Reform of leasehold tenure remains a distant goal, with Alice Bradley, co-CEO of The Leasehold Advisory Service (LEASE), stating that it is “years, not months away.” Her remarks came during a session at the Society of Licensed Conveyancers (SLC) conference, where she discussed the current state of leasehold reform and the ongoing work of LEASE. The comment came despite the passing of the Freehold and Leasehold Reform Act earlier this year, just before the end of the Conservative government’s term.
Bradley explained that while progress has been made, no definitive timescales have been set for further reform. This indicates that the government is still in the process of carefully considering the next steps. The complexities of the leasehold system require thorough deliberation to ensure that any new legislative measures are well thought out and implementable. Bradley noted that the government would take its time before bringing forward any secondary legislation to make necessary changes to the leasehold system.
The Freehold and Leasehold Reform Act has been viewed as a step in the right direction, yet it is only the beginning of what many believe will be a lengthy process. The reforms will address issues such as onerous ground rents, the ability of leaseholders to extend their leases, and the potential for the future of leasehold ownership to shift in favour of fairer arrangements. However, the passing of the initial legislation is only one part of a much broader reform agenda.
The SLC conference, which took place in Derby, provided a platform for over 100 practitioners to gather and engage in information sharing. The event allowed professionals in the conveyancing and property sectors to discuss the latest developments in the field and share insights on key issues such as leasehold reform. The packed programme was an opportunity for delegates to learn about ongoing initiatives and prepare for potential changes to the legal landscape in the coming years.
As discussions around leasehold reform continue to evolve, it is clear that further collaboration and consultation will be necessary to ensure that the final legislation addresses the needs of all stakeholders involved. While the current pace of change may be slower than some would like, the commitment to comprehensive reform suggests that meaningful progress will be made in the years ahead. The work of LEASE, along with other organisations, will be crucial in shaping the future of the leasehold system and guiding the government’s decisions as they move toward implementing secondary legislation.
In a session focusing on the use of digital signatures, the HM Land Registry (HMLR) acknowledged that there is still considerable work to be done in promoting and facilitating the adoption of electronic signatures within the profession. A poll conducted during the session revealed that 25% of attendees were currently using digital signatures in some form. However, the increased use of electronic signatures has brought about a range of issues, particularly with requisitions, as admitted by Harbinder Gill of HMLR, who pointed out that errors in submissions are frequent.
When compared to traditional wet signatures, HMLR made it clear that electronic signatures present a more secure option. The question was raised about who actually witnesses wet signatures in person, with Gill suggesting that solicitors requesting signed documents to be returned by post are not typically present when the signature is made. Electronic signatures, on the other hand, offer the added benefit of a clear and traceable audit process, which improves security and accountability.
While the security and audit trail advantages of electronic signatures are clear, there must also be a solid regulatory framework in place to support their use. In August, HMLR released updated guidance on Practice Guide 82, which outlines the electronic signatures accepted by HM Land Registry. Despite the guidance being available, over 70% of attendees admitted they had not yet read the document, highlighting a gap in knowledge and understanding within the profession.
The challenge, as Gill highlighted, lies in engaging the conveyancing profession and convincing practitioners of the benefits of electronic signatures. This will involve creating the right regulatory framework that supports their widespread use. Currently, the ‘Conveyancer Certified Electronic Signature’ serves as a halfway house, offering a temporary solution while the industry continues to adapt and build confidence in electronic methods of document signing.
The shift towards digital signatures in conveyancing represents a step towards greater efficiency and security. However, it will require ongoing education and the establishment of a robust regulatory system to ensure that these benefits are fully realised. As more professionals embrace electronic signatures, the process will become increasingly streamlined, and the legal profession will be better equipped to handle the demands of modern property transactions.
The development of digital-first journeys in the property sector was highlighted in a presentation by Rob Stevens from Nationwide, who provided a brief update on the lender’s progress. Stevens explained that digital journeys have significantly improved the speed of offer processing, reducing the time by an average of two weeks. However, he also cautioned that the lack of a personal contact point in the digital process carries risks. Lenders must ensure that clients remain aware of the potential risks associated with their property, even without the direct interaction of speaking to a person.
David Cox from Rightmove also touched on the importance of material and upfront information in property transactions. In his presentation, Cox outlined Rightmove’s efforts to consolidate the National Trading Standards Estate and Letting Agency Team (NTSELAT) Material Information guidance. He also shared insights from the portal’s own consumer research, which revealed what information potential buyers want to see in property listings. With the release of Parts A, B, and C of the guidance, estate agents are now required to provide more comprehensive information to prospective purchasers upfront.
This shift towards more transparent and accessible property information aims to improve the home-buying experience, ensuring that prospective buyers have access to all relevant details before making a decision. By consolidating these industry standards, Rightmove is helping to streamline the process and create clearer expectations for both agents and buyers alike.
As the industry continues to evolve, digital tools and platforms are playing an increasingly central role in improving efficiency and transparency. Yet, as Stevens pointed out, there is a delicate balance to be struck between automation and maintaining essential human oversight. The future of property transactions will likely rely on a hybrid approach that leverages the speed and convenience of digital solutions while retaining the safeguards and personalised support that clients rely on.
Download NOW
4 Simple Steps To Becoming Wealthy Through Property