New laws to tackle “dirty money” in the UK have been fast-tracked through parliament in a bid to target Russian elites following the invasion of Ukraine.
The Economic Crime Bill received Royal Assent in the early hours of yesterday, after the Houses of Parliament sat beyond midnight to ensure the measures became law.
The Bill will establish a new register of overseas entities, requiring foreign owners of property in the UK to declare their true identity.
The register will need to be updated each year and punishments for failing to declare details, or submitting false information, will result in the asset being frozen – meaning it cannot be sold or rented out.
Timothy Douglas, head of policy and campaigns for trade body Propertymark, said: “The housing market cannot maintain integrity until it is possible to know who the ultimate owner of a property is.
“The register will help to do this and strengthen existing checks carried out by agents, but only when information on the Register can be verified which will require further legislation to provide extra powers for Companies House.
“The legislation is four years too late, and whilst the issue is finally being addressed, it seems the real benefits will come in the second Economic Crime Bill.”
