What is a Declaration of Trust?
A Declaration of Trust (also called a Deed of Trust) is a legally binding document that records who holds the beneficial interest in a property — that is, who truly owns the economic value — and in what proportions.
It is separate from the legal title held at HM Land Registry. Under English law, the legal owner (trustee) holds the property "on trust" for the beneficial owner(s), who may be different people.
Once signed as a deed, it is legally binding and can be enforced through the courts under the Trusts of Land and Appointment of Trustees Act 1996 (TLATA).
When do you need one?
Tenants in Common vs Joint Tenants
The most important decision in your Declaration of Trust.
Tenants in Common
- Defined separate shares (e.g. 60% / 40%)
- Shares can be unequal
- Your share passes via your Will on death
- Best for friends, investors, unequal contributions
- Each owner can mortgage their own share
Joint Tenants
- Equal shares — you own the whole together
- Right of survivorship — share passes to survivor automatically
- Cannot leave your share in your Will
- Common for married couples with equal contributions
- Any party can sever into Tenants in Common at any time
Legal Requirements
For a Declaration of Trust to be valid in England and Wales, it must meet these requirements.
The trust must be evidenced in writing and signed by the person able to declare it.
Must be signed as a deed — it must state it is a deed, be signed by the maker, witnessed, and delivered.
The witness must be aged 18+, physically present when the trustee signs, and must not be a party to the deed.
The witness must add their full name, address, and occupation to the execution block.
Every legal owner must sign and have their signature witnessed independently.
If the property has a mortgage, check whether your lender requires consent before executing a Declaration of Trust.
The Statutory Framework
TrustDoc AI references all seven of these Acts in your generated deed.
The foundational statute. Section 53(1)(b) requires trusts of land to be evidenced in writing. Section 52 requires deeds to be signed and attested.
The primary statute governing trusts of land. Gives trustees powers to sell, lease, and mortgage. Sections 12–15 govern occupation rights and dispute resolution.
Section 1 sets out the requirements for a valid deed — it must say it is a deed, be signed, witnessed, and delivered.
Governs registered land in England and Wales. The Declaration of Trust relates to the equitable interest, separate from the registered legal title.
Imposes a statutory duty of care on trustees when exercising their powers. Relevant to how trustees manage and invest trust property.
SDLT may be payable on the creation of a trust where consideration is given. The deed should acknowledge the SDLT position.
Governs the appointment, retirement, and powers of trustees. Relevant to multi-trustee arrangements and trustee succession.
How to Execute Your Deed
Download & Review
Download your PDF and read every clause carefully before signing. Check names, addresses, and share percentages are correct.
Arrange a Witness
Find an independent witness — someone aged 18+, not related to the parties, not a beneficial owner or trustee.
Sign as a Deed
Each trustee signs the execution block in the physical presence of the witness. Do not sign in advance and have the witness sign later.
Witness Signs
The witness then signs and provides their full name, address, and occupation.
Keep Signed Copies
Each party should retain a signed original. Consider storing a copy with a solicitor for safe keeping.
Mortgage Lender
If there is a mortgage, check whether your lender requires notification or consent. Some lenders prohibit declarations of trust without consent.