link to ringley website
  • Home
  • About Us
    About us & leadership Awards Savings for Clients Case Studies Green Management Strategies Market Overview Leasehold Reform Campaign Money Back Guarantee
  • Our Services
    • Asset Management
      • UK Asset Management
      • Project Monitoring
      • ESG Consultancy & Implementation
      • PropTech & Living Sectors Platform
      • Marketing Insights
      • Resident Journey
      • Stabilised Assets
      • UK Build to Rent
      • UK Later Living
      • UK Co-Living
      • UK Student Accommodation
      • UK Single Family Housing
    • Block Management
      • Overview - London
      • Overview - Wales & West
      • Overview - Southwest
      • Right to Manage
      • Freehold Management
      • Resident Management
      • Estates of Houses
      • Ground Rent Collection
      • How to change agent?
      • Block Management Services
      • Can't afford an agent?
      • Legal & Tribunals
      • Top 10 Tips
      • Report an incident
    • Commercial Management
    • Law
      • Overview
      • Meet The Team
      • Recommendations
      • Right to Manage
      • Lease Extensions
      • Freehold Purchase
      • Absentee Freeholder
      • Court Appointed Manager
      • Conveyancing - Wales
      • Conveyancing - England
      • Service Charge/Rent Arrears Recovery
      • Company Secretary
    • Property Valuations
      • Overview
      • Loan Security
      • Company Accounts
      • Lease Extensions
      • Freehold Purchase
      • Rent Reviews
      • Ground Rent Investment
      • Development Valuations
      • Expert Witness & Litigation
      • Tax, Trusts & Accounts Valuations
      • Trading Business
      • Compulsory Purchase
      • Residential Valuations
    • Engineering
      • Overview
      • EWS1 Consultancy
      • Asbestos
      • Contract Administration
      • Fire Assesment
      • Homebuyer Survey
      • Building Survey
      • Schedules
      • Party Wall Matters
      • Principle Designer
      • Disability Access Audits
      • Small Building Works
      • Fire Door Inspection
      • Insurance Valuations
    • Property Accounting
      • Finance
      • Quote For Service Charge Accounts?
      • Property Accounting Law
      • Accounting Updates
      • To Audit or Not?
    • Plant & Facilities Management
      • Plant & Facilities Management
      • Fire Door Inspection APP
      • Fire Safety Update
    • Site Staffing Solutions
      • Ringley Integrated Site Staff Solutions
    • Leasehold Guidance
      • Overview
      • Right to Manage
      • Purchasing The Freehold
      • Court Appointed Manager
      • Absentee Freeholder
  • Insights
    Asset Management Articles Block Management Blogs Publications BTR Rental Market Blogs Customer Insights FAQ - Ask Our Experts Insurance Calculator
  • ESG
  • E-books
  • Get In Touch
  •    
  • Work with us
  •  
  • Portal Login
UK Government to Implement Major Leasehold and Freehold Reforms in 2025

Written by: Kate Robinson 19/02/2025
  46       0
Responsive image

UK Government to Implement Major Leasehold and Freehold Reforms in 2025

The UK government is set to introduce significant reforms to leasehold and freehold laws, aiming to enhance property owners' rights and modernise outdated systems. These changes, outlined in the Leasehold and Freehold Reform Act 2024 (LFRA 2024) and the forthcoming Leasehold and Commonhold Reform Bill, seek to address long-standing concerns over property management, lease extensions, and servicechargesorted.co.uk/blogs/digital-solution-can-improve-the-whole-process-by-making-it-faster-and-more-transparent'>service charges.

The Leasehold and Commonhold Reform Act (LFRA 2024) will take effect in the first half of 2025. It introduces pivotal changes designed to improve protections for residential long leaseholders and simplify property ownership processes. One major reform is the prohibition of long residential leases for houses, defined as leases lasting 21 years or more. Exceptions include leases granted before 22 December 2017 or under prior agreements, as well as retirement and shared ownership leases.

The Act also streamlines leasehold enfranchisement by removing the two-year waiting period for leaseholders wishing to extend their lease or purchase the freehold. Restrictions preventing a second claim within 12 months of a failed attempt will be abolished. Leaseholders of both houses and flats can now claim lease extensions without facing the previous 50-year limitation.

Another cornerstone of the Leasehold and Commonhold Reform Act is increased protection for both leaseholders and freeholders. The Act introduces expanded rights concerning servicechargesorted.co.uk/blogs/digital-solution-can-improve-the-whole-process-by-making-it-faster-and-more-transparent'>service charges, insurance, administration fees, and sales information. Freeholders will benefit from regulations similar to those offered to leaseholders, particularly regarding estate management charges. Landlords and estate management companies must register with a mandatory redress scheme to improve accountability. Further provisions address historic rent charges, offering tenants remedies for non-payment demands.

Upcoming Leasehold and Commonhold Reform Bill

The government plans to introduce the Leasehold and Commonhold Reform Bill in the latter half of 2025. The primary objective is to make commonhold the default tenure for new homes. Despite being proposed as an alternative to leasehold, commonhold has struggled to gain traction, with only 184 properties registered in England and Wales. The bill aims to remove barriers and simplify implementation, encouraging broader adoption.

Right to Manage Reforms

Right to manage or (RTM) Reforms scheduled for spring 2025 will make it easier for leaseholders to exercise their property management rights. Changes include eliminating the requirement that leaseholders cover freeholders' costs in most cases. New provisions will reduce expenses, removing the requirement for leaseholders to cover the legal fees of their freeholder when making a Right to Manage claim and simplify the process, potentially increasing the number of leaseholders taking control of property management.

Strengthening Protections against Unscrupulous Managing Agents

The government is dedicated to enhancing regulations for managing agents. A mandatory professional qualification will be established alongside a new code of conduct. These measures aim to guarantee higher standards in property management. Public consultations on these proposals will occur later this year.

Simplifying Disputes and Valuations

Further consultations will explore streamlining servicechargesorted.co.uk/blogs/digital-solution-can-improve-the-whole-process-by-making-it-faster-and-more-transparent'>service charge dispute processes. Leaseholders will benefit from more straightforward methods for challenging excessive charges. New valuation rate guidelines for enfranchisement premiums will also be established. Enhanced consumer protections will promote transparency and allow leaseholders to challenge unreasonable fees at the First Tier planetrent.co.uk/blog/could-a-tax-tribunal-ruling-mean-btl-investors-avoid-3-stamp-duty-surcharge'>Tribunal

Implications for Leaseholders and Freeholders

The reforms in the Leasehold and Commonhold Reform Act represent a significant shift in the UK property ownership landscape. Leaseholders will gain improved rights and easier pathways to enfranchisement and lease extensions, granting them greater control over their properties. Measures to simplify the right to manage and regulate estate practices address common frustrations, particularly concerning poor management and excessive costs.

Freeholders will face increased oversight, particularly with the introduction of mandatory redress schemes and regulations governing estate management charges. The push towards commonhold as the default tenure could also reshape property ownership in the long term. As consultations progress and new legislation is introduced, both leaseholders and freeholders are encouraged to stay informed about these developments and their potential impact on property rights and management.



Property Management Block Management Building Safety
POPULAR POSTS

Solar panels on flats - what you need to know

Is noise getting you down?

Ground Rent: Fines for Landlords Who Charge Ground Rent

High Court: Right to Rent does breach human rights

Landlords beware - Don't believe everything you read!

RECENT POSTS

The Unseen Costs of Building Safety: A Financial Burden on Leaseholders in High-Rise Buildings

Judicial Review Granted Against Gwynedd Council’s Planning Restrictions on Second Homes

Angela Rayner Faces Pressure Over Housing Pledge of 1.5 Million Homes as Target Appears Unachievable

Leasehold Reform Moves Forward with New Cross-Party Parliamentary Group

Grenfell Tower Deconstruction to Begin Under £12.25m Government Contract



Blogs related:

ASSET MANAGEMENT
Brexit: what's the impact on property?
Harold Wilson, who delivered the UK?s first European referendum in 1975, said a week is a long time in politics. This week, Brexit has been the only story in town.In October, Zoopla reported that the impact of Brexit "?has been limited so far?. Housing fundamentals such as affordability, tax changes and mortgage regulation were thought to be the main factors of the slowdown in London - where average prices are falling by 0.4% - and the Brexit...

Read


ASSET MANAGEMENT
Focus on property management - but make sure you get it right!
Letting agents have been told today, that by focusing on lettings only and not offering property management, they could be losing out on thousands of pounds of potential income. New research from outsourcing supplier ARPM, reported in Letting Agent Today, shows that many agents typically offer let-only. By offering a full management service too, ARPM calculates they could boost average annual income by up to 80% per tenancy. That's big money.

Read


ASSET MANAGEMENT
Can offsite-construction deliver the homes we want to buy?
Modern Methods of Construction (MMC) are rapidly gaining government support due to their ability to produce high-quality homes quickly. By using factory-based techniques and just-in-time production methods, developers can avoid weather delays and on-site labor shortages. Earlier this month, Housing Minister Esther McVey visited Legal & General’s modular housing factory in Sherburn, the largest facility of its kind in Europe. The factory ai...

Read


Meet our Expert Property Commentators

Mary-Anne Bowring FTPI FRICS FARLA FCABE Founder/Head of Asset Management

Strategic partnerships, holistic delivery/ opportunities, growth, value engineering, thought leadership

Ian Barber MD BTR Mobilisation & Leasing

Runs HQ & site lease-up teams. Drives rent pricing, mobilisation, marketing, happy residents!

Jon Curtis MRICS Head of Building Engineering

Chartered Building Surveyor. Lectures on EWS1 & building safety. Runs CapEx programmes.

Kate Robinson MTPI MD Blocks/FM Management (London Region)

Master plan setup, ops and staffing and resident engagement. ISO45001 champion.

Lee Harle Partner Ringley Law

Plot conveyancing. Debt litigation. Group Company Secretary.

Anthony Kingdon MIRPM AssocRICS MD Blocks/FM Management (North Region)

Stakeholder engagement. Mixed tenure specialist. Budget management. Plant audit, PPM compliance.

Chris Georgalis MRICS Head of Commercial Valuation

Chartered Valuer. Rental valuations: retail, leisure. IRR modelling and valuations for secured lending. Compulsory purchase & rent reviews

Nichola Pughe MRICS Head of Residential Valuation

Chartered Valuer. Rental development & mixed use valuations, IRR modelling. Leasehold enfranchisement specialist

Natalie Birmingham Helpdesk Support Manager

Trainer & Helpdesk Manager: people, systems,contractors. ISO45001 supply chain accreditation.

Steve Norman Planning Director

Land due diligence (opportunities & constraints) Has contributed to a number of award winning schemes.


Insights, articles & blogs
INDEX

PROPERTY
BLOGS

LANDLORD
BLOGS

PROPERTY
ARTICLES

E-BOOKS

inshights shared - link to planetrent blogs

Landlord blog
Read landlord blog
inshights shared - link to ringley blogs

Property blogs
Read property blogs
inshights shared - link to ringley articles

Property articles
Read property articles
inshights shared - link to ringley ebooks

E-books
Read E-books

link to ringley social media facebook link to ringley social media instagram link to ringley social media linkedin link to ringley social media x-twitter
link to ringley social media x-twitter for small device
link to ringley social media linkedin for small device
link to ringley social media instagram for small device
link to ringley social media facebook for small device
  • Ringley Group
  • About us
  • CSR / ESG
  • BusyLiving
  • PlanetRent
  • Talk to us
  • Careers
  • Ask a Question
  • Insights
  • Articles
  • Blogs
  • Subscribe
  • BTR & PRS Buildings
  • What we do
  • Asset Management
  • Block Management
  • Facilities Management
  • Property Law
  • Surveying / Valuation
  • Building Engineering
  • Financial Services
  • Managing Agents
  • Block Management Locations
  • Co-working
  • Renting & Letting
  • Right to Manage
  • Contractor Management
  • Space to Work
  • Fees and Client Money Protections
  • Email: solutions@ringley.co.uk

  • Emergency line 1: 0207 428 2056

  • Emergency line 2: 0207 267 2900

  • Report an incident
  • Our Offices
  • London
  • Ringley House
  • 1 Castle Road
  • London
  • NW1 8PR
  • T: 0207 267 2900
  • London
  • Ringley House
  • 47 Rochester Place
  • London
  • NW1 9JL
  • Manchester
  • 11 Swan Street
  • Northern Quarter
  • Manchester
  • M4 5JJ
  • T: 0330 174 7777
  • Cardiff
  • 122 West Bute Street
  • Cardiff Bay
  • Cardiff
  • CF10 5LJ
  • T: 0330 174 7747
Privacy Policy
Ringley Staff Dashboard
link to ifsm website link to tpos website link to rics website link to ukgbc website link to government security industry authority website link to alep website

All content © copyright 2025. Ringley Limited. All Rights reserved. Ringley Limited, incorporated and registered in England and wales. Registered office: Ringley House, 1 Castle Road, London, NW1 8PR. Company No. 03302438
Terms of use | Privacy Policy | Modern slavery act | COVID-19 risk assessment