Millions of people across the UK will benefit from a modernised home buying and selling process designed to save time, reduce costs, and prevent unwanted transactions.
Under major new plans announced today [February 9], the government aims to cut the current five-month average delay by embracing digitalisation and improving information sharing across the sector. By opening up key property data and streamlining digital identity verification, these changes will make transactions quicker, smoother, and more secure.
These reforms will bring home buying into the 21st century, providing much-needed certainty for the one million annual transactions. With critical information available upfront, buyers and sellers will encounter fewer last-minute surprises, making it easier to get on the property ladder and significantly reducing the number of failed transactions. This will bring a sense of relief and confidence to all involved.
Reducing Costs and Transaction Failures
One in three property transactions falls through, costing buyers and sellers around £400 million annually. Additionally, estate agents and conveyancers lose an estimated four million working days, equivalent to £1 billion in lost productivity.
By implementing a digital-first approach, the UK can learn from countries like Norway, where property transactions are completed in around one month. This initiative aligns with the government’s Plan for Change, ensuring a more efficient property market while putting more money back into people’s pockets.
Empowering Leaseholders with Greater Control
Alongside improving the buying and selling process, the government is accelerating leasehold reforms to give homeowners greater control over their properties. This will empower leaseholders and make them feel more in control and independent.
Changes under the Leasehold and Freehold Reform Act 2024 will take effect on March 3, 2025. These reforms will make it easier for leaseholders to control their buildings, manage service charges, and challenge excessive fees. The reforms will also eliminate legal fee obligations when leaseholders make a Right to Manage claim, potentially saving them up to £3,000 in costs.
Housing and Planning Minister Matthew Pennycook said:
“We are streamlining the cumbersome home buying process to make it fit for the 21st century, helping buyers save time, money, and stress while reducing the number of sales that fall through.
Our reforms will empower leaseholders, giving them greater control over their homes and tackling unfair charges. These changes are part of our Plan for Change to improve living standards and deliver 1.5 million safe, decent homes in this Parliament.”
Digitalising Property Transactions
Property information, such as building control and highway data, is often stored in paper-based or non-digital formats, causing unnecessary delays. Even where data is digital, there are no standardised protocols for sharing and verifying it across industry professionals.
To address this, the government is:
Launching a 12-week project to establish industry-wide data-sharing standards.
Partnering with HM Land Registry (HMLR) on a 10-month pilot with local councils to digitise property records.
Accelerating the adoption of digital identity verification for property transactions.
These efforts will be driven by the Digital Property Market Steering Group, a collaboration of industry and government experts committed to modernising the home buying process.
Government’s Wider Housing Commitments
This initiative builds on ongoing efforts to improve the housing market, including:
✅ New Homes Accelerator – unlocking thousands of stalled homes in the planning system.
✅ New Towns Taskforce – creating large-scale communities of 10,000+ homes.
✅ £68 million awarded to 54 councils to develop brownfield housing.
✅ £47 million allocated to support homes impacted by environmental regulations.
✅ £3 billion in housing guarantees to help developers secure financing.
✅ £700 million extension of the Home Building Fund to support SME builders.
A More Efficient, Transparent Property Market
With over 300,000 transactions collapsing yearly, these reforms will provide buyers and sellers with a faster, more transparent, and stress-free experience. By digitising the process and reducing bureaucratic hurdles, the government ensures the UK’s property market is fit for the future, delivering actual savings for hardworking homeowners.
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