Leaseholders in England and Wales to have ground rent capped at 250 a year

"Good news for homeowners, we're capping ground rent at 250. That means if you are a leaseholder, and your ground rent is more than 250, you'll be paying less. And I've spoken to so many people who say this will make a difference to them of hundreds of pounds. That's really important because the cost of living is the single most important thing across the country."

"The changes will be published in the draft leasehold and commonhold reform bill, which will be introduced on Tuesday. Forfeiture when leaseholders can lose their home and the equity they built up by defaulting on a debt as low as 350 will also be abolished and a new enforcement regime will be implemented. Those living in a building with a commonhold model will have a say in the annual budget and how the building is run, and new protections when things go wrong."

Ground rents in England and Wales will be capped at £250 per year, reducing costs for leaseholders with higher charges. New leasehold flats will be banned and existing leaseholders will have the right to convert to commonhold, giving residents greater control over buildings. A draft leasehold and commonhold reform bill will be published and introduced on Tuesday. Forfeiture for defaults on debts as low as £350 will be abolished and a new enforcement regime introduced. Commonhold residents will gain a say in annual budgets, building management, and additional protections when problems occur. The prime minister announced the changes on TikTok.

Read at www.theguardian.com