In May 2024, on the last day of the Tory government before Parliament closed for a general election, the Leasehold and Freehold Reform Act (LFRA) was passed into law. However it still needed secondary legislation to bring most clauses into effect. Although the Labour party campaigned on implementing this as a priority, an announcement in November 2024 by Housing Minister Matthew Pennycook lowered expectations with talk of ‘complexities’, and contradictions in the wording that had to be resolved. Even worse, he said any decision on ground rents would be subject to a consultation in July 2025.
Judicial review
At the end of January 2025, a group of seven freeholder groups were granted permission to hold a judicial review on the LFRA’s proposals to set new rules on ground rents. Somewhat improbably they intend to argue that any limits on their right to charge ground rent would breach their human rights! The review is scheduled for July 2025. Watch this space for updates.