The UK Government has launched a consultation to enhance transparency in the property sector, focusing on the ownership of land trusts. This move aims to clarify who owns and benefits from land held in trusts, addressing issues of secrecy and potential corruption in the sector.
Housing Secretary Michael Gove said: “It matters who really owns land and property. It matters for how and where we build our homes, grow our food, and power our country. These proposals will lift the veil of secrecy currently afforded to land-holding trusts.” He underscored the importance of transparency in land ownership for fair housing and land markets and the risks posed by a lack of such clarity.
Minister for Enterprise, Markets and Small Business Kevin Hollinrake added: “There’s no place for fraud and other illegal activity in our society, so it’s fantastic to see the launch of this consultation which fulfils a government commitment and ensures more is being done to make the trust information held on the Register for Overseas Entities more transparent.”
The consultation, open for eight weeks, invites views on improving access to trust information on the Register of Overseas Entities and making land ownership involving trusts more transparent. This aligns with the commitments made during the passage of the Economic Crime and Corporate Transparency Act 2023. The Government plans to implement changes following the consultation swiftly.
These efforts build on existing measures, including the Trust Registration Service and the Register of Overseas Entities, aimed at curbing money laundering and terrorist financing. The focus is on offshore trusts in the UK property sector, identified as posing a higher risk of money laundering.
