Commons Sense

House of Commons · Ministers' Questions

Leasehold Reform

Monday 2 September 2024 · 3 questions

Summarised by AI from the official record, so it can contain mistakes.

Read the full transcript on Parliament.uk

At a glance

Answered 0 Partly answered 3 Not answered 0

Key points

  • Allison Gardner asked the Minister about steps to reform the leasehold system, citing issues with unfair service charges and broken developer promises.
  • The Government plans to consult publicly and implement new protections against unfair charges from the Leasehold and Freehold Reform Act 2024.
  • Julian Lewis highlighted that winning a first-tier tribunal against a freeholder does not result in a refund of wrongly taken charges.

Topics (select to filter)

Questions & Answers

Q1 Allison Gardner Lab Stoke-on-Trent South
Housing
Context

The feudal leasehold system has left many constituents in Stoke-on-Trent South facing poor management, increasing service charges and unfulfilled promises for infrastructure development.

Question

What steps she plans to take to reform the leasehold system. Many of my constituents have contacted me about being tricked into purchasing homes not covered by right to manage, with service charges doubling, and developers reneging on infrastructure promises. Does the Government plan to hold managing agents and developers accountable?

Answer from Matthew Pennycook

The Government are committed to ending the injustice of fleecehold private housing estates. We will consult publicly on the best way to achieve this and will move to implement new protections against unfair charges from the Leasehold and Freehold Reform Act 2024.

Partly answered

Not addressed: The Government did not specify legal requirements or licensing schemes for managing agents and developers as requested.

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Q2 Allison Gardner Lab Stoke-on-Trent South
Housing
Context

The feudal leasehold system has left many constituents in Stoke-on-Trent South facing poor management, increasing service charges and unfulfilled promises for infrastructure development.

Question

Does the Government have plans to hold those managing agents and developers accountable with legal requirements or a licensing scheme?

Answer from Matthew Pennycook

The distinct set of problems faced by residential freeholders are well known. The Government will consult publicly on ending fleecehold private housing estates and unfair maintenance costs, implementing new protections against unfair charges from the Leasehold and Freehold Reform Act 2024.

Partly answered

Not addressed: The Government did not specify legal measures or a licensing scheme as requested.

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Q3 Julian Lewis Con New Forest East
Housing
Context

Residents in leasehold blocks face issues where tribunal decisions are ignored and refunds for wrongly taken charges are not provided.

Question

Will the Minister draw his colleagues' attention to the fact that winning a first-tier tribunal hearing against a freeholder does not result in a refund of wrongly taken charges, with no enforcement mechanism?

Answer from Matthew Pennycook

The Minister acknowledges one of the many failings of the feudal leasehold system. The Government intends to end this system by the end of this Parliament.

Partly answered

Not addressed: The Government did not address enforcement mechanisms for tribunal decisions as requested.

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