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Yes, that's broadly the correct way to go about it. I would also suggest that if you can use a digital camera that displays the date of the picture then do so.
You should also prepare statutory declarations for each of the persons present. and if you are using witnesses they should really be as independent as possible (ie. avoid family and very close friends). Ideally it would be a solicitor or a land agent but you may consider this a sledgehammer to crack a nit. The declarations would state what occurred on the occasion(s) giving details (date, what has happened) and should then be sworn in front of a solicitor (£5.00 per declaration cost). Ask you solicitor to open a file, send him the photos and dec to retain.
You solicitor can prepare these for you or you can download a precedent from one of the online document providers and amend it yourself. Testimony at the time is more persuasive than at a later date as it is accepted that memories can fade.
I would also update your witnesses periodically throughout your use of the land.
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I really don't think that's necessary, at most it may be an idea to inform the owners of any properties nearby but passers by really is overkill. You do not want to advertise your possession of it, just to document it.
Yes, that's fine. You don't have to volunteer you plans but it would best not to lie if asked.
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