Written Statement (Wales): Implementation of Leasehold and Freehold Reform Act 2024: Consultation on permitted insurance fees for landlords, freeholders and property managing agents - Dec 2

Jayne Bryant, Cabinet Secretary for Housing and Local Government: We have today launched a joint consultation with UK Government on how powers should be exercised to address the use of commissions in the arrangement of buildings insurance for multi occupied buildings, paid for by leaseholders. This consultation forms part of the implementation of the Leasehold and Freehold Reform Act 2024, and it can be accessed here.

The Leasehold and Freehold Reform Act 2024 includes powers to address concerns that some leaseholders are being charged costs for the arranging of insurance by their landlords, freeholders or property managing agents that are opaque and not justified. This consultation puts forward proposals to address this issue to ensure that any such costs are fair and transparent. This joint approach is in line with the approach taken in developing the Act itself.

The consultation is open for a 12-week period and will run until 24 February 2025. I would like to encourage interested leaseholders and other stakeholders to take the time to engage with these important proposals.