Contractual control agreements, digital IDs, leasehold and commonhold: policy updates for property lawyers
If you missed our 30 Jan edition, catch up here.
New regulation and updates – what property lawyers need to know
Government contractual control regulations released
New government regulations will mandate the disclosure of contractual control agreements.
They say a more transparent land market will help communities, developers and local authorities understand how land is being used, identify development opportunities, and make better-informed planning and investment decisions.
The regulations will be made in 2026 and will come into force on 6 April 2027.
However, they will also apply to certain agreements made between the date the regulations are made and the date they come-into-force.
Contractual control agreements are widely used as a means of securing rights over land. This allows developers to control land and prevent others from purchasing it while they, for example, pursue planning permission, negotiate access, assemble neighbouring sites, or secure funding.
To date, there has been no legal requirement for these agreements to be disclosed or recorded.
But new powers were granted in the Levelling-up and Regeneration Act 2023 to require the disclosure and publication of information about contractual control agreements.
We responded to the latest consultation and some of the issues we raised have been addressed in the latest materials from government.
The regulations have now been laid in Parliament and government have published the consultation outcome and guidance.
Conveyancers registering as tax advisers
HMRC published guidance on tax adviser registration requirements, ahead of the new regime starting on 18 May 2026.
You can now check if and when you need to register, and whether you meet its registration requirements.
The proposals are for anyone who interacts with HMRC and includes those who file SDLT returns. This applies to licensed conveyancers and conveyancing solicitors, even though licensed conveyancers are not permitted to give tax advice.
Whilst conveyancing solicitors can give tax advice, a solicitor who does not have the necessary specialist knowledge of tax should not advise on it and may need to advise clients to obtain specialist SDLT advice, especially in relation to higher risk transactions.
If you have any questions about this, email property@lawsociety.org.uk
We may not be able to respond directly but we will take note of what you say and raise more points with HMRC so that these issues can be addressed in their next guidance.
If you need further resources, we also offer guidance for solicitors who advise on tax.
Digital ID guidance issued
The Office for Digital Identities and Attributes published guidance on the use of digital ID checks to help firms comply with AML regulations.
Firms – particularly those considering adopting or expanding their digital ID solutions – may wish to review the guidance carefully to assess alignment with existing customer due diligence (CDD) processes, risk management frameworks and third-party provider arrangements.
Digital ID will remain subject to the same requirements as any other form of CDD, including record-keeping obligations.
Regulated entities will continue to be responsible and liable for any failures to apply CDD measures appropriately.
This liability will not transfer to the digital verification service provider.
DPMSG Smart Property Data Trust Framework
The Digital Property Market Steering Group (DPMSG) issued an explainer on ‘trust frameworks’, and how they can be applied to smart data in property transactions.
The ‘rulebook’ aims to help property transactions move from paper to digital, by ensuring all parties use shared data standards and practices.
As part of its ongoing research, DPMSG is hoping to work with conveyancers to test and assess how their businesses handle property data.
If you’d like to take part, email contact@openpropdata.org.uk.
Draft Leasehold and Commonhold Reform Bill: Law Society gives evidence
The UK government is intent on abolishing leasehold for new properties, but we want to make sure sufficient transition time is given before changes come into effect.
Lessons should be learned from what didn’t happen when the Leasehold and Freehold Reform Act 2024 was implemented.
Secondary legislation needs to be in place long before the bill comes into force, to enable time for documentation and systems to be revised and training to take place.
Philip Freedman CBE KC, consultant at Mishcon de Reya and member of our Conveyancing and Land Law Committee, appeared on a panel alongside RICS, ALEP and HMLR to give evidence to the HCLG Select Committee.
UK Finance will appear in next week’s session.
These sessions form part of the interrogation of the draft bill before it begins its passage through parliament.
MoJ seeking to take interest from client accounts: Law Society responds
We expressed extreme concerns about the MoJ’s proposals to take interest from client accounts in a response to its recent consultation.
Our president’s reaction
“The ILCA scheme cannot and should not proceed. The proposal is flawed, sets a damaging precedent and conflicts with wider government commitments on growth. It is not fit for purpose.
“The justice system is a vital public service, and the government should fund it sustainably through general taxation, not through the appropriation of client money.
“The government have not explained how much money they expect the ILCA scheme to generate and have not guaranteed the money will go back into the legal system, as it is expected to go into the MoJ’s general budget.”
Mark Evans, Law Society of England and Wales president
Reminders
These significant changes are coming over the next two months:
Renters’ Rights Act
A reminder that the first phase of key measures is being introduced on 1 May 2026, including:
- abolition of section 21 notices (no-fault notices)
- assured shorthold tenancies will automatically convert to assured tenancies
- the new grounds for possession and changes to existing grounds
- introduction of new rent review provisions
- ban on bidding to establish rents
- limiting the amount of rent payable in advance
- anti-discrimination measures in respect of families and those receiving benefits
- the right for a tenant to request a pet
TA6 and TA7: make the switch by 30 March
From 30 March, CQS firms need to make sure that only the TA6 (6th edition) and TA7 (5th edition) are used for all new transactions where the solicitor is instructed on or after that date.
All previous editions will be withdrawn:
- TA6 (4th edition)
- TA6 (5th edition
- TA7 (3rd edition)
- TA7 (4th edition)
These versions will no longer be available from suppliers.
Contact your form supplier to access the new TA6 and TA7 forms.
If you were instructed before 30 March on a sale or purchase and you’ve already used an older version of the TA6 form, you can carry on using it for that transaction. You don’t need to switch to the new version.
Consultations
Below are recent UK government proposals that could impact your area of work. Where open, we invite you to share your views and expertise.
Digital ID system
A proposed national digital ID system aims to make people’s interactions with the state more comparable to private sector service providers, ‘like online banking’.
Closing date: 5 May 2026
Moving to commonhold: banning leasehold for new flats
The government hopes a ban on the use of leasehold for new flats will make the reformed commonhold model the default tenure going forward.
Closing date: 24 April 2026
Freehold estates
Two consultations aim to tackle the growing issue of unadopted amenities on privately managed housing estates, and to give greater protection to homeowners living on these estates.
Closing date: 12 March 2026 (closed)
Building Safety Act working group
Since our guidance on the Building Safety Act 2022 was published, legislative changes and important judicial decisions have already occurred, and further changes are underway.
We’re setting up a working group where Law Society members can help review and update the guidance.
You can volunteer to join the group through Get Involved.