asked the Minister for Justice his views on whether the current upper level of Land Registry fees is adequate in the case of very substantial transactions and excessive in the case of straightforward transactions; and if he will make a statement on the matter.
Ceisteanna — Questions. Oral Answers. - Land Registry Fees.
2.
I assume that the question relates to fees for transactions other than applications under the ground rents purchase scheme.
As the Deputy is no doubt aware, the Land Registry is required by law to be self-supporting. In deciding on the level of fees required to provide for this, regard is had to the work involved in each particular category of transaction and also to the number of transactions in each category.
There are 18 different categories of fees, 17 of which are fixed rates, ranging from 30p to £30, relating to specific transactions. One fee depends on the value of the transaction and can range from £50 to £200, which is the maximum fee payable in any one transaction.
I am satisfied that the current level of fees is generally satisfactory in achieving as reasonable a relationship as possible with the work involved in each category of case as well as conformity with the statutory need to be self-sufficient. I should add that the current fees are substantially lower in real terms than they were 20 years ago.
Reviews of the fees are conducted monthly. Should the Deputy have in mind the appropriateness of the fee for any specific type of transaction, I am prepared to have it examined in the context of that on-going review.
Would the Minister agree that dealings involving millions of pounds, which may involve a transfer of land for building purposes and which could take up the time of a senior examiner of titles for more than one year, if not over a year to complete, should not cost the same as a simple deal involving registration of a house that may cost, say £35,000? Surely this is unfair. Would the Minister not agree that the charges should relate to the extent of the dealing involved and, within reason, to the amount of time spent by a senior examiner of titles dealing with the transaction?
The current fees order came into operation on 1 March 1984. As the House knows, the relevant section of the Registration of Title Act, 1964, requires that the Land Registry be self-supporting. The fees have not been increased since 1984 because the Land Registry is self-sufficient under the present scale of fees. All the fees are flat fees, ranging between 30p for inspections and searches to £30 for section 49 applications, voluntary transfers and transmissions on death, except in respect of transfers on sale and burdens where a scale of fees operates within a range of £50 to £200, based on the value of transaction. The maximum fee of £200 is reached at values of £30,001 and upwards.
The most complex transactions are first registrations in respect of which the fee is £25 and section 49 applications where it is £30. I understand there is a case for charging higher fees for these, transactions but, as yet, that higher fee has not been considered. The Land Registry operates at present under the Registration of Title Act which came into operation in 1967. The maximum fee in 1967 was £60. On the basis of the movement of prices between 1967 and 1987 the corresponding maximum fee would now be £506 whereas it is £200 only. A copy folio with map attached can now be obtained for £6 whereas, in 1967, that would have cost £3 which, at present price levels would amount to £25.32. A land certificate which today costs £10, in terms of 1967 prices, would cost £16.88. Therefore the Deputy will see that the comparisons are more than favourable for the work involved since the scheme came into operation.
Who sets the level of these fees and has the Minister any discretion in the matter?
The fees are fixed by the Minister who has overall responsibility for the Land Registry. The current fees order came into being in 1983. I presume the Minister for Justice of the day. Deputy Noonan (Limerick East) was the Minister who sanctioned the fees I have mentioned.
If, as the Minister says, the operation of the Land Registry is self-financing, is there any reason for additional staff not being taken on there to deal with the unacceptable backlog in the processing of applications, many of which are held there for months, having regard to the fact that this would involve no additional cost to the Exchequer since the Minister has said himself it is a self-financing operation?
The Deputy is extending the scope of this question.
No, not at all.
Yes he is.
If the Chair decides that it is not a separate question I will give the subject matter of the Deputy's supplementary consideration.