Oral Answers to Questions

Richard Fuller Excerpts

Monday 9th January 2023 Commons Chamber

[Mark Menzies (Fylde) (Con)]

4. Whether his Department is taking steps to reform the leasehold system.

[Richard Fuller (North East Bedfordshire) (Con)]

6. If he will bring forward legislative proposals to give freeholders rights to directly challenge management and service charges equivalent to those of leaseholders.

[The Minister of State, Department for Levelling Up, Housing and Communities (Lucy Frazer)]

The Government are committed to building on the Leasehold Reform (Ground Rent) Act 2022 and delivering the second phase of our major two-part leasehold reform programme within this Parliament. This will make it easier for leaseholders to purchase their freeholds and will establish greater fairness between those parties.

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[Lucy Frazer]

I can give my hon. Friend assurance that the many measures we will bring in will affect not only new purchasers but existing leaseholders. We will be bringing forward legislation later in this Parliament.

[Richard Fuller]

In my constituency, Councillor Weir of Great Denham, Councillor Gallagher of Shortstown and Councillor Dixon of Stotfold are leading efforts on behalf of local residents who own a freehold property to challenge excessive fees, lack of transparency and poor service by estate management companies. Will the Minister review the terms of reference of the property ombudsman to make it easier for homeowners—freeholders—to challenge these unfair practices?

[Lucy Frazer]

My hon. Friend is right to highlight unfairness in relation to freeholders. Estate management companies must be more accountable to homeowners on how money is spent to maintain privately managed estates. We will be giving freehold owners on these estates new rights to challenge costs and appoint a manager, as well as requiring private estate management companies to join a redress scheme.