Despite new law, experts warn the government’s changes do not address key issues for leaseholders
Reforms to the leasehold and freehold systems in England and Wales have recently passed into law, but critics argue the changes fall short of what is needed to truly transform the system. The Leasehold and Freehold Reform Act was fast-tracked through Parliament as the General Election approached, with both government and opposition leaders agreeing to push it through at the last minute.
The new legislation is intended to make it easier and cheaper for individuals to extend their leases, purchase their freeholds, and take control of property management. However, many campaigners have voiced concerns that it does not go far enough.
Lord Bailey of Paddington, a Conservative peer, expressed his dissatisfaction with the reforms, calling the Act “suboptimal” and stating that it is not the “revolution” that leaseholders across the country have been hoping for.
Labour’s Lord Kennedy of Southwark echoed these sentiments, labelling the legislation a failure and accusing the government of breaking promises. He criticised the slow progress of the bill and the lack of significant reforms, particularly regarding ground rents and forfeiture, which were excluded from the final draft.
Conservative peers, however, defended the Bill, with Lord Gascoigne arguing it was a positive step forward. But some Tory members expressed frustration over the speed at which the legislation was being rushed through Parliament, with Lord Howard of Rising condemning the process as a “disgrace” and warning that critical precedents were being set without adequate scrutiny.
The rushed timeline and the exclusion of key measures from the Bill have sparked concerns that parts of the legislation could face legal challenges in the future. Other proposed reforms, such as the Renters Reform Bill, were also dropped during the final days of the session.
Despite the disappointments, the government insists the legislation marks an important milestone in reforming leasehold law, with further improvements expected in the future.
