COMMONS

Leasehold reform inquiry launched

24 July 2018

The Housing, Communities and Local Government Committee has launched an inquiry into the Government’s leasehold reform programme and in particular how existing leaseholders in both houses and flats facing onerous leasehold terms can be supported.

The inquiry will examine progress made on leasehold reform, following the conclusion of the Government’s consultation on tackling unfair practices in the leasehold market in 2017.

The Government is currently working with the Law Commission on certain issues relating to existing leaseholders and has pledged to bring forward legislation and consult further on banning new leasehold houses and restricting ground rents.

However, the Committee is particularly concerned with what more can be done for existing leaseholders, in both houses and flats, affected by onerous terms such as high service and administrative charges, and large increases in ground rents.

Chair's comments

Clive Betts MP, Chair of the Housing, Communities and Local Government Committee, said:

"With around four million leasehold homes in England, they make up a significant part of the private home ownership sector. We’ve heard however that leaseholders often come up against significant issues which affect their rights, from high service charges with a lack of transparency through to excessive ground rents and barriers to buying freeholds. The Government has said it is committed to various reforms to tackle some of the troubling practices in the sector. As a Committee, we will want to examine the effectiveness of the existing proposals, find out what more needs to be done to boost confidence in the system and ensure fairness for both existing and future leaseholders."

Get involved

The Committee is inviting submissions on:

  • The adequacy of the Government’s programme of work on residential leasehold reform, including (a) its application to existing leaseholders in both houses and flats and (b) whether further reforms should be introduced;
  • What support and government intervention can be provided to existing leaseholders, in both houses and flats, affected by onerous leasehold terms; and
  • What are the implications of providing such support and government intervention to these existing leaseholders.

The deadline for written submissions has been extended to Friday 14 September 2018.

Further information

Image: Crown copyright

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