The Law Commission has launched a consultation on reforming chancel repair liability (CRL) – a historic, legal obligation that can leave residential or commercial property owners facing unexpected costs for church repairs. Although dating back to the reign of King Henry VIII, CRL remains potentially enforceable today and poses a real financial risk – even in modern conveyancing.
In this article, we explore why reform is needed, what the consultation proposes and what property professionals should do next.
Why does chancel repair liability still matter today?
CRL dates back to the feudal system when monasteries and lay rectors carried the cost of maintaining church chancels- the eastern end of the church, where the altar is located.
Today, certain landowners can still be required to fund repairs and, although rarely enforced, the liability can be financially ruinous.
In one infamous case, a couple discovered that their inherited house came with an obligation to pay towards the repairs to the chancel of a nearby 13th century church. After an unsuccessful legal challenge, they were left with a £189,000 plus VAT repair bill and legal costs of £250,000. They ended up paying an additional £37,000 to buy out the liability to make their property sellable.
The Land Registration Act 2002 aimed to clarify liability. From October 2013, purchasers of registered land should only be bound by CRL if it is explicitly noted on the register at HM Land Registry. However, ambiguity remains over whether the Act functions as intended and CRL in unregistered land has also proved unsatisfactory. Because of the uncertainty about whether a property is affected by CRL and the difficulty in finding a conclusive answer, some conveyancers routinely conduct additional searches or arrange insurance. While searches usually add only £30-£40 to a typical residential transaction and insurance can be as little as £15, prices can be much higher depending on the property and the insurer's risk assessment. Overall millions are added in cumulative costs to property transactions across England and Wales.
What changes does the Law Commission propose?
The Commission proposes to:
- Clarify that a buyer of registered land will only be bound by CRL if it is noted on the title at HM Land Registry.
- Clarify the effect of the first registration of unregistered land on CRL.
- Recommend that the amendments should apply retrospectively so that they apply to transactions since October 2013, potentially cleaning up murky titles.
- Put an end to uncertainty about the effect of land registration on CRL.
Next steps for property professionals
Legal reform is still some way off. The consultation is open until 15 November 2025. After that the Law Commission will consider responses and prepare its report with recommendations for change. The Government will then decide whether to proceed and, if so, will need to find Parliamentary time within a packed legislative agenda.
In the meantime, property professionals should engage with the consultation – it is a timely opportunity to help shape reforms which could simplify conveyancing and reduce unnecessary costs.
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