Labour Must Stand Up to Property Investors in Leasehold Reform.
The recent announcement by the Labour government on leasehold reform is a step in the right direction, but it falls short of what's needed to address the injustices faced by millions of leaseholders. The government has agreed to ban new leasehold flats and impose a cap on ground rents, but critics argue that these measures are insufficient.
The root cause of the problem lies with freehold investors who are reaping huge profits from the annual fees paid by leaseholders. These fees are separate from service charges that pay for maintenance, yet leaseholders receive nothing in return. The Competition and Markets Authority has found no evidence to suggest that leaseholders benefit from these payments, highlighting the clear-cut case for reform.
The government's announcement is welcome, but it fails to provide a comprehensive solution. The proposed ban on new leasehold flats is too little, too late, and existing leases will take 40 years to be phased out in favour of nominal "peppercorn rent". This is an unacceptable delay and must be addressed immediately.
Moreover, the government's decision to cap ground rents at £250 per annum is insufficient. Many leaseholders are facing far higher fees, which make it impossible for them to remortgage or sell their properties. The government must do more to address this issue.
One outstanding concern is the lack of transparency in freehold prices and valuations. Landowners have used inflated valuations based on hypothetical development values, which must be rejected by the government.
The Labour government must now take bold action to reform leasehold laws. This requires a willingness to stand up to property investors who are exploiting vulnerable leaseholders. The government must also provide clarity on issues such as building management and freehold prices.
Ultimately, this is not just about principle but also politics. Voters have been promised improvements in living standards, and the Labour government cannot afford to disappoint them. It's time for Labour to show courage and take decisive action to address the injustices faced by millions of leaseholders.
The recent announcement by the Labour government on leasehold reform is a step in the right direction, but it falls short of what's needed to address the injustices faced by millions of leaseholders. The government has agreed to ban new leasehold flats and impose a cap on ground rents, but critics argue that these measures are insufficient.
The root cause of the problem lies with freehold investors who are reaping huge profits from the annual fees paid by leaseholders. These fees are separate from service charges that pay for maintenance, yet leaseholders receive nothing in return. The Competition and Markets Authority has found no evidence to suggest that leaseholders benefit from these payments, highlighting the clear-cut case for reform.
The government's announcement is welcome, but it fails to provide a comprehensive solution. The proposed ban on new leasehold flats is too little, too late, and existing leases will take 40 years to be phased out in favour of nominal "peppercorn rent". This is an unacceptable delay and must be addressed immediately.
Moreover, the government's decision to cap ground rents at £250 per annum is insufficient. Many leaseholders are facing far higher fees, which make it impossible for them to remortgage or sell their properties. The government must do more to address this issue.
One outstanding concern is the lack of transparency in freehold prices and valuations. Landowners have used inflated valuations based on hypothetical development values, which must be rejected by the government.
The Labour government must now take bold action to reform leasehold laws. This requires a willingness to stand up to property investors who are exploiting vulnerable leaseholders. The government must also provide clarity on issues such as building management and freehold prices.
Ultimately, this is not just about principle but also politics. Voters have been promised improvements in living standards, and the Labour government cannot afford to disappoint them. It's time for Labour to show courage and take decisive action to address the injustices faced by millions of leaseholders.
... I mean, it's a start, but it feels like they're just scratching the surface. These property investors are taking advantage of people left and right, and it's just not fair 
. They're making out huge profits from these annual fees, while leaseholders are stuck paying without getting anything in return 
. The £250 cap on ground rents is a good start, but it feels like it should be more 
. And what about all those freehold investors who are using inflated valuations? It's just not right 
. I think Labour needs to step up their game and show some real courage when it comes to taking on these powerful property investors 
. They need to provide clarity and transparency, and get a handle on building management too 
... it's time for some serious reform! 
. I mean, it's a step in the right direction, but £250 per annum cap on ground rents? That's pretty meagre considering some leaseholders are paying up to 4 times that amount 
. We need transparency, not more bureaucratic red tape. And 40 years for existing leases to be phased out? That's an eternity! 
. But we need to push Labour to take bold action and really stand up to property investors who are taking advantage of vulnerable leaseholders 
- the government is being too aggressive in their reform. I mean, a complete ban on new leasehold flats is way too radical. What about the existing leases that are already stuck with huge ground rents? That's gonna be a nightmare to untangle. And £250 per annum cap is actually quite reasonable, imo 
- it's a start at least. The real issue here is transparency and accountability from freehold investors, not the government's policies. If they just get their act together and stop passing the buck, we can have a proper conversation about reform 
we need a comprehensive solution that addresses the root cause of the problem, not just some tokenistic gestures. and can we please get a timeline on when these changes will actually happen? 40 years is way too long to wait for leaseholders who are struggling every day. 
... but at the same time, I get what they're saying about freehold investors making a killing off these poor folks 
. And 40 years to phase out leases? That's ages! I reckon Labour should be more concrete with their plan 
. The government needs to step up their game and provide some real solutions, not just tokenistic gestures. And what about all the leaseholders who are already struggling to afford their mortgages? It's time for Labour to show some backbone and take on those freehold investors who are raking it in 
. what we need is some real change, not just tokenistic gestures. the govntn't needs to take a stand against property investors who r makin' all these leaseholders miserable 
Their proposed ban on new leasehold flats might seem like a victory, but I think £250 cap on ground rents is way off 
A comprehensive solution is long overdue, this cap and ban deal just doesn't cut it for me 
. The government needs to step up and take control of these issues, no more passing the buck 
. Labour's got a chance to make things right, let's hope they take it 
! And can we please get some transparency around freehold prices and valuations? This stuff is just too dodgy 
. Time to take action, not just promise change 
!
. And transparency on freehold prices would make such a big diff... Landowners r exploiting ppl & it's time they're held accountable 
. £250 cap on ground rents is also super low considering the fees some people are paying. and transparency with freehold prices is literally the bare minimum needed here 
.