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Leasehold

Question for Ministry of Housing, Communities and Local Government

UIN HL10041, tabled on 4 September 2018

To ask Her Majesty's Government whether they have any plans to reform the leasehold system to introduce the principle of fairness in the application of service charges and ground rent, and to tackle other related issues, in the light of the Law Commission's summary of proposed solutions for leaseholders of houses, published on 18 July.

Answered on

11 September 2018

The Government is committed to ensuring there is transparency and fairness in the leasehold market. In particular we announced measures on 21 December 2017 to limit ground rents in newly created leases to a peppercorn and require new build houses to be sold on a freehold basis. We will be consulting shortly on how we intend to implement these commitments. The Government will also be setting up a working group to consider, amongst other things, service charges to make sure they are fair and transparent. In addition we have asked the Law Commission to consider a range of options for reforming the law on enfranchisement to make it easier, quicker and cheaper for leaseholders to buy their freehold or extend their lease. The Law Commission intends to consult on the details of its proposals over the autumn.