Register of Overseas Entities
The Government has confirmed that the Register of Overseas Entities will come into force on 1st August 2022.
This means that overseas entities (broadly, companies and other types of organisations) who buy, sell or transfer property or land in the UK must register with Companies House and disclose the identities of their registrable beneficial owners or managing officers. The entity will be given a unique Overseas Entity ID to give to the Land Registry when it buys, sells, transfers, leases or charges UK property or land.
This applies retrospectively to overseas entities who bought property or land in England and Wales on or after 1st January 1999.
Furthermore, entities that disposed of property or land after 28th February 2022 will also need to register and give details of that disposal.
The intention is for transactions to be transparent, allowing law enforcement agencies to investigate suspicious wealth more effectively.
Non-compliance is punishable with a fine of up to £2,500 per day or a prison sentence of up to 5 years, as well as restrictions being imposed when buying, selling, transferring, leasing or charging property or land in the UK.