Law Commission To Review The Law Relating To Ownerless Land

The Law Commission is the government agency which considers changes to the law, identifying potential areas for review, consulting on them with experts and the public and publishing reports with their recommendations  which may lead to changes to legislation. 

Their latest programme was launched on 4 September 2025 and one of the projects identified was further issues with commercial leases.

In England and Wales, ownerless land passes to the Crown. If a UK registered company owning land is dissolved, the land transfers to the Treasury Solicitor as “bona vacantia” . The Treasury Solicitor has a power to disclaim their title to the land. Additionally, if a person or a company owning land becomes insolvent, their trustee in bankruptcy or liquidator has a power to disclaim their title to the land. If a freehold title is disclaimed, the land reverts (“escheats”) to the Crown and becomes part of the Crown Estate.

Where ownerless land reverts to the Crown, the Crown Estate is generally not liable for it unless it performs an act of possession or control, but it is unclear as to what qualifies as a sufficient act of possession or control. For example, giving someone permission to enter the land or participating in legal proceedings relating to the land may be acts of control.

While many plots of land that become ownerless may cause no issues, this is not always the case. For example, problems can arise where land containing dangerous buildings or environmental hazards becomes ownerless. There can be difficulties in managing ownerless land and in bringing the land back into profitable use. The land may require remedial work to make it sellable (with nobody in a position to perform it) or it may still be burdened by mortgages, which make it unattractive to potential buyers.

The commissioners believe that the law governing ownerless land is antiquated, hence the need for review.

The project will carry out a review of the law of bona vacantia and escheat, including the liability of the Crown for ownerless land and whether some types of ownerless land should pass to a body other than the Crown. The project will also examine the rights of leaseholders where the landlord’s title escheats.

As to timing. The commissioners say work will commence “as soon as resources allow”, with further steps and their timings to be confirmed in due course.

Ownerless land – Law Commission