Leaseholders and Managing Agents

Mike Amesbury Excerpts

Tuesday 28th February 2023 Westminster Hall

[Barry Gardiner]

I am most grateful to the Father of the House, who is also co-chair of the all-party parliamentary group on leasehold and commonhold reform, for his knowledge, his campaigning over many years and his intervention.

In the Housing Act 1974, which still related only to houses, and the Leasehold Reform, Housing and Urban Development Act 1993, which gave leaseholders the right, if more than 50% of them wished to, to purchase the freehold interest in their block, the concept of marriage value was sadly reintroduced. Marriage value has been at the heart of many of leaseholders’ problems for more than half a century, simply because the freehold title of the property is worth more to them than to anyone else by virtue of the fact that they live in it. The law allows the freeholder to benefit from that asymmetry and impose considerable extra costs on any leaseholder who wishes to purchase or extend the lease on their home. When the Government come to legislate for leasehold reform—they have promised to do so and I look forward to that—I trust that they will understand that it is that fundamental injustice that has kept leaseholders prisoner to the vagaries of their freeholder and, often, the outrageous services charges imposed by their managing agents.

[Mike Amesbury (Weaver Vale) (Lab)]

I thank my hon. Friend for securing such a vital debate. Here we are again. The National Leasehold Campaign—

[Sir George Howarth (in the Chair)]

Order. The Division bell has gone. If the hon. Member finishes his intervention, he might get a response when we come back, but he should be brief.

[Mike Amesbury]

Isn’t it time to abolish, rather than polish, the leasehold system?

[Sir George Howarth (in the Chair)]

Order. The sitting is suspended. If there is one Division, we will suspend for 15 minutes; if there are two, it will be 25 minutes.