Approximately 45,000 UK properties valued at an estimated \u00a3190 billion are owned through offshore structures where the beneficial owner cannot be identified, according to analysis by Tax Policy Associates.<\/p>\n
The findings are based on data from the Register of Overseas Entities at Companies House, which shows that in around 44% of cases, it is impossible to establish who ultimately owns or controls the property.<\/p>\n
Dan Neidle, founder of Tax Policy Associates, stated that the scale of hidden ownership is likely part of a \u201cmass breach\u201d of regulations designed to prevent UK property being used to launder illicit funds, evade tax or circumvent international sanctions.<\/p>\n
According to Neidle, the level of non-compliance could not be attributed to administrative error alone, as a \u201csignificant proportion is likely to be intentional.\u201d<\/p>\n
The analysis identifies several methods being used to obscure ownership. In some instances, overseas entities failed to register at all. In others, they claimed to have no beneficial owner, listed another offshore company as the owner, or named a trust without identifying the individuals who ultimately control or benefit.<\/p>\n
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While trusts can legitimately hold property, Neidle noted that it is common for lawyers or accountants to be listed instead of the actual owners.<\/p>\n
London accounts for approximately \u00a3107 billion of the estimated hidden property value, representing the highest concentration of the issue. Large numbers of properties are linked to offshore structures based in Jersey, the British Virgin Islands and parts of the Middle East.<\/p>\n
\u201cIt\u2019s very important we get to grips with this, from a tax evasion perspective as well as the more obvious sanctions-busting and money-laundering ones,\u201d Neidle said.<\/p>\n
The scale of hidden ownership creates potential anti-money laundering compliance risks for estate agents. HMRC enforcement data shows that 170 penalties have been issued to estate agents for breaches of anti-money laundering rules, with fines totalling \u00a3835,842.<\/p>\n
With tens of thousands of properties lacking clearly identifiable beneficial owners, industry professionals face increased exposure to regulatory scrutiny when handling transactions involving offshore-owned property.<\/p>\n","protected":false},"excerpt":{"rendered":"
Approximately 45,000 UK properties valued at an estimated \u00a3190 billion are owned through offshore structures where the beneficial owner cannot be identified, according to analysis by Tax Policy Associates. The findings are based on data from the Register of Overseas Entities at Companies House, which shows that in around 44% of cases, it is impossible […]<\/p>\n","protected":false},"author":1,"featured_media":7978,"comment_status":"","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[2],"tags":[],"class_list":["post-7977","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-second-home"],"yoast_head":"\n