Land Registry and electronic signatures

In response to Covid-19 and following a short consultation period, the Land Registry has updated practice guide 8. The updated practice guide provides that until further notice, the Land Registry will accept for registration transfers and specified deeds that have been signed electronically, provided certain Land Registry requirements have been followed.

These Land Registry requirements include that all the parties agree to the use of electronic signatures and to the use of an electronic signing platform in relation to the deed. All parties must also be represented by a conveyancer. There are then six specified steps which must be followed through to completion of the document. These steps include requirements for witnesses. If a witness is not required, for example it is being signed by two directors or one director and the company secretary, the witnessing requirements are not relevant.

There is a requirement that the conveyancer lodging the application for registration provides a certificate certifying that to the best of their knowledge and belief, the requirements set out in practice guide 8 for the execution of deeds using electronic signatures have been satisfied. Conveyancers will need to ensure that they have enough visibility on the process to be comfortable providing this. They will also need to ensure that the platform being used can satisfy the steps specified by the Land Registry (see below).

The Land Registry has published a blog post 'Electronic signatures in practice' to coincide with the update to practice guide 8. This highlights some of the feedback received during the consultation but also notes that electronic signature providers may need to adapt their existing platforms to meet the Land Registry requirements. The Land Registry notes that it hopes electronic signature providers will be able to quickly adapt. However, it is worth noting that this may of course limit the availability of electronic signing in certain circumstances, at least in the short term.

The blog post concludes by looking at next steps. It notes that the Land Registry are now looking at the potential introduction of qualified electronic signatures as soon as practically possible. The blog concludes by noting that if qualified electronic signatures do develop to be a successful option for completing property transactions, the Land Registry will review the continued use of witnessed electronic signatures and may withdraw their acceptance, which would leave only the more secure qualified electronic signatures in use.

Whilst the announcement is a positive step forward there are some issues which need to be carefully considered, in particular the capability of the various platforms and whether they can meet the Land Registry's specified steps. There is also an element of watch this space as the Land Registry continues its work in this area.