THE controversial sell-off of the Land Registry was abandoned yesterday (Monday, July 14), after ministers admitted it had run into overwhelming opposition.

The likely £1bn privatisation of the 150-year-old institution – which employs more than 400 civil servants in Durham City – was suspended indefinitely, MPs were told in a statement.

The decision followed strong criticism from solicitors and trades unions about putting a private firm in charge of all land and property data and the threat of higher charges for the public.

Yesterday, the department for business (BIS) admitted that 91 per cent of respondents to its consultation did not believe the shake-up would deliver services “more efficiently and effectively”.

In addition, 88 per cent of respondents “did not agree that the overall design provides the right checks and balances to protect the integrity of the register”.

In recent weeks, the Liberal Democrats had made clear they were getting cold feet – over a deal that the Conservatives hoped would raise substantial funds for the Treasury.

Business minister Michael Fallon told MPs: “Given the importance of the Land Registry to the effective operation of the UK property market, we have concluded that further consideration would be valuable.

“Therefore, at this time, no decision has been taken to change Land Registry’s model.”

However, Durham City MP Roberta Blackman-Woods – while welcoming the move – urged ministers to come clean about their long-term intentions for the Land Registry.

Although officials briefed that the sale had been “abandoned”, BIS also said it still favoured privatisation and would continue to “develop the policy”.

Ms Blackman-Woods said: “I want them to scrap the whole idea, not just put it on hold this side of the general election.

“I will be writing to Vince Cable and Michael Fallon, asking them to accept the overwhelming evidence that this privatisation would create a conflict of interest and that people would not trust the data as much.”

Leading City firms had been approached for their advice on setting up a joint venture between the government and a private company, to take charge of the Land Registry.

BIS also considered turning it into a state-owned company that could be sold off, or letting a private company run the body as a so-called ‘GovCo’.

Yesterday, officials denied the U-turn was connected to fierce criticism of Dr Cable over the sell-off of Royal Mail – allegedly at a £1bn loss.

BIS also made clear that the Land Registry would press ahead with creating a single register, instead of separate lists maintained and delivered by 348 local authorities.

It said standardising fees and turnaround times would end the situation where fees vary between £3 and £96 across the country - and turnaround times between one and 42 days.