A family trust established some years ago to hold an investment portfolio for the next generation may never have prompted a question about regulatory compliance. For many trustees, the first indication that registration was required came not from a solicitor or accountant, but from a formal enquiry by HM Revenue and Customs (HMRC). With significant changes to the Trust Registration Service (TRS) now in force, that experience is one more trustees are likely to face.
The Money Laundering and Terrorist Financing (Amendment) Regulations 2026 (SI 2026/621) came into force on 30 June 2026, bringing the most significant changes to the Trust Registration Service (TRS) since the 2022 expansion. Whether you’re a trustee, a settlor, a beneficiary, or an executor dealing with a post-death trust, you’ll want to understand what’s changed, what action you may need to take, and how quickly you need to act.
If you’d like guidance specific to your trust, our Wills, trusts and probate team is ready to help.
A quick recap: what is the Trust Registration Service?
The TRS is HMRC’s register of UK express trusts and certain non-UK trusts with a connection to the United Kingdom. It was introduced under the Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Payer) Regulations 2017 as part of the UK’s anti-money laundering framework.
Since October 2022, most UK express trusts have been required to register, regardless of whether they’re liable for UK tax. Registration involves disclosing details about the trust, its trustees, and its beneficial owners. The 2026 changes build on this framework by expanding scope in some areas and introducing new exemptions in others.
What has changed on 30 June 2026?
The 2026 amendments make four principal changes:
- Expanding the registration requirement to non-UK trusts that hold UK land, regardless of when that land was acquired.
- Introducing three new exemption categories that remove certain trusts from the registration obligation entirely.
- Removing stamp duty reserve tax (SDRT) as a standalone trigger for registration.
- Standardising two-year post-death exemptions across a wider range of trust types.
Each of these is worth unpacking.
Expansion of scope: non-UK trusts holding UK land
Before 30 June 2026, only non-UK trusts that acquired UK land or property after 6 October 2020 were required to register with the TRS. That date-based boundary has now been removed.
Any non-UK express trust that currently holds an interest in UK land or property must register, regardless of when the property was acquired. This catches offshore trusts that pre-date the earlier deadline and have continued to hold UK real estate without ever registering.
HMRC has also confirmed that data sharing for registered non-UK trusts with UK land interests now extends to cover all such trusts, not only those with UK-resident trustees. Information can be disclosed to parties who demonstrate a legitimate interest, such as those involved in anti-money laundering investigations.
HMRC has acknowledged that this is a significant change for longer-established structures. Affected trusts therefore have an extended deadline of 1 September 2027 to comply, rather than the standard 90-day window. That extended deadline is a practical concession, not an invitation to delay.
Three new exemption categories
Low-value trusts: the cumulative test
A new low-value trust exemption removes smaller trusts from the registration obligation, provided all five of the following conditions are met:
- The trust has no liability for any relevant UK tax.
- The trust does not hold UK land or a beneficial interest in UK land.
- The total assets held by the trust have never exceeded £10,000 since its creation.
- Annual income from the trust does not exceed £5,000.
- Non-financial assets (such as art, jewellery, or antiques) held by the trust do not exceed £2,000.
This is a cumulative test: all five conditions must be satisfied simultaneously. If a trust currently meets all five conditions but later exceeds any one of the thresholds, registration becomes required from that point and must be completed within 90 days. It’s worth keeping a written record of why the exemption applies, so the position is clear if HMRC ever queries it.
Scottish survivorship destination trusts
Trusts created specifically to revoke survivorship clauses in jointly-owned Scottish property, and redirect the beneficial interest to different beneficiaries, are now exempt from TRS registration. This brings Scottish conveyancing arrangements in line with the broader intent of the anti-money laundering rules.
Trusts arising from death
The two-year post-death exemption, previously available only to trusts created under a Will, has been extended to cover:
- Co-ownership property trusts arising on death.
- Trusts that became registerable because a trustee died, where section 34 of the Trustee Act 1925 applies.
- Trusts created by a deed of variation during the administration of an estate.
This gives executors and beneficiaries time to decide whether a trust will become a long-term arrangement before a registration obligation arises. It’s a genuinely practical change, particularly for families working through probate and estate administration.
What has been simplified: SDRT trigger removed
Previously, a non-UK trust could be required to register with the TRS solely because it incurred a liability to SDRT. This could catch trusts with little or no real UK connection beyond a single transaction involving UK equities.
That standalone trigger has now been removed. SDRT liability on its own no longer requires TRS registration, and the obligation now aligns more closely with substantive UK tax exposure or a direct UK land interest. For affected trustees, this is a straightforward simplification.
Deadlines you need to diarise
The general rule for new trusts or newly registerable events remains 90 days from the date on which the obligation arises.
The key exception is the extended deadline for non-UK trusts that were holding UK land before 6 October 2020 and continue to do so: these trusts have until 1 September 2027 to register.
If your trust falls into one of the new exemption categories, registration isn’t required, but you should keep a written record of why the exemption applies in case HMRC queries the position.
Penalties for getting it wrong
HMRC can issue penalties for failing to register on time, for providing inaccurate information, or for failing to keep the register up to date. Penalties escalate with the severity of the non-compliance, from fixed charges for an initial administrative failure to percentage-based penalties for deliberate non-registration.
The reputational dimension is also worth bearing in mind. Trustees have legal duties, and a failure to comply with the anti-money laundering framework reflects on how a trust has been administered. If you’re not certain whether your trust is registered correctly, reviewing the position without delay is the sensible course of action.
Practical steps for trustees in Wales and beyond
If you’re a trustee or involved in administering a trust, the following steps will help you stay on the right side of the rules:
- Check whether your trust is already registered on the TRS and whether the information held is accurate and current.
- If you hold UK property through a non-UK trust, confirm when it was acquired and take advice on whether the 1 September 2027 deadline applies to you.
- If your trust is small, review it against the five-condition low-value test to assess whether it qualifies for the exemption going forward.
- If you’re administering an estate involving a post-death trust or a deed of variation, confirm whether the two-year exemption applies and note when it will expire.
- Keep written records of your reasoning, whether you’re registering or relying on an exemption.
You can read more about trust law in our private client library and find broader estate planning guidance in our private client resources. You may also find our article on inheritance tax changes in 2026 relevant if you’re reviewing your wider arrangements.
How David W Harris & Co can help
Keeping pace with changes to the TRS isn’t straightforward, and the consequences of getting it wrong can be costly. Our wills, trusts and probate team works with trustees, settlors and executors across South Wales to review registration obligations, advise on whether exemptions apply, and handle TRS registration on your behalf.
We have offices in Pontypridd, Talbot Green and Swansea. To speak with a member of our team, please make an enquiry.
Frequently Asked Questions
Do I still need to register my trust after the 2026 changes?
Most UK express trusts remain within scope of the TRS. The 2026 changes introduce new exemptions rather than a general rollback of registration requirements. You’ll need to check whether your trust qualifies for an exemption before concluding that registration isn’t needed.
What is the deadline to register a non-UK trust holding UK land?
If a non-UK express trust was holding UK land or property before 6 October 2020 and continues to do so, it has until 1 September 2027 to register. Trusts with UK land interests arising after 30 June 2026 must register within the standard 90-day period.
Does the two-year post-death exemption apply to deeds of variation?
Yes. Following the 2026 changes, trusts created by a deed of variation during estate administration are included in the extended two-year post-death exemption. This brings them in line with Will trusts. The exemption runs from the date of the settlor’s death.
What happens if a low-value trust exceeds the £10,000 asset threshold later?
The low-value trust exemption depends on the trust never having accumulated assets exceeding £10,000 since creation. If that threshold is exceeded at any point, or if any of the other four conditions cease to be met, the trust becomes registerable and must be registered within 90 days.
Are bare trusts affected by the 2026 changes?
Bare trusts are express trusts and remain within the general scope of the TRS. The 2026 changes don’t create a specific exemption for bare trusts as a category, but a bare trust could qualify for the new low-value trust exemption if it meets all five conditions. If you’re the trustee of a bare trust that hasn’t been registered, it’s worth taking advice on your current position.
What are the penalties for late TRS registration?
HMRC can issue fixed penalties for administrative failures, with higher charges for repeated non-compliance and percentage-based penalties for deliberate non-registration. Trustees also risk reputational consequences, as non-compliance with the anti-money laundering framework reflects on how a trust has been managed. HMRC’s published guidance on the TRS sets out the current penalty regime in full.
Can my accountant or solicitor register the trust on my behalf?
Yes. A solicitor or accountant acting as an agent for the trust can register on behalf of the trustees through the TRS portal. Many trustees find it helpful to have a professional manage both the initial registration and any ongoing updates, particularly where the trust holds property or forms part of a broader estate plan. Our team can handle this process for you.
