RENTCHARGES AND TITHES Understanding rentcharges and tithes in modern property transactions

Martyna Green Bethan Williams

Bethan is a Partner in Ellisons’ Commercial Property team in Ipswich. She joined as a Paralegal in 2013 and completed her training with the firm in 2016 and was promoted to Senior Associate in 2022 and Partner in 2024.  Bethan specialises in all aspects of property law but has particular experience in land acquisitions and disposals of residential, commercial and mixed use development sites, to include advising on planning agreements, statutory agreements and financing. She acts for a wide range of clients including high-profile individuals, investors, developers, financial institutions, private and institutional funders. She is renowned for her great client communication and ability to get things done.  Martyna is a Graduate Apprentice Solicitor in the Commercial Property Team based in Ipswich. She joined Ellisons as a Paralegal in 2022 and is currently working towards qualifying as a Solicitor through the Graduate Apprenticeship route.  Martyna supports the Ipswich Commercial Property team on a variety of commercial property transactions. She is committed to delivering high‑quality legal support and maintaining clear, reassuring communication with clients at every stage. Her apprenticeship route gives her a unique perspective, enabling her to apply what she learns in real time and continuously broaden her expertise. Bethan is a Partner in Ellisons’ Commercial Property team in Ipswich. She joined as a Paralegal in 2013 and completed her training with the firm in 2016 and was promoted to Senior Associate in 2022 and Partner in 2024.  Bethan specialises in all aspects of property law but has particular experience in land acquisitions and disposals of residential, commercial and mixed use development sites, to include advising on planning agreements, statutory agreements and financing. She acts for a wide range of clients including high-profile individuals, investors, developers, financial institutions, private and institutional funders. She is renowned for her great client communication and ability to get things done.  Martyna is a Graduate Apprentice Solicitor in the Commercial Property Team based in Ipswich. She joined Ellisons as a Paralegal in 2022 and is currently working towards qualifying as a Solicitor through the Graduate Apprenticeship route.  Martyna supports the Ipswich Commercial Property team on a variety of commercial property transactions. She is committed to delivering high‑quality legal support and maintaining clear, reassuring communication with clients at every stage. Her apprenticeship route gives her a unique perspective, enabling her to apply what she learns in real time and continuously broaden her expertise.

Bethan and Martyna agreed to write this article after making a presentation at a recent ACES Eastern meeting. I have to admit I had never heard of rentcharges and found it fascinating. As the authors point out, practicing surveyors needs to know about them. Although rare, and often only being for a few pounds, they can be extremely troublesome finding old legal documents and researching into beneficiaries and getting them removed from titles. 

Historic rights such as rentcharges and tithes may feel like remnants of another era, but they still appear on titles across England and Wales. If not addressed early, they can delay sales, complicate developments and lead to unexpected costs. 

What are rentcharges and why do they matter? 

A rentcharge, sometimes referred to as a ‘regulated rentcharge’, is an annual (or periodic) sum charged on freehold land and payable to a third party who typically has no other legal interest in that property. It is distinct from rent due pursuant to a lease as a rentcharge, is a separate legal interest, and was historically used to provide an ongoing income to a former landowner after a sale. 

The Rentcharges Act 1977 (“the Act”) abolished the creation of most new rentcharges, but existing ones remain enforceable unless redeemed or otherwise extinguished. Under current legislation, most rentcharges will automatically end 60 years after the later of the date that the Act was passed (22 July 2037); and the date the rentcharge first became payable. Certain categories (for example, estate rentcharges and rentcharges in lieu of tithes) are excluded from this automatic extinguishment. 

Lender concerns and recent reforms 

Lenders can be reluctant to lend where a property is subject to a rentcharge. Historically, s121 of the Law of Property Act 1925 gave rentowners draconian remedies once arrears were more than 40 days old, including the right to take possession or to grant a lease of the charged land to trustees until arrears, costs and expenses were recovered. 

From 24 July 2024, the Leasehold and Freehold Reform Act 2024 introduced the concept of a “regulated rentcharge” and disapplied s121 for those regulated rentcharges (with effect from 27 November 2023), replacing it with new notice procedures. However, “estate rentcharges” (commonly used on new build estates to fund services and shared-area maintenance) are not treated as regulated rentcharges and so s121 can still apply to them, unless expressly excluded or suitably limited in the instrument creating the charge. Robust drafting and, where necessary, deeds of variation remain important to satisfy mortgage requirements. 

How rentcharges can be brought to an end 

There are several ways to extinguish or neutralise a rentcharge: 

• Deed of release – the rentowner may formally release the charge by deed, after which an application can be made to HM Land Registry to remove the register entry 

• Statutory redemption – an application may be made to the Secretary of State for a redemption certificate. The Rentcharges Unit calculates the redemption sum by reference to the original instrument; once paid, the certificate may be used to remove the register entry. Statutory redemption is only an option if the rentcharge owner is known and the deed that created it is available to allow for the redemption sum to be calculated 

• Merger – if the same person or entity owns both the rentcharged land and the rentcharge, the interests merge and the rentcharge is extinguished 

• Determination – if the rentowner is unknown and there have been no demands or payments for a prolonged period, it may be possible to have the rentcharge noted as “determined” at HM Land Registry. This is a technical area and specialist legal advice should be sought, particularly having regard to limitation issues and Land Registry practice. 

Tithes and their legacy 

Tithes were an early form of charge supporting the parish church, historically payable in kind as one‑tenth of produce or income. The Tithe Commutation Act 1836 converted these obligations into variable monetary payments (tithe rentcharge). The Tithe Act 1936 then abolished tithe rentcharges and replaced them with Tithe Redemption Annuities.

Those annuities were intended to run for 60 years, but were brought to an early end under the Finance Act 1977 (with final payments in 1977). While financial liabilities from tithes are now rare, references to historic tithes, tithe maps or apportionments can still appear in old deeds or on registered titles and may prompt enquiries. 

Why these historic rights still matter 

Even where rentcharges or tithes do not create ongoing payment obligations, they can: 

• trigger requisitions and delay transactions 

• create uncertainty for buyers and developers 

• affect mortgage lender requirements (particularly for estate rentcharges); and 

• require formal clarification, variation, redemption or determination before completion. 

Practical tips for landowners, surveyors and agents 

• Keep clear records of any demands and payments and details of the rentowner or agent 

• On acquisitions and disposals, raise rentcharge/tithe enquiries early and build any necessary redemption, variation or determination into timelines 

• For new estate rentcharges, ensure the drafting contains proportionate enforcement provisions and appropriate mortgagee protections 

• Many rural and strategic land titles contain reservations or exceptions of mines and minerals (sometimes with powers of working). Check for express exclusions in the Property Register; a separate registered title to the minerals; and manorial rights entries 

• Consider the impact of your findings on stability, piling and deep foundations, potential trespass into reserved strata and the need for Coal Authority CON29M or other mining searches in coalfield areas. HM Land Registry’s Practice Guide 65 explains how mines/minerals can be registered apart from the surface and highlights Crown/Coal Authority prerogatives. The Coal Authority’s guidance and the Law Society‑aligned CON29M materials explain when and how to search, and what to expect in reports (mine entries, shallow workings, subsidence, mine gas) 

• Since 13 October 2013, chancel repair lost overriding status for registered land unless protected on the register; however, Parochial Church Councils may still protect unregistered land by a caution against first registration, and there remains debate pending Law Commission reform. Treat it as a targeted enquiry on rural land, especially where pre‑registration deeds suggest rectorial land 

• On strategic acquisitions, map and triage all entries in the Charges Register which might include (but not be limited to) rentcharges, restrictive covenants, mines/minerals, franchises, manorial rights, cautions and unilateral notices. As early as possible, plan the appropriate remedy: variation, release, insurance or application for cancellation/alteration. 

How Ellisons can help 

Our Commercial Property team advises landowners, developers and buyers on historic rights affecting land, including rentcharges, tithes, restrictive covenants and other complex title issues. We can confirm whether a rentcharge or tithe affects your property, identify the most effective route to remove or mitigate it, and ensure that your title is ready for sale, purchase or development. 

If you believe your property may be affected by a rentcharge or tithe, or you are preparing for a sale or development, contact our Commercial Property Department for clear, pragmatic advice.