The UK government’s latest push to digitalise property transactions to accelerate the homebuying process has been met with firm opposition from property lawyers, who argue that the proposed changes fail to address fundamental legal and regulatory issues plaguing the market.
Government seeks to streamline transactions
Announced earlier today, the government’s initiative aims to modernise property sales by digitising information exchange, reducing reliance on paper-based processes, and introducing standardised data-sharing rules. The 12-week project intends to establish guidelines that facilitate seamless communication between conveyancers, lenders, and other stakeholders.
Housing and Planning Minister Matthew Pennycook championed the reforms, stating: “We are streamlining the cumbersome homebuying process so that it is fit for the twenty-first century, helping homebuyers save money, gain time and reduce stress while also cutting the number of house sales that fall through.”
Support for the move has come from property market players such as Rightmove, with CEO Johan Svanstrom emphasising: “Digitising the property market is key to helping speed up the moving process. If the plans set out today can further the access to information and an improved transaction process, it’s also critical to drive industry-wide adoption of tech solutions and collaboration to make it a success.”
Nathan Emerson, CEO of Propertymark, also welcomed the changes, highlighting the need for modernisation: “[We] welcome plans to help speed up the buying and selling process via the proposal of making better use of technology. The housing sector will benefit enormously from digitisation, such commitment will ultimately bring vast consumer value and help streamline systems that have long needed progression.”
Property lawyers push back against ‘cosmetic’ solutions
Despite the optimism from some industry players, property lawyers have slammed the proposals, arguing that digitalisation will not address the deeper structural problems within the homebuying system. The Property Lawyers Alliance (PLA), formerly known as the Property Lawyers Action Group (PLAG), warned that the government itself is responsible for transaction delays due to excessive regulation and inefficient policies.
“The challenge for property lawyers is to practise law professionally but in a ‘modern manner’,” said Stephen Larcombe, Chair of the PLA. “Surely not a passive acceptance by lawyers of the rampant hype from the law-tech sector so practising law is reduced to mere algorithms.”
The PLA identified several key legal and bureaucratic hurdles that remain unaddressed by the government’s digitalisation push, including:
- Crippling anti-money laundering (AML) red tape
- A dysfunctional Legal Services Act
- The complexity of the Building Safety Act
- Underfunding of local authorities
- Poor regulation of developers
- Complex stamp duty on second homes
- Referral fees distorting the homebuying process
- A struggling Land Registry system
Digitalisation raises security and legal concerns
Beyond these fundamental issues, property lawyers have also expressed concerns over the security risks associated with increased digitalisation. With cyber-attacks on the rise, many legal professionals question whether a fully digital property system can genuinely protect buyers, sellers, and conveyancers from fraud and data breaches.
“In the light of recent cyber-attacks in the UK by cyber-criminals, why would property lawyers, let alone the public, support the creation of a digital infrastructure in the form proposed by the government allegedly to ‘speed up’ conveyancing?” Larcombe questioned.
Additionally, lawyers warn that the growing influence of the tech sector in legal processes could lead to the erosion of professional standards, marginalising experienced solicitors in favour of automated decision-making.
“A false narrative has been created to justify the dumbing down of property law,” Larcombe warned. “There is little point in being part of a group of highly trained professionals if the public is unaware of what lawyers do for them. So, the Law Society must change its direction. More importantly, it must now listen to its members working at the conveyancing coalface.”
Landlords and investors left in limbo
For landlords and property investors, the proposed changes leave many unanswered questions. While digitalisation could, in theory, improve transaction times, it does nothing to address wider inefficiencies such as delays in local authority searches, excessive taxation, and overcomplicated regulations. Many in the sector believe that without significant reform in these areas, the property market will continue to struggle with delays and uncertainty.
As one lawyer succinctly put it to the PLA: “These proposed changes are cosmetic and simply provide answers to the wrong questions.” The concern among property professionals is that the government is prioritising quick fixes over long-term, meaningful reform.
With the consultation period now underway, landlords, investors, and legal professionals alike will be watching closely to see whether the government acknowledges these concerns – or if digitalisation is simply another layer of bureaucracy dressed up as progress.
