Leasehold Reform

In a landmark move aimed at overhauling the leasehold system in England and Wales, the UK government has unveiled new legislation that promises to empower leaseholders and promote fairness in the housing market. (GOV.UK, 2024).

The proposed reforms aim to simplify the process of buying freehold properties and reducing excessive ground rents that have long burdened tenants. (House of Commons Library, 2024).

What is already in effect:

Leasehold and Freehold Reform Act 2024 received Royal Assent  (House of Commons Library, 2024).

The two‑year ownership rule was removed  (Leasehold Advisory Service, 2025a).

Right to Manage eligibility was relaxed: no requirement to pay freeholder’s legal fees and increased accessibility for mixed-use buildings (Leasehold Advisory Service, 2025b).

New-build leasehold houses are banned, becoming freehold by default (GOV.UK, 2024).

Standard lease extensions for houses/flats extended to 990 years, peppercorn ground rent, and marriage value abolished (House of Commons Library, 2024).

Transparency improved: standardised service charge documents, right to contest charges, and a move to regulate managing agents, including mandatory qualifications and redress scheme membership (GOV.UK, 2024).