Secure payments provider Shieldpay has been handed a grant from non-departmental government body ‘Innovate UK’ to scale up its solution.
The Third Party Managed Account solution enables parties to complete on transactions at anytime from anywhere, including completing a house purchase on a weekend or bank holiday.
Currently in the house purchase transaction there are multiple payments across multiple accounts with different banks and between consumers, lawyers, lenders and other stakeholders, such as HM Revenue & Customs and HM Land Registry.
This potentially makes them bigger targets for fraud, while transparency and speed is affected. Shieldpay’s solution also eliminates the need for solicitors to hold client money.
Geoff Dunnett, real estate director at Shieldpay, said: “This grant recognises the transformative work we are doing in this sector.
“It will allow us to change the way real estate transactions are undertaken, improving the homebuying process in the UK and beyond.”
In May Shieldpay successfully completed the UK’s first fully digital real estate transaction with MyHomeMove and Barclays in May with the support of the Council for Licensed Conveyancers and other industry stakeholders.
Stephen Ward, director of strategy and external relations at the Council for Licensed Conveyancers, said: “The CLC is delighted to have supported pilots of the use of Shieldpay’s escrow system in Conveyancing transactions.
“Those pilots have demonstrated the potential value of modern digital escrow in reducing risks as money changes hands and by improving the homebuying process more broadly.
“We look forward to the development of this tool and encourage others to work with us as we support innovation in Conveyancing.”
Innovate UK is part of UK Research and Innovation, a non-departmental public body funded by a grant-in-aid from the UK government.