Oral Answers to Questions

Lee Dillon Excerpts

Monday 3rd March 2025 Commons Chamber

[Matthew Pennycook]

The Government have no plans to cap service charges for tenants and leaseholders, given that would prevent necessary funds from being raised for legitimate purposes, but we do plan to tackle unregulated unaffordable ground rent provisions through legislation. As the White Paper published today makes clear, we want to make the process of converting to commonhold as easy as possible, and we will set out proposals in the draft leasehold and commonhold reform Bill, which is to be published later this year.

[Mr Lee Dillon (Newbury) (LD)]

I welcome the Government’s announcement today of changes to leasehold and the introduction of commonhold, but thousands of leaseholders across the country are still crippled by both high service charges and failing delivery. I am sure that the inboxes of Members across the House are full of complaints from constituents, particularly in relation to FirstPort management company. What can the Government do to hold individual management companies accountable for the services they deliver to our residents?

[Matthew Pennycook]

As the hon. Gentleman will know, we intend to bring into force this year the provisions of the Leasehold and Freehold Reform Act 2024, which is designed to drive up the transparency of service charges so that leaseholders can challenge them more easily if they consider them to be unreasonable. We intend to strengthen the regulation of managing agents, imposing minimum standards in relation to, for example, qualifications. I would say to any managing agent—and I know that Members across the House have been holding them to account—that they should improve their performance in the light of the changes coming forward in the near future.