Yesterday, The Times published an article regarding the property arrangements of the Royal family. The politics of the monarchy aside, the article serves as a useful reminder that HM Land Registry only concern themselves with registering the legal title to property rather than any beneficial owners who sit in the background.
The most common example of this is a husband or wife holding a property on trust for his or her spouse. Another widespread example is a corporate pension trustee holding a property on behalf of an individual’s SIPP (self- invested personal pension).
If you are considering dealing with property in which you have a beneficial but not legal interest, then it is important to identify the legal owner registered at HM Land Registry. That individual (or company) will need to execute the relevant documents in order for the sale/mortgage/lease to be legally effective.
Where trustees have changed over the years, the legal title can sometimes be out of date, causing delays in the transaction.
It is therefore important to engage solicitors early on in a deal, and preferably in advance, so that any title issues can be identified as soon as possible and regularised.
In May 1987, Queen Elizabeth created a company, Tyrolese (83) Ltd, named after a region of Austria and Italy where royals have skied for almost a century. That July, the Queen’s representatives changed its constitution enabling the company to “acquire, hold and deal with property”, create “trusts of every description”, and “act as trustee for any person”.
This meant that the company could hold assets on behalf of the Queen’s family hidden from public view.https://www.thetimes.com/uk/royal-family/article/inside-andrew-sunninghill-park-deal-prsrxh9q3