentality rather than the necessary knowledge to handle some of the more complicated issues. Will there be a senior land registrar and what qualifications will
they have?

Finally, with the monopoly in place, conveyancers and our clients may be held to ransom by increasing costs to boost profits.

John Coulter is a solicitor at Hadaway & Hadaway