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.
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.”
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 is Friday 7
September 2018.
