The Government has published draft legislation to introduce electronic conveyancing by 2002.
Legislation now allows property deals to be done only on paper, but this will be overruled by a draft order under section 8 of the Electronic Communications Act, planned to be in force by next summer.
In addition, a land registration bill, drawn up by the Land Registry and the Law Commission, is to be published this year. The bill will give e-conveyancing the final go-ahead.
With 3m land transfers each year, the switch from paper deeds to the internet is expected to increase efficiency and reduce emotional heartache for those involved.
David Lock MP, minister for property law, said: “The cost reduction is marginal compared to the speed and reliability the service will bring. But it cannot be said that it will be 100% foolproof against fraud. We are trying to make the UK the best environment in the world for e-commerce by 2002 and offer electronic service delivery from all government departments by 2005.”
This is seen as the next, logical step following the web-based provision of the National Land Information Service and the Land Registry direct service, which registers 97% of property titles.
Charles Harpum, law commissioner for England and Wales, said: “This is the biggest change in conveyancing practice. There will be a four-year period when written and electronic documents operate side by side, but this will be phased out eventually in favour of the internet.”
A development model designed to spread confidence throughout the industry is expected to be in operation by this summer. The draft legislation and a consultation paper are on: www.open.gov.uk/lcd
References: EGi News 19/03/01
