Main project: Residential leasehold and commonhold
Current project status
The current status of this project is: Analysis of responses.
List of project stages:
- Analysis of responses
- Initiation: Could include discussing scope and terms of reference with lead Government Department
- Pre-consultation: Could include approaching interest groups and specialists, producing scoping and issues papers, finalising terms of project
- Consultation: Likely to include consultation events and paper, making provisional proposals for comment
- Policy development: Will include analysis of consultation responses. Could include further issues papers and consultation on draft Bill
- Reported: Usually recommendations for law reform but can be advice to government, scoping report or other recommendations
We are analysing responses to our Consultation Paper on leasehold enfranchisement reform: “Leasehold home ownership: buying your freehold or extending your lease”. As a result of restrictions on the Commission’s activities during the pre-election period we are unable to publish our report on valuation in enfranchisement in November 2019. We will provide updates on the timeline for publication after the election. We aim to publish our final recommendations for reforming all other aspects of the enfranchisement regime in February 2020.
We previously published a summary paper on proposed solutions for leasehold houses in July 2018.
Our project on leasehold enfranchisement involves a review of leaseholders’ rights to:
- purchase the freehold of their house
- participate, with other leaseholders, in the collective purchase of the freehold of a group of flats
- extend the lease of their house or flat
Responses to our 13th Programme consultation criticised the current legislation as being complex, inconsistent and costly.
Terms of reference
Government has asked us to review the enfranchisement process to make it simpler, easier, quicker and more cost effective, and to examine the options to reduce the price payable by leaseholders to enfranchise.
Our full terms of reference are available here.
We published our Consultation Paper on leasehold enfranchisement reform, “Leasehold home ownership: buying your freehold or extending your lease” in September 2018. In it, we make provisional proposals for reform designed to provide a new scheme of qualifying criteria for enfranchisement rights, enhance and improve the enfranchisement rights themselves, and provide a new unified procedure for all claims.
The provisional proposals would:
- provide a better deal for leaseholders by making enfranchisement easier, quicker and more cost effective
- reform the existing rights of leaseholders, including removing the separate rules for houses and for flats
- simplify, and reduce the legal and other costs of, the procedure for acquiring a freehold or an extended lease
As requested by Government, we also set out options for reducing the price payable by leaseholders to exercise those rights, whilst ensuring sufficient compensation for landlords to reflect their legitimate property interests. We invite consultees’ views on our provisional proposals.
Our consultation closed on 07 January 2019.
As a result of restrictions on the Commission’s activities during the pre-election period we are unable to publish our report on valuation in enfranchisement in November. We will provide updates on the timeline for publication after the election.
We intend to publish our final recommendations for reforming all other aspects of the enfranchisement regime in February 2020.
By email to: email@example.com
Area of law
Property, family and trust law
Professor Nicholas Hopkins