Last year we reported on the new Register of Overseas Entities (“ROE”), which was launched by the UK Government on 1 August 2022 under The Economic Crime (Transparency and Enforcement) Act 2022.
The new rules require overseas entities (being an entity governed by law outside of the UK, including ROI, Jersey, Guernsey and Isle of Man) which own property* in the UK to register in the ROE.
*The requirement to register applies retrospectively in England, Wales and Scotland, but not Northern Ireland – as described below:
- Entities which have owned property from 1 January 1999 in England and Wales;
- Entities which have owned property from 8 December 2014 in Scotland;
- In Northern Ireland, the rules will only affect interests held in land from when the land registration rules of the Act come into force – 5 September 2022.
An overseas entity must also register if it has disposed of land in any UK jurisdiction at any time since 28 February 2022.
The deadline to register is 31 January 2023.
If an overseas entity fails to register by the deadline, it will be prevented from buying, selling, transferring, leasing or charging property in the UK. In addition, there are heavy sanctions for any failure to comply with the rules.
These include criminal sanctions, with fines of up to £2,500 a day and prison sentences of up to 5 years.
Mills Selig are here to advise you on the implications of the Economic Crime (Transparency and Enforcement) Act 2022 and specifically how it applies to real estate in Northern Ireland. Please do not hesitate to be in touch with a member of the team if you have any questions.
Editorial prepared by Jayne Paterson, Consultant, Commercial Property @ Mills Selig
If you have any further questions on this topic or require specialist advice, please get in touch with us:
Chris Guy, Managing Partner, Head of Corporate – Chris.Guy@MillsSelig.com
Anna-Marie McAlinden, Partner, Commercial Property and Head of Climate & Energy – Anna-Marie.McAlinden@MillsSelig.com
Jayne Paterson, Consultant, Commercial Property
Jayne has wide-ranging experience acting for private and public sector clients, including acquisitions and disposals, commercial leases and their management (for both landlords and tenants), refinances and supporting corporate transactions.
T: 028 9024 3878