The privilege to own luxury property within the city limits of London is about to become a more transparent situation, according to the prime minister, David Cameron. Corrupt money has become the vehicle to purchase large portions of land in the Capital City, and Cameron is making strides to see the trend does not continue. Shell companies have made purchases in London through possibly laundered or “dirty” money.

Ownership of luxury properties by foreigners is soon to be a more transparent transaction, and David Cameron is making a promise to make it happen. The prime minister believes corrupt money has no place in London or anywhere else in the UK for that matter and is making changes to see that it is stopped in its tracks.

Currently, the land registry does not require details like, which particular properties are owned by foreign companies. By the autumn, this will become part of the requirement for owning property. Access to ownership information, as well as greater detail about the foreign companies will be possible in the reformed land registry.

According to Transparency International, 10% of the properties in the City of Westminster are owned by companies which are registered as being in a jurisdiction which is secret.

The changes made by the prime minister could also have a stifling effect on the constant surge of higher and higher real estate prices in the city. Unaffordable prices have now become the norm instead of the exception and many middle class home seekers are paying the price by not being able to gain access to the UK property ladder.

Transparency International has made it known that shell companies are a common way for corrupt money to be moved around the world. Instead of the funds being invested locally for property, it is taken offshore to places like the UK.

TI commented on the current process taking place with corrupt money, saying: “The corrupt are helped to buy properties by lawyers, accountants and estate agents who do not ask where the money is coming from – which by law in most countries, including the UK, they are supposed to do.”