‘Fundamental’ leasehold reform promised in King�...

Housing Secretary Michael Gove has signalled that legislation to allow for further leasehold reform will be included in the next parliamentary session.

Speaking during a varied departmental questions in the House of Commons yesterday, Gove was asked when there will be fundamental reform of the leasehold system.

He said: “We hope, in the forthcoming King’s Speech, to introduce legislation to fundamentally reform the system.

“Leaseholders, not just in this case but in so many other cases, are held to ransom by freeholders. We need to end this feudal form of tenure and ensure individuals have the right to enjoy their own property fully.”

The government has already banned ground rents on new leaseholds and made developers responsible for fixing dangerous cladding.

But existing leaseholders are still awaiting reforms that would help extend and purchase leases from freeholders.

The King’s Speech, which officially opens the new Parliamentary session was expected to be in May but the Government has said it will now be in the autumn to allow time for current legislation.

Other issues raised in the debate included a lack of funding for Trading Standards staff and Help to Buy completion delays.

New Housing Minister Rachel Maclean also made her parliamentary debut in the new role, addressing concerns about the boom of second homes in coastal areas.

She said: “That is why the new council tax second homes premium will enable councils, particularly in areas such as his with a strong tourism industry, to generate significant additional funding for local services.

“If they introduce the maximum premium, they will benefit from double the council tax revenue.”