UK Drop Catching Exposed: How Nominet Enables Domain Cartels While Germany and the Netherlands Protect Their Businesses

Published: 7th January 2026 | Category: Investigation | Reading time: 12 minutes

When a UK business forgets to renew its domain name, it doesn't just expire quietly. It enters a feeding frenzy where professional 'drop-catchers' - armed with automated scripts and premium access purchased from Nominet itself - compete to snatch the domain the millisecond it becomes available. The original owner, the business that may have built their entire online presence on that domain, has no priority rights whatsoever.

This isn't how civilised countries operate. In Germany and the Netherlands, expired domains enter protected quarantine periods where only the original owner can reclaim them. But in the UK, Nominet has built a system that actively enables domain speculation at the expense of legitimate British businesses.

This investigation examines how the UK's domain expiry system compares to its European neighbours, why the current system exists, and who benefits from keeping it this way.

What Is Drop Catching and Why Should UK Businesses Care?

Drop catching is the practice of registering domain names immediately after they expire and are released by the registry. In theory, it's a legitimate way to acquire domain names that previous owners no longer want. In practice, it has become a sophisticated industry where specialist operators use technical advantages to capture valuable domains before ordinary businesses have any chance.

According to Nominet's own data, approximately 1.76 million .uk domains expire each year. Of these, around 12,000 - less than 1% - are considered 'highly desirable' and are re-registered within one second of release. These are the domains that drop-catchers target: short names, dictionary words, brandable terms, and domains with existing traffic or SEO value.

The problem isn't that these domains find new owners. The problem is how they find new owners - through a system that systematically disadvantages the original owner and ordinary UK businesses in favour of professional speculators.

How Germany Protects Its Businesses: The DENIC Model

DENIC, the registry for Germany's .de domain (the world's third-largest country-code domain with over 17 million registrations), takes a fundamentally different approach to expired domains. Their system prioritises the original domain holder and makes professional drop-catching effectively impossible.

The 30-Day Redemption Grace Period (RGP)

When a .de domain registration is terminated, it enters a 30-day Redemption Grace Period. During this entire period, the domain can only be re-registered by the previous owner or a third party specifically authorised by them. No one else can touch it.

As DENIC explicitly states: "During this period, the domain in question can only be re-registered by the last domain owner or a third party designated by the last domain owner." This simple rule eliminates the entire concept of drop-catching as it exists in the UK.

The Two-Hour Random Release Window

Even after the RGP expires and the domain becomes available to the public, DENIC doesn't simply release it at a predictable time. Instead, domains are released within a two-hour random window - the longest of any major ccTLD. This randomisation makes it practically impossible for automated systems to gain a consistent advantage.

Industry observers on domain forums have noted that DENIC's approach makes "drop-catching effectively impossible for normal users" - but crucially, it also makes it impossible for professional speculators. The playing field is level.

AuthInfo Requirements

DENIC requires an AuthInfo code for domain transfers and recovery. If a domain holder wants to recover their domain during the RGP through a different registrar, DENIC sends the AuthInfo code to the previous holder's registered address by post. This verification step ensures that only the legitimate owner can reclaim the domain.

How the Netherlands Protects Its Businesses: The SIDN Model

SIDN, the foundation that manages the Netherlands' .nl domain (Europe's third-largest ccTLD with nearly 6 million registrations), operates an even more protective system than Germany.

The 40-Day Quarantine Period

When a .nl domain is cancelled, it enters a 40-day quarantine period - 10 days longer than Germany's RGP. During this entire period, the domain "can't be re-registered by anyone except you" - the original owner. SIDN explicitly uses the word "quarantine" to emphasise that the domain is completely protected from outside registration attempts.

Randomised Release Within One-Hour Window

After the quarantine period ends, SIDN doesn't release domains at a predictable time. Instead, "a random period between 0 and 360 seconds (1 hour) will occur before the domain name becomes available for anyone to register." This randomisation prevents any registrar from gaining a technical advantage through faster connections or automated scripts.

SIDN has been explicit about why they implemented this system: "We learnt from the last Domain Name Debate that the community wanted to see a level playing field for everyone interested in reregistering a quarantined domain name."

Former Owner Information Advantage

Importantly, the former registrant receives a confirmation message stating the exact time of cancellation, allowing them to calculate the release time. The general public does not receive this information. As SIDN notes: "The former registrant and registrar have an advantage over anyone else that might want to reregister the domain name." This is intentional - it's designed to give the original owner the best chance of recovery.

How the UK Fails Its Businesses: The Nominet System

The contrast with Nominet's approach could not be starker. Where German and Dutch registries prioritise the original domain owner, Nominet has built a system that actively advantages professional drop-catchers - and then charges them for the privilege.

No Owner Priority Period

When a .uk domain expires, it enters a suspension period followed by a redemption period. But crucially, once the domain is finally released, the original owner has no priority whatsoever. The domain goes to whoever registers it first - which in practice means whoever has the fastest automated systems and the most EPP (Extensible Provisioning Protocol) connections.

Published Drop Lists With Exact Times

Unlike Germany's two-hour random window or the Netherlands' one-hour random window, Nominet publishes daily drop lists showing the exact date and time that each domain will become available. This information allows professional drop-catchers to configure their systems to target specific domains at the precise moment of release.

Nominet's registrar documentation explicitly advises drop-catchers to "consider network distance and latency in reaching Nominet's EPP servers to determine when to issue an EPP create command." The system is openly designed to reward technical sophistication.

Pay-to-Play Tiered Access: Up to £6,000 Per Year

In 2020, Nominet proposed - and subsequently implemented - a tiered access system for EPP connections. Each registrar gets six basic EPP connections. However, registrars can purchase additional 'batches' of six connections for £600 each, up to a maximum of 10 batches or £6,000 per year.

This creates a direct pay-to-play advantage. Registrars who can afford to spend £6,000 annually on premium connections have a systematic advantage over those who cannot. The original domain owner, of course, has none of these connections.

The Numbers: 12,000 Domains Per Year Caught Within One Second

Nominet's own statistics reveal the scale of the problem. Of the 1.76 million domains that expired in 2018, approximately 12,000 (0.7%) were re-registered within one second of release. These are the valuable domains - the ones that small businesses lose to professional speculators.

The Register reported that these domains are "snapped up by a small number of domainers" with "sophisticated scripts" - not by the businesses that originally owned them, and not by new businesses that might legitimately want them.

Direct Comparison: UK vs Germany vs Netherlands

The Conflict of Interest: Who Sits on Nominet's Board?

The question naturally arises: why would Nominet design a system that so clearly favours professional drop-catchers over ordinary UK businesses? The answer may lie in examining who benefits from the current system - and who sits on Nominet's board.

The Register reported in 2019 that "three of the companies that will benefit most from this approach have representatives that sit on Nominet's board." These included representatives from GoDaddy (the world's largest registrar), Key-Systems (a major German registrar), and Names.co.uk/Namesco.

When Nominet proposed its tiered access system in 2020, The Register noted that the proposal was "almost the opposite of today's system" and questioned whether the "driver for change is financial." The article highlighted that the system would see "Nominet take over the entire process and sell expiring domains for the maximum amount of money."

Nominet claimed that "any profits derived from the auction or economically controlled access models will be directed towards public benefit activity." Yet the organisation stopped publishing its board minutes in 2017, making it impossible for the public to verify how such decisions are made or whether declared conflicts of interest are properly managed.

What Nominet Could Do: Proven Solutions From Europe

The German and Dutch models prove that there are better ways to handle expired domains. Nominet could implement any of the following changes tomorrow:

1. Owner Priority Period: Give previous domain owners exclusive right to reclaim their domain for 30-40 days after expiry, as Germany and the Netherlands do.

2. Randomised Release Times: Stop publishing exact drop times. Instead, release domains within a random window of one to two hours, eliminating the technical advantage of automated systems.

3. Equal Access: Abolish tiered EPP access. All registrars should have equal connections, eliminating the pay-to-play advantage.

4. Board Reform: Implement strict conflict of interest rules preventing representatives of companies that profit from drop-catching from participating in policy decisions about expired domains.

5. Transparency: Resume publication of board minutes so the public can see how decisions affecting UK digital infrastructure are made.

None of these changes would be technically difficult. DENIC and SIDN have operated successfully with these protections for years. The only obstacle is Nominet's apparent unwillingness to prioritise UK businesses over the interests of professional domain speculators.

The Real-World Impact on UK Small Businesses

The consequences of Nominet's system fall disproportionately on small and medium enterprises. Large corporations have dedicated IT departments that ensure domain renewals never lapse. But a sole trader, a family business, or a startup might miss a renewal notice during a busy period, a health crisis, or simply because an email went to spam.

When that happens in Germany or the Netherlands, the business has 30-40 days to recover their domain with priority rights. When it happens in the UK, the domain may be gone within seconds of release - snapped up by a professional speculator who will then offer to sell it back to the original owner for hundreds or thousands of pounds.

This isn't hypothetical. Domain forums are full of stories from UK business owners who lost their domains to drop-catchers and faced demands for substantial sums to buy them back. Some pay up. Others lose their online identity entirely. None of them would face this situation if they operated in Germany or the Netherlands.

Conclusion: A System Designed to Fail UK Businesses

The UK's domain expiry system is not broken by accident. It has been deliberately designed in ways that favour professional speculators over legitimate businesses. Where Germany and the Netherlands protect their citizens with owner priority periods and randomised releases, Nominet publishes exact drop times and sells premium access to the highest bidders.

The question is no longer whether the system is unfair - the comparison with European neighbours makes that undeniable. The question is: who will hold Nominet accountable?

Nominet operates the .uk namespace as a private company with minimal government oversight. Unlike DENIC (a cooperative where registrars are members with voting rights) or SIDN (a foundation with clear governance structures), Nominet is accountable primarily to itself. It stopped publishing board minutes. It has board members from companies that benefit from the very policies being decided. And it continues to operate a system that every comparable European registry has rejected as unfair.

Until that changes, UK small businesses will continue to lose their domains to professional vultures - while their counterparts in Germany and the Netherlands enjoy the protection that any civilised digital infrastructure should provide.

Frequently Asked Questions

What is drop catching?

Drop catching is the practice of registering domain names immediately after they expire and are released by the registry. Professional drop-catchers use automated systems to register valuable domains within milliseconds of release, before ordinary users have any chance to acquire them.

How long do I have to reclaim an expired .uk domain?

After a .uk domain expires, it enters a 30-day suspension period followed by a 60-day redemption period. However, unlike Germany or the Netherlands, you have no priority rights once the domain is released. It goes to whoever registers it first.

Why doesn't Nominet protect original domain owners?

Nominet has chosen to implement a system that favours 'first come first served' registration after expiry, combined with published drop times and tiered paid access to EPP connections. Critics argue this benefits professional speculators at the expense of legitimate businesses. Nominet maintains this approach creates an 'orderly, clear and fair' system.

How does Germany protect expired domain owners?

Germany's DENIC registry provides a 30-day Redemption Grace Period during which only the previous owner (or their authorised representative) can re-register the domain. After this period, domains are released within a two-hour random window, making professional drop-catching effectively impossible.

Can I pay Nominet for better access to expired domains?

Yes. Nominet offers 'tiered access' to EPP connections for drop-catching. Registrars can purchase additional batches of connections for £600 each, up to a maximum of £6,000 per year. This pay-to-play system gives wealthy operators a systematic advantage over those who cannot afford premium access.

Sources and References

• DENIC - Redemption Grace Period Documentation: denic.de/en/domains/de-domains/domain-deletion
• SIDN - Quarantine Period Policy: sidn.nl/en/nl-domain-name/cancelling-your-domain-name
• Nominet - Expiring Domains Consultation 2020: media.nominet.uk/wp-content/uploads/2020/07/2020-.UK-Expiring-Domains-Consultation.pdf
• Nominet - Drop Lists Implementation: registrars.nominet.uk/uk-namespace/new-domain-expiry-process-and-introduction-of-drop-lists-for-uk/
• The Register - "Nominet shakes up system for expiring .uk domains": theregister.com/2020/07/22/nominet_uk_addresses/
• Domain Incite - "Nominet wants to kill off the .uk drop-catching market": domainincite.com/25684

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