TRSM22020 - Types of trust that need to be registered: contents: registrable express trusts: contents: additional registration requirements for non-UK express trusts
Acquisition of UK land by non-UK trusts
For non-UK express trusts the acquisition of UK land by the trustees on or after 6 October 2020 triggers the requirement for registration.
The trustees of a trust are treated as acquiring UK land when one or more of the trustees become registered:
- with HM Land Registry as the proprietor of a freehold estate in land or of a leasehold estate in land granted for a term of more than 7 years from the date of the grant;
- with the Land Register of Scotland as the proprietor of land or as the tenant under a lease; or
- with the Land Registry of Northern Ireland as the owner of a freehold estate in land or of a leasehold estate in land granted for a term of more than 21 years from the date of the grant.
(Reg 42(5) of the Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Payer) Regulations 2017).
The above definition means that to be treated as acquiring UK land, the trustees must acquire the land directly.
If the trustees have acquired UK land prior to 6 October 2020 and a subsequent change to the appointment of the trustees results in a new trustee being registered as one of the owners of the land with the relevant land register, for the purpose of this registration condition the trustees are not treated as re-acquiring the land.
Note that this condition is only relevant for non-UK express trusts. UK express trusts are required to register (subject to the exclusions at TRSM23000) regardless of whether or not the trustees have acquired UK land.
Example
The trustees of the Jersey ABC Trust acquired the freehold to a property in London on 1 January 2020. As this was before 6 October 2020, this does not trigger the requirement to register on the Trust Registration Service (TRS).
On 1 January 2023 the trustees acquire the freehold to a second property in London. As this acquisition occurred after 6 October 2020, this event triggers the requirement for the trust to register on TRS.
Business relationship
Trustees of a non-UK express trust with at least one UK resident trustee must register when the trustees, in their capacity as trustees of the trust, enter into a business relationship with a UK relevant person on or after 6 October 2020. See TRSM24000 for further information on business relationships.
Note that this condition is only relevant for non-UK express trusts if one or more of the trustees are UK resident.