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England · Accredited official statistics

Practice guide 1: first registrations

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Practice guide 1: first registrations

2. Compulsory applications for first registration

2. Compulsory applications for first registration

Section 4 of the Land Registration Act 2002 specifies the events that trigger compulsory registration. Section 4(1) of the Land Registration Act 2002 calls this the ‘requirement of registration’. Although we will express a view, on request, as to whether section 4 of the Land Registration Act 2002 applies to a particular type of transaction, definitive interpretation of the section can only be given by the court.

Section 80 of the Land Registration Act 2002 provides for compulsory registration of grants by His Majesty out of demesne land. For more information see First registration based on dispositions by the Crown and the Duchies of Lancaster and Cornwall.

2.1 On a transfer of a freehold estate in land

Registration is compulsory on a transfer of an unregistered freehold estate in land:

  • for valuable or other consideration (section 4(1)(a)(i) of the Land Registration Act 2002) including a transfer of property with a negative value under section 4(6) of the Land Registration Act 2002
  • by way of gift (section 4(1)(a)(i) of the Land Registration Act 2002) including for the purposes of constituting a trust under which the settlor does not retain the whole of the beneficial interest, or uniting the bare legal title and the beneficial interest in property held under a trust under which the settlor did not, on constitution, retain the whole beneficial interest (see section 4(7) of the Land Registration Act 2002)
  • in pursuance of an order of any court (section 4(1)(a)(i) of the Land Registration Act 2002)
  • by means of an assent (section 4(1)(a)(ii) of the Land Registration Act 2002) including a vesting assent as defined in section 4(9) of the Land Registration Act 2002
  • giving effect to a partition of land subject to a trust of land (section 4(1)(a)(iii) of the Land Registration Act 2002)
  • by a deed that appoints, or by virtue of section 334 of the Charities Act 2011 has effect as if it appointed, a new trustee or is made in consequence of the appointment of a new trustee (section 4(1)(aa)(i) of the Land Registration Act 2002)
  • by a vesting order under section 44 of the Trustee Act 1925 that is consequential on the appointment of a new trustee (section 4(1)(aa)(ii) of the Land Registration Act 2002), or
  • in circumstances where section 171A of the Housing Act 1985 applies (section 4(1)(b) of the Land Registration Act 2002) (disposal by landlord that leads to a person no longer being a secure tenant)

2.2 On a transfer of an existing leasehold estate in land

Registration is compulsory on transfers of an unregistered leasehold estate in land with more than 7 years to run at the time of the transfer (see section 4(2)(b) of the Land Registration Act 2002):

  • for valuable or other consideration (including a transfer of property with a negative value)
  • by way of gift (including for the purposes mentioned in On a transfer of a freehold estate in land)
  • in pursuance of an order of any court
  • by means of an assent (including a vesting assent)
  • by a deed giving effect to a partition of land subject to a trust of land
  • by a deed that appoints a new trustee (in the circumstances referred to in On a transfer of a freehold estate in land
  • by a vesting order under section 44 of the Trustee Act 1925 that is consequential on the appointment of a new trustee

Registration is also compulsory on the transfer of any unregistered leasehold estate in land, for however short a term, in circumstances where section 171A of the Housing Act 1985 applies (disposal by landlord that leads to a person no longer being a secure tenant).

2.3 On the grant of a new leasehold estate in land

Compulsory registration applies to grants both out of unregistered freehold estates and out of unregistered leasehold estates, that at the time of the grant have more than 7 years to run. The lease granted must be either:

  • for a term of more than 7 years from the date of the grant (section 4(1)(c)(i) of the Land Registration Act 2002), and
  • for valuable or other consideration (including a lease of property with a negative value), by way of gift (including for the purposes mentioned in On a transfer of a freehold estate in land) or in pursuance of an order of the court

or:

  • for a term of years absolute to take effect in possession after a period of 3 months from the date of the grant (section 4(1)(d) of the Land Registration Act 2002).

Compulsory registration also applies to the grant out of any unregistered title of any lease for however short a term:

  • in pursuance of Part 5 of the Housing Act 1985 (right to buy) (section 4(1)(e) of the Land Registration Act 2002)
  • in circumstances where section 171A of the Housing Act 1985 applies (disposal by landlord that leads to a person no longer being a secure tenant)

Compulsory registration also applies on the creation by the owner of an estate in unregistered land of a protected first legal mortgage (section 4(1)(g) of the Land Registration Act 2002) unless it is a mortgage of a lease with no more than 7 years to run. A protected first legal mortgage is one that, on creation, ranks in priority ahead of other mortgages affecting the mortgaged estate.

2.5 Cases in which compulsory registration does not apply

Nothing in the Land Registration Act 2002 makes it compulsory to register title to:

  • incorporeal hereditaments (such as rentcharges, profits and franchises)
  • mines and minerals held apart from the surface (see section 4(9) of the Land Registration Act 2002).

Registration of the above is voluntary. Incorporeal hereditaments other than franchises, profits a prendre in gross and rentcharges can only be registered as appurtenant to registered land. Some additional leasehold interests can also be registered voluntarily. These are explained in more detail in Voluntary applications for first registration.

Compulsory registration does not apply to the transfer or grant of a lease that is a relevant social housing tenancy (see sections 4(5A) and 132(1) of the Land Registration Act 2002, as amended by section 157(3) of the Localism Act 2011).

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