as the people the domain was bought from have asked for a stupid amount of money to renew it
Just renew it again through someone else. Unless someone with a legitimate claim intends to use it, they won’t have a hold on it, and you can complain through the arbitration service at http://www.nominet.org.uk/
If you have a history of using the domain, and you have a legitimate claim to it, you can renew it through whomsoever you want.
UK domain names can be bought for about £6 for a 2 year period.
All you have to do is get the tag transferred and if they refuse to do that, Nominet should step in and take it away from them.
Make sure, in future, that you ensure that the registered domain name is in your own name, and not that of the tag holder (usually your web-hosting service).
A quote from Nominet’s FAQ’s
Why would I need to change my registration agent?
Most people are perfectly happy with the services provided by their existing registration agent and do not need to move to a new provider. However, you may want to change your registration agent because you have found one that can offer different services or gives a better deal than your existing agent.
I suspect, though, that if you direct them to the Nominet website, they’ll understand and will back down on any ludicrous claims they can’t substantiate.
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