On 15 July 2025, the Law Commission published a consultation paper examining potential reforms to the law surrounding chancel repair liability (chancel liability).

The consultation explores proposed changes to both the substantive law and the way in which chancel liability is registered with the Land Registry.

This area of law is notoriously complex, with roots tracing back to the early 16th century during the reign of Henry VIII. Long regarded as archaic and inequitable, concerns around chancel liability were brought into sharp focus following the House of Lords’ decision in Aston Cantlow Parochial Church Council v Walbank. In that case, a couple was ordered to contribute approximately £190,000 plus VAT towards the repair of a local church, in addition to incurring around £250,000 in legal costs, purely because they owned land burdened by chancel liability.

In response to growing pressure for reform, the Land Registration Act 2002 (LRA 2002) introduced significant changes. These reforms removed chancel liability’s status as an “overriding interest” from 12 October 2013, with the intention that such liability would only bind purchasers for valuable consideration after that date if it was protected by a notice on the register. Or so we thought. 

As will be apparent, the changes brought about by the LRA 2002 did not fully resolve the issue. The Land Registry’s current stance is that they will continue to accept applications to register notices protecting chancel liability, notwithstanding the passing of the 2013 deadline and irrespective of whether or not the property has subsequently been transferred for valuable consideration. They say this will remain their approach in the absence of a court ruling which holds it to be wrong.

As a result, it remains difficult to definitively advise a client whether or not a property may be subject to chancel liability. In practice, this leads to routine chancel liability searches in property transactions and/or the obtaining of indemnity insurance, resulting in additional costs and the potential to delay transactions.

The Law Commission’s consultation aims to eliminate this uncertainty and clarify the legal position. Key proposals include:

• Amending the LRA 2002 to confirm that notices relating to chancel liability can be registered and that a purchaser of a registered estate is only bound by such liability if it is protected by a notice on the register.
• Addressing the position in relation to unregistered land, with proposals to allow a caution against first registration relating to chancel liability and providing that chancel liability not recorded on the register during the first registration process will not bind the newly registered estate.
• Applying these amendments retrospectively to any registered dispositions or first registrations since 13 October 2013.

These proposals will come as very welcome news to property practitioners and others involved property transactions.  

The Law Commission is inviting feedback from consultees with experience in this area. The consultation is available here and will remain open until 25 November 2025.