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Comment & Opinion

Contractual control agreements over land: 2026 update

“The government has now legislated for a contractual control registration regime. From next year, grantees will be under a statutory duty to report certain contractual rights/agreements to HM Land Registry, to reveal who controls land (short of ownership), and on what basis. If you’re a land developer or promoter, you should audit your land control arrangements, update precedents and prepare reporting processes to avoid delays and potential sanctions.”

Steve Nixon, Partner, Real Estate

We reported previously on the government’s proposals to collect information on who controls registered land in England and Wales. Following consultation, the Provision of Information (Contractual Control) (Registered Land) Regulations 2026 have been published. They create a statutory duty to submit prescribed information to HM Land Registry about specified contractual control rights commonly used in the strategic land market, such as options, conditional contracts, pre‑emptions, and certain promotion agreements, for example, over registered land in England and Wales. The aim is to reveal who controls land (short of ownership), how, and for how long.

What are in-scope ‘contractual control rights’?

Under the draft Regulations, a contractual control right is a right in a written agreement relating to registered land that regulates or prevents a proprietor from making a relevant disposition (a transfer or grant of a lease of 15+ years), or that enables a grantee to direct or request such a disposition. In-scope rights include options, conditional sale agreements, pre‑emptions, and certain promotion agreements – both absolute and conditional rights and rights that affect part only of a title.

What’s excluded?

Certain contractual control agreements over land are exempted, such as rights necessary or incidental to loan/security arrangements (including overage security), short‑term control rights with less than 18 months total control, rights affecting leases with less than 15 years unexpired at grant, rights kept exclusively for non‑development purposes, rights relating to section 106 agreements. Overage/clawback and restrictive covenants are also excluded.

What must you report and when?

To meet the new transparency requirements, you must disclose prescribed contractual control information digitally to HM Land Registry, using a regulated conveyancer. This includes:

  • Party names, company numbers (or equivalent), and, for individuals date/place of birth (for ID verification only, not to be published).
  • Details of the rights, including type, date and parties to the agreement, how and when it may be exercised, and period of control, including mechanics for extension/termination.
  • Affected title numbers and extent (including whether part‑title, airspace/subterranean rights, etc.), and address and post code.

Financial terms are expressly excluded and not reportable.

The Regulations are expected to be made in the first half of 2026, and to come into force from 6 April 2027.

If you enter into an in‑scope right during the transitional period (from the making of the Regulations to 6 April 2027), you must report it by 6 October 2027. After that, you will have 60 days to report any grant, variation, assignment or determination, exercise or expiry of an in‑scope agreement.

You report via the grantee, who must submit the required data digitally to HM Land Registry through a registered conveyancer.

If you fail to comply, you risk criminal sanctions, and HM Land Registry may refuse to register notices or restrictions protecting an unreported right.

What you should do now

Even before the April 2027 go‑live date, new rights granted after the Regulations are made in 2026 will be reportable by October 2027. This has immediate ramifications for site‑assembly, portfolio management, and deal transparency. You should:

  • Audit all portfolio contractual control agreements, including options, conditional contracts, pre‑emptions, and promotion agreements across UK registered land (including all part‑title arrangements), to identify whether in scope or exempt.
  • Diarise upcoming triggers, such as renewals, variations, assignments, and anticipated exercises after April 2027. Remember, historic agreements will be captured if varied or assigned.
  • Update precedents to include provisions obliging the grantee to submit prescribed information within 60 days and to give data updates post‑variation/assignment, plus expiry/exercise notifications.
  • Review/expand operational practices to ensure you’re consistently capturing all reportable information, including party identifiers, title numbers, and control periods (including extensions) at the point of sign‑off, including diarising triggers.
  • Consider whether land control information going public and/or increased conveyancer cost and administrative burden should be factored into land valuations, commercial negotiations, planning or acquisition strategies, and community/stakeholder engagement.

How we can help

Our development and housebuilder teams are already working with clients to prepare for and operationalise the new contractual control over land transparency regime. We can support with portfolio reviews and gap analyses; updating precedents and playbooks; assisting with commercial, contractual negotiations and re-negotiations; delivering tailored training for your legal, land and acquisitions teams on the new regime; and keeping you up to date with key developments as the regime commences and operates in practice. Please contact Steve Nixon to discuss.

 

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