This article first appeared in Local Government Lawyer
The Provision of Information (Contractual Control) (Registered Land) Regulations 2026 take effect on 6th April 2027 and introduce a new layer of statutory registration for any development agreement which includes within it a conditional transfer of a land interest, an option or a right of first refusal. These are referred to as ‘contractual control rights’.
The new legislation will also operate retrospectively as it will also apply to agreements signed between 8th June 2026 and 6th June 2027. The beneficiaries of those agreements will have until 6 October 2027 to register. Everyone else will have 60 days from the date of signing to complete registration
To what agreements might the regulations apply?
The regulations will apply to any conditional contract which has a significant development element and which includes a future obligation to transfer ownership to another party, whether freehold or on lease. This will also include some section 106 planning obligations, including highways or open space agreements but only where those statutory agreements include a future obligation to transfer ownership. Other Section 106 agreements not involving land transfers will be exempt from registration. There are also exemptions for small developments not involving the construction of new dwellings or other buildings where the floor space created is less than 100 square metres. Nor does an overage obligation trigger any obligation to register. There is also an exemption for temporary agreements with a duration of less than 18 months. Mortgages and other financial securities are similarly exempt.
Most importantly, the new registration requirements will only apply to registered land. It will not apply to a contractual control agreement affecting land which is for the time being unregistered. Nor would it apply to a private individual entering into a conditional contract to acquire land on which to build their own home. That individual would not be an ‘undertaking’ for the purposes of registration
What is the purpose of the new registration scheme?
The accompanying Government guidance does not expressly state the purpose of the new registration requirement. But reading between the lines, it seems to be about information gathering on pending developments, which the Government will then use to inform the rollout of its affordable housing agenda.
What is the process of registration?
Whilst there are still some segments of the compliance jigsaw yet to fall into place, the Land Registry has now issued its Practice Guide 84 ‘Contractual Control Rights’.
Between now and the full launch on 6th April 2027, the Land Registry will introduce ‘Report Contractual Control Over Land’ as its new registration platform. The new process will be entirely digital. The Land Registry will not accept plans as PDFs, although the new digital registration system will include an integrated map drawing tool.
Responsibility for compliance will be entirely on the beneficiary of the contractual control mechanism. In many cases that will be the registered social landlord acquiring surplus housing land for redevelopment. However, it will be for the local planning authority to register any section 106 planning obligation which includes a prospective land transfer.
With the exception of existing contract control agreements signed before full launch on 6th April 2027, registration must take place within 60 days of signing. That registration must also be updated on any future assignment or variation of that contract. Applications for registration can only be made by a UK registered conveyancing practitioner.
What information must be provided on registration?
- The full names of the grantor and the grantee;
- A unique reference or company registration number for any corporate party to the agreement.
- Where the grantor is an individual, their date and place of birth;
- The type of contractual control right
- The date, parties and title or other description of the contract
- In the case of an option or other conditional sale, the date from which that contractual right can be exercised or, for a conditional contract, details of those conditions
- Details of the initial period of control and any provisions to extend it as well as an entitlement for either party to terminate it
- The title number of the qualifying estate
- The address and postcode of the land subject to the right
- Details of whether the land subject to the right includes anything above or beneath the surface.
What about commercial confidentiality?
Apart from the summary registration details which have to be provided, commercial confidentiality will be preserved. Although a grantor’s date and place of birth may have to be disclosed in the registration application, that information will not fall into the public domain. Access to the contract control register will not enable anyone to download the contract itself. Only the summary details.
What are the sanctions for non-compliance?
Although there is a possibility of prosecution for non-compliance under section 225 of the Levelling Up and Regeneration Act 2023, the main sanction for non-compliance is the inability to protect any agreement by registration of a Restriction or Notice under the Land Registration Act 2002. What this means is that the contract control agreement would not be binding on anyone dealing with that registered title who did not have deemed notice of its existence.
How does it interface with other registration regimes?
Section 106 planning obligations are already registerable as local land charges. The same is true of agreements expressed to bind successors in title under Section 33 of the Local Government (Miscellaneous Provisions) Act 1982 and Section 16 of the Greater London Council (General Powers) Act 1974. There is also the regulatory obligation under Article 40 of the Town and Country Planning (Development Management Procedure) (England) Order 2015 to publish the entirety of any Section 106 obligation on a council’s planning portal. None of these existing registration requirements are affected by the new regulations.
What do I have to do now?
Identify any contract control agreement signed since 8th April 2026 which benefits your corporate client and obtain any outstanding information you need to get it registered by the 6th October 2027 deadline. Ensure that future contracts are clear as to responsibility for registration. Include any nomination agreements, where the Council is reserving nomination rights over a future development. Update case management systems to ensure that anyone dealing with these transactions is alerted to the need to register.
