Leasehold and Freehold Reform Act 2024

Type Public General Act
Publication 2024-05-24
Last updated 2025-03-03
State In force
Department Statute Law Database
articles Not indexed
Reform history JSON API
  • (b) the immediate landlord shows that it was unreasonable for that affected other landlord to impose the requirement.
  • (10) The court or the appropriate tribunal may order the immediate landlord to pay to any affected other landlord the costs, or a contribution to the costs, incurred by that affected other landlord in obtaining from the appropriate tribunal money that has been paid into it in compliance with a requirement imposed under sub-paragraph (6)(c) if—
  • (a) that affected other landlord imposed the requirement, and
  • (b) that affected other landlord shows that the requirement was imposed because of unreasonable conduct by the immediate landlord.
  • (11) In this paragraph—
  • “affected other landlord” means the landlord under a qualifying intermediate lease of which the rent is to be reduced in accordance with paragraph 8 (whether by virtue of paragraph 8(3) or (4));
  • “immediate landlord” means the immediate landlord under the lease to which the rent variation notice relates (and to which the rent variation notice must be given);
  • “qualifying intermediate lease” has the meaning given in paragraph 8;
  • “required premium” means the required premium payable under paragraph 7.

Provisions of the LRHUDA 1993 that apply for the purposes of this Schedule

20
  • (1) The provisions of the LRHUDA 1993 set out in the first column of the table below (the “applied provisions”) are to apply for the purposes of this Schedule (whether in its application to a house or flat).
  • (2) In its application by virtue of this paragraph, an applied provision has effect subject to—
  • (a) any specific modification set out in the second column of the entry in the table below which relates to that provision, and
  • (b) the general modifications set out in sub-paragraph (3) (so far as they are applicable to the provision).
Applied provisions Specific modification(s) (if any)
Sections 50 and 51 (missing landlords)
Section 55(3) (compulsory acquisition)
Section 56(3)(a) and (c) (exercise of right subject to payment of other sums) The reference to any price payable has effect as a reference to the required premium payable under paragraph 7 of this Schedule
Section 58, except for subsection (4) (effect of right on mortgages) A reference to the new lease has effect as a reference to the deed of variation of the lease
Section 93(1) and (2) (limitations on agreements to exclude or modify right)
Section 93A (trustees)
Schedule 2 (provisions relevant to special categories of landlord)
Schedule 4 (provision of information by landlords)
Schedule 12, paragraph 9 (inaccurate notices)
  • (3) A reference of a kind set out in the first column of an entry in the following table in an applied provision (however expressed) has effect as a reference of the kind set out in the second column of that entry—
A reference of this kind in an applied provision... ...has effect as a reference of this kind...
A person exercising or purporting to exercise the right to acquire a new lease of a flat A person exercising or purporting to exercise the right to a peppercorn rent
The grant of a new lease in pursuance of the right to acquire a new lease The variation of a qualifying lease in accordance with this Schedule
Property which the tenant is, or is not, entitled to have demised under a new lease Property in respect of which the tenant has, or does not have, the right to a peppercorn rent under this Schedule
The price payable for the new lease The required premium payable under paragraph 7 of this Schedule
A notice under section 42 to claim the right to a new lease A rent variation notice
Counter-notice under section 45 Counter-notice under this Schedule
Notice of withdrawal under section 52 Notice of withdrawal under this Schedule
The relevant date The relevant date under this Schedule
The LRHUDA 1993 or a Part, or Chapter of a Part, of the LRHUDA 1993 This Schedule
Particular provision of the LRHUDA 1993 The corresponding provision made in or under this Schedule

Regulations

21
  • (1) The Secretary of State may by regulations make provision for giving effect to the rights of a tenant under this Schedule.
  • (2) Regulations under sub-paragraph (1) may (in particular) make provision about notices under this Schedule, including provision about—
  • (b) the form of notices under this Schedule;
  • (3) The regulations may (in particular) provide that notice which does not comply with provision made in the regulations—
  • (b) is to cease to have effect.
  • (4) The Secretary of State may, by regulations, amend paragraph 20 so as to—
  • (a) change the provisions of the LRHUDA 1993 which are applied by that paragraph;
  • (b) provide for, or change, the modifications subject to which a provision applied by that paragraph has effect.
  • (5) A statutory instrument containing regulations under this paragraph is subject to the negative procedure.
  • (a) a rent variation notice;
  • (b) a counter-notice;
  • (c) a notice of withdrawal.

Interpretation

22
  • (1) In this Schedule—
  • “appropriate tribunal” means— in respect of property wholly in Wales, a leasehold valuation tribunal; in respect of other property, the First-tier Tribunal or, where determined by or under Tribunal Procedure Rules, the Upper Tribunal;
  • “counter-notice” has the meaning given in paragraph 5;
  • “landlord” is to be read subject to paragraph 3(9);
  • “lease enfranchisement notice” means a notice under— section 8 of the LRA 1967 (notice of desire to acquire freehold of house), or section 13 of the LRHUDA 1993 (notice of claim to exercise right to collective enfranchisement); and a lease enfranchisement notice under section 13 of the LRHUDA 1993 relates to the qualifying lease if the tenant under the lease is one of the participating tenants in relation to the claim under the notice;
  • “lease extension notice” means a notice under— section 14 of the LRA 1967 (notice of desire to extend lease of house), or section 42 of the LRHUDA 1993 (notice of claim to exercise right to acquire new lease of flat);
  • “notice” means notice in writing;
  • “notice of withdrawal” has the meaning given in paragraph 12;
  • “peppercorn rent” has the same meaning as in the LR(GR)A 2022 (see section 4(3) of that Act);
  • “peppercorn rent variation” means the variation of a lease as mentioned in paragraph 1(1);
  • “qualifying lease”, “qualifying lease of a flat” and “qualifying lease of a house” have the meanings given in paragraph 2;
  • “relevant date”, in relation to a claim to exercise the right to a peppercorn rent, means the date on which the rent variation notice is given;
  • “rent” (except in the expression “low rent”) has the same meaning as in the LR(GR)A 2022 (see section 22(2) and (3) of that Act);
  • “rent variation notice” has the meaning given in paragraph 3;
  • “response period” has the meaning given in paragraph 5;
  • “right to a peppercorn rent” means the right conferred by this Schedule as described in paragraph 1;
  • “tenant” is to be read subject to paragraph 3(8).
  • (2) For the purposes of this Schedule an order of the appropriate tribunal becomes final—
  • (a) if not appealed against, on the expiry of the time for bringing an appeal, or
  • (b) if appealed against and not set aside in consequence of the appeal, at the time when the appeal and any further appeal is disposed of—
  • (i) by the determination of it and the expiry of the time for bringing a further appeal (if any), or
  • (ii) by its being abandoned or otherwise ceasing to have effect.

Schedule 11

Part 1 — Amendments consequential on section 68

1

The LTA 1985 is amended in accordance with paragraphs 2 to 13.

2

In section 5 (information to be contained in rent books)—

  • (a) in subsection (3)—
  • (i) in the words before paragraph (a), for “Secretary of State” substitute “appropriate authority”;
  • (ii) in paragraph (b), omit the words from “which shall” to the end;
  • (b) after subsection (3) insert—

(4) A statutory instrument containing regulations under this section is subject to the negative procedure.

3

In section 10B(8) (regulations under section 10A), for the words from “may not be made” to the end substitute “is subject to the affirmative procedure”.

4

In section 20 (consultation requirements)—

  • (a) in subsection (4), for “Secretary of State” substitute “appropriate authority”;
  • (b) in subsection (5), for “Secretary of State” substitute “appropriate authority”.
5

In section 20ZA (consultation requirements: supplementary)—

  • (a) in subsection (3), for “Secretary of State” substitute “appropriate authority”;
  • (b) in subsection (4), for “Secretary of State” substitute “appropriate authority”;
  • (c) in subsection (7), omit the words from “which shall” to the end;
  • (d) after subsection (7) insert—

(8) A statutory instrument containing regulations under section 20 or this section is subject to the negative procedure.

6

In section 20E(4) (regulations under section 20D) for the words from “annulment” to the end substitute “the negative procedure”.

7

In section 20F(7) (limitation of service charges: excluded costs for higher risk buildings), for the words from “annulment” to the end substitute “the negative procedure”.

8

In section 29 (meaning of “recognised tenants’ association”)—

  • (a) in subsection (5), for “Secretary of State” substitute “appropriate authority”;
  • (b) in subsection (6)(b), omit the words from “which shall” to the end;
  • (c) after subsection (6) insert—

(7) A statutory instrument containing regulations under subsection (5) is subject to the negative procedure.

9

In section 29A (tenants’ associations: power to request information about tenants), in subsection (7), for the words from “annulment” to the end substitute “the negative procedure”.

10

In section 30D(9) (liability for building safety costs), for the words from “may not be made” to the end substitute “is subject to the affirmative procedure”.

11

In section 31 (reserve power to limit rents)—

  • (a) in subsection (1), for “Secretary of State” substitute “appropriate authority”;
  • (b) in subsection (4), omit the words from “which shall” to the end;
  • (c) after subsection (4) insert—

(5) A statutory instrument containing an order under this section is subject to the negative procedure.

12

In section 35 (application to Isles of Scilly)—

  • (a) in subsection (2), omit the words from “which shall” to the end;
  • (b) after subsection (2) insert—

(3) A statutory instrument containing an order under this section is subject to the negative procedure.

13

In paragraph 7(5) of the Schedule (right to notify insurers of possible claim), for “Secretary of State” substitute “appropriate authority”.

Part 2 — Other consequential amendments

14

The LTA 1985 is amended in accordance with paragraphs 15 to 17.

15

In section 23A (effect of change of landlord)—

  • (a) in subsection (1), for “sections 21 to 23” substitute “sections 21D to 21H or the Schedule”;
  • (b) in subsection (4)—
  • (i) for “sections 21 to 23 and any regulations under section 21” substitute “sections 21D to 21H, the Schedule, and any regulations under those sections or the Schedule”;
  • (ii) omit paragraph (b) and the “but” preceding it;
  • (iii) omit paragraph (c).
16

In section 26 (exception for tenants of certain public authorities)—

  • (a) in subsection (1)—
  • (i) for the words from “Sections 18 to 25” to “do not apply” substitute “Sections 18 to 25A do not apply”;
  • (ii) for “, in which case sections 18 to 24 apply but section 25 (offence of failure to comply) does not” substitute “(but see subsection (1A));
  • (b) after subsection (1) insert—

(1A) The following sections do not apply to a service charge payable by a tenant under a long tenancy of a landlord referred to in subsection (1)— (a) section 20H (right to claim where excluded insurance costs charged); (b) section 20K (right to claim where costs charged in breach of section 20J); (c) section 25A (enforcement of duties relating to service charges).

17

In section 27 (exception for rent registered and not entered as variable), for the words from “Sections 18 to 25” to “do not apply” substitute “Sections 18 to 25A do not apply”.

18

In Schedule 5 to the Housing and Planning Act 1986 (miscellaneous amendments), omit paragraph 9(2).

19

In Schedule 2 to the LTA 1987 (amendments to the LTA 1985)—

  • (a) omit paragraph 1 and the italic heading preceding it;
  • (b) omit paragraph 5 and the italic heading preceding it;
  • (c) omit paragraph 6 and the italic heading preceding it.
20

In Schedule 11 to the Local Government and Housing Act 1989 (minor and consequential amendments), omit paragraph 91.

21

In section 83 of the Housing Act 1996 (determination of reasonableness of service charges), omit subsection (4).

22

In Schedule 1 to the Housing Grants, Construction and Regeneration Act 1996 (consequential amendments), omit paragraph 12.

23

In the CLRA 2002—

  • (a) omit section 152 (statements of account);
  • (b) omit section 153 (notice to accompany demands for service charges);
  • (c) omit section 154 (inspection etc of documents);
  • (d) in section 160 (third parties with management responsibilities), omit subsection (4)(d);
  • (e) in Schedule 7 (amendment of references to landlords)—
  • (i) omit paragraph 4(4);
  • (ii) omit paragraph 5(4);
  • (f) in Schedule 9 (meaning of service charge and management), omit paragraph 7;
  • (g) in Schedule 10 (minor and consequential amendments)—
  • (i) omit paragraph 1;
  • (ii) omit paragraph 3;
  • (iii) omit paragraph 4;
  • (iv) omit paragraph 6;
  • (v) omit paragraph 8;
  • (vi) omit paragraph 9;
  • (vii) omit paragraph 10;
  • (viii) omit paragraph 11;
  • (ix) omit paragraph 12;
  • (x) omit paragraph 13.
24

In Schedule 15 to the Housing Act 2004 (minor and consequential amendments), omit paragraph 32 and the italic heading preceding it.

25

In the Housing and Regeneration Act 2008 (service charges)—

  • (a) in Schedule 12, omit paragraphs 1 to 10;
  • (b) in Schedule 16, omit the entry for the LTA 1985.
26

In Schedule 9 to the Crime and Courts Act 2013, in paragraph 52(2) (amendment of references to county court), in the entry for the LTA 1985, omit “section 20C(2), and”.

27

In the Housing (Wales) Act 2014 (anaw 7), in the English language text and in the Welsh language text, omit section 128 (exception from offence for social housing).

28

In the Housing and Planning Act 2016, omit section 131 (limitation of administration charges: costs of proceedings).

29

In the BSA 2022—

  • (a) in section 112 (implied terms in leases), omit subsections (4) and (7);
  • (b) in Schedule 8 (remediation costs), omit paragraph 17.

Schedule 12

Notice of intent

1
  • (1) Before imposing a financial penalty on a person under section 105, an enforcement authority must give the person notice of its proposal to do so (a “notice of intent”).
  • (2) The notice of intent must be given before the end of the period of 6 months beginning with the first day on which the enforcement authority has sufficient evidence of the conduct to which the financial penalty relates.
  • (3) But if the person is continuing to engage in the conduct on that day, and the conduct continues beyond the end of that day, the notice of intent may be given—
  • (a) at any time when the conduct is continuing, or
  • (b) within the period of 6 months beginning with the last day on which the conduct occurs.
  • (4) The notice of intent must set out—
  • (a) the date on which the notice of intent is given,
  • (b) the amount of the proposed financial penalty,
  • (c) the reasons for proposing to impose the penalty, and
  • (d) information about the right to make representations under paragraph 2.

Right to make representations

2
  • (1) A person who is given a notice of intent may make written representations to the enforcement authority about the proposal to impose a financial penalty.
  • (2) Any representations must be made within the period of 28 days beginning with the day after the day on which the notice of intent was given to the person (“the period for representations”).

Final notice

3
  • (1) After the end of the period for representations the enforcement authority must—
  • (a) decide whether to impose a financial penalty on the person, and
  • (b) if it decides to do so, decide the amount of the penalty.
  • (2) If the enforcement authority decides to impose a financial penalty on the person, it must give a notice to the person (a “final notice”) imposing that penalty.
  • (3) The final notice must require the penalty to be paid within the period of 28 days beginning with the day after the day on which the notice was given.
  • (4) The final notice must set out—
  • (a) the date on which the final notice is given,
  • (b) the amount of the financial penalty,
  • (c) the reasons for imposing the penalty,
  • (d) information about how to pay the penalty,
  • (e) the period for payment of the penalty,
  • (f) information about rights of appeal, and
  • (g) the consequences of failure to comply with the notice.

Withdrawal or amendment of notice

4
  • (1) An enforcement authority that gives a notice of intent or final notice may at any time—
  • (a) withdraw the notice of intent or final notice, or
  • (b) reduce an amount specified in the notice of intent or final notice.
  • (2) The power in sub-paragraph (1) is to be exercised by giving notice in writing to the person to whom the notice was given.

Appeals

5
  • (1) A person to whom a final notice is given may appeal to the First-tier Tribunal against—
  • (a) the decision to impose the penalty, or
  • (b) the amount of the penalty.
  • (2) An appeal under this paragraph must be brought within the period of 28 days beginning with the day after the day on which the final notice is given to the person.
  • (3) If a person appeals under this paragraph, the final notice is suspended until the appeal is finally determined, withdrawn or abandoned.
  • (4) An appeal under this paragraph—
  • (a) is to be a re-hearing of the enforcement authority’s decision, but
  • (b) may be determined having regard to matters of which the enforcement authority was unaware.
  • (5) On an appeal under this paragraph the First-tier Tribunal may quash, confirm or vary the final notice.
  • (6) The final notice may not be varied under sub-paragraph (5) so as to impose a financial penalty of more than the enforcement authority could have imposed.

Recovery of financial penalty

6
  • (1) This paragraph applies if a person fails to pay the whole or any part of a financial penalty which, in accordance with this Schedule, the person is liable to pay.
  • (2) The enforcement authority which imposed the financial penalty may recover the penalty or part on the order of the county court as if it were payable under an order of that court.

Proceeds of financial penalties

7
  • (1) Where an enforcement authority imposes a financial penalty under section 105, it may apply the proceeds towards meeting the costs and expenses (whether administrative or legal) incurred in, or associated with, carrying out any of its functions under this Part of this Act.
  • (2) Any proceeds of a financial penalty imposed under section 105 by an enforcement authority other than the Secretary of State which are not applied in accordance with sub-paragraph (1) must be paid to the Secretary of State.

Schedule 13

Local Government Act 1974

1
  • (1) The Local Government Act 1974 is amended in accordance with paragraphs 2 to 5.
2
  • (1) Section 33 (consultation between Local Commissioner and other Commissioners and Ombudsmen) is amended as follows.
  • (2) In subsection (1)—
  • (a) before paragraph (ba) insert—

(bzc) under a leasehold and estate management redress scheme,

;

  • (b) in the words after paragraph (c)—
  • (i) for “or Ombudsman” substitute “, Ombudsman or head of leasehold and estate management redress”;
  • (ii) before “the Public Services Ombudsman (Wales) Act 2005” insert “the leasehold and estate management redress scheme,”.
  • (3) In subsection (2)—
  • (a) before “the Public Services Ombudsman for Wales” insert “the head of leasehold and estate management redress,”;
  • (b) for “Commissioner or that Ombudsman” substitute “person”.
  • (4) Before subsection (4) insert—

(3C) If at any stage in the course of an investigation under a leasehold and estate management redress scheme, the head of leasehold and estate management redress forms the opinion that the complaint relates partly to a matter which could be the subject of an investigation under this Part of this Act, the head of leasehold and estate management redress must consult with the appropriate Local Commissioner about the complaint and, if the head of leasehold and estate management redress considers it necessary, inform the person initiating the complaint of the steps necessary to initiate a complaint under this Part of this Act.

  • (5) In subsection (4)—
  • (a) for “or (3B)” substitute “, (3B) or (3C)”;
  • (b) for “or the new homes ombudsman scheme” substitute “, the new homes ombudsman scheme or a leasehold and estate management redress scheme”.
3
  • (1) Section 33ZA (collaborative working between Local Commissioners and others) is amended as follows.
  • (2) In subsection (1)—
  • (a) in paragraph (c), omit the final “or”;
  • (b) at the end of paragraph (d), insert

or (e) an individual who investigates complaints under a leasehold and estate management redress scheme,

.

  • (3) In subsection (1A) for “or (d)” substitute “, (d) or (e)”.
  • (4) After subsection (1A) insert—

(1B) For the purposes of subsections (1) and (1A) a matter is “within the jurisdiction” of an individual who investigates complaints under a leasehold and estate management redress scheme if it is a matter which could be the subject of an investigation under that scheme.

  • (5) In subsection (3)—
  • (a) in paragraph (c), omit the final “or”;
  • (b) at the end of paragraph (d), insert

or (e) an individual who investigates complaints under a leasehold and estate management redress scheme,

;

  • (c) in the words after paragraph (d), for “or (d)” substitute “, (d) or (e)”.
4

In section 33ZB (arrangements for provision of administrative and other services), in subsection (4)—

  • (a) in paragraph (e), omit the final “and”;
  • (b) at the end of paragraph (f), insert

, and (g) the administrator of a leasehold and estate management redress scheme.

5

In section 34 (interpretation) in subsection (1), at the appropriate places insert—

  • “leasehold and estate management redress scheme” means a redress scheme within the meaning of section 100(4) of the Leasehold and Freehold Reform Act 2024 (leasehold and estate management: redress schemes);
  • “head of leasehold and estate management redress”, in relation to a leasehold and estate management redress scheme, means the person responsible for overseeing and monitoring the investigation and determination of complaints under the scheme;

.

Housing Act 1996

6
  • (1) Paragraph 10A of Schedule 2 to the Housing Act 1996 (housing complaints: collaborative working with Local Commissioners) is amended as follows.
  • (2) In sub-paragraph (1)—
  • (a) for “or the new homes ombudsman” substitute “, the new homes ombudsman or an individual who investigates complaints under a leasehold and estate management redress scheme”;
  • (b) for the words from “that Commissioner” to the end substitute “any one or more of them”.
  • (3) After sub-paragraph (1) insert—

(1A) For the purposes of sub-paragraph (1) a matter is “within the jurisdiction” of an individual who investigates complaints under a leasehold and estate management redress scheme if it is a matter which could be the subject of an investigation under that scheme.

  • (4) In sub-paragraph (3)—
  • (a) for “or the new homes ombudsman” substitute “, the new homes ombudsman or an individual who investigates complaints under a leasehold and estate management redress scheme (or two or more of them)”;
  • (b) for the words from “that Commissioner” to the end substitute “them”.
  • (5) In sub-paragraph (4) for “a Local Commissioner, the new homes ombudsman (or both)” substitute “one or more persons”.
  • (6) After sub-paragraph (5) insert—

(6) In this paragraph “leasehold and estate management redress scheme” means a redress scheme within the meaning of section 100(4) of the Leasehold and Freehold Reform Act 2024.

Building Safety Act 2022

7

In paragraph 3(5) of Schedule 3 to the BSA 2022—

  • (a) in paragraph (c), omit the final “or”;
  • (b) at the end of paragraph (d) insert

, or (e) a redress scheme within the meaning of section 100(4) of the Leasehold and Freehold Reform Act 2024 (leasehold and estate management: redress schemes).

.

Ban on grant or assignment of certain long residential leases of houses

Long residential leases of houses

Leases which have a long term

Series of leases whose term would extend beyond 21 years

Houses

Residential leases

Permitted leases

Permitted leases: certification by the appropriate tribunal

Permitted leases: marketing restrictions

Permitted leases: transaction warning conditions

Prescribed statements in new long leases

Restriction on title

Redress: right to acquire a freehold or superior leasehold estate

Redress: application of the right to acquire

Redress: general provision

Redress regulations: exercising and giving effect to the right to acquire

Enforcement by trading standards authorities

Financial penalties

Financial penalties: cross-border enforcement

Lead enforcement authority

General duties of lead enforcement authority

Enforcement by lead enforcement authority

Further powers and duties of enforcement authorities

Part 1: Crown application

Power to amend: permitted leases and definitions

Interpretation of Part 1

Removal of qualifying period before enfranchisement and extension claims

Removal of restrictions on repeated enfranchisement and extension claims

Change of non-residential limit on collective enfranchisement claims

Eligibility for enfranchisement and extension: specific cases

Acquisition of intermediate interests in collective enfranchisement

Right to require leaseback by freeholder after collective enfranchisement

Longer lease extensions

Lease extensions under the LRA 1967 on payment of premium at peppercorn rent

LRA 1967: determining price payable for freehold or lease extension

LRHUDA 1993: determining price payable for collective enfranchisement or new lease

Enfranchisement or extension: new method for calculating price payable

Costs of enfranchisement and extension under the LRA 1967

Costs of enfranchisement and extension under the LRHUDA 1993

Replacement of sections 20 and 21 of the LRA 1967

References to “the court” in Part 1 of the LRA 1967

Amendment of Part 1 of the LRHUDA 1993

References to “the court” in Part 1 of the LRHUDA 1993

No first-instance applications to the High Court in tribunal matters

Miscellaneous amendments

LRA 1967: preservation of existing law for certain enfranchisements

Part 2: consequential amendments to other legislation

Right to vary long lease to replace rent with peppercorn rent

Change of non-residential limit on right to manage claims

Costs of right to manage claims

Compliance with obligations arising under Chapter 1 of Part 2 of the CLRA 2002

No first-instance applications to the High Court in tribunal matters

Extension of regulation to fixed service charges

Notice of future service charge demands

Service charge demands

Accounts and annual reports

Right to obtain information on request

Enforcement of duties relating to service charges

Limitation on ability of landlord to charge insurance costs

Duty to provide information about insurance to tenants

Duty of landlords to publish administration charge schedules

Limits on rights of landlords to claim litigation costs from tenants

Right of tenants to claim litigation costs from landlords

Restriction on recovery of non-litigation costs of enfranchisement, extension and right to manage

Appointment of manager: power to vary or discharge orders

Appointment of manager: breach of redress scheme requirements

Leasehold sales information requests

Regulations under the LTA 1985: procedure and appropriate authority

LTA 1985: Crown application

Part 4: consequential amendments

Application of Part 4 to existing leases

Meaning of “estate management” etc

Estate management charges: general limitations

Limitation of estate management charges: reasonableness

Limitation of estate management charges: consultation requirements

Limitation of estate management charges: time limits

Determination of tribunal as to estate management charges

Demands for payment

Annual reports

Right to request information

Requests under section 80: further provision

Enforcement of sections 78 to 81

Meaning of “administration charge”

Duty of estate managers to publish administration charge schedules

Enforcement of section 84

Limitation of administration charges

Determination of tribunal as to administration charges

Codes of management practice: extension to estate managers

Notices of complaint

Appointment of substitute manager

Conditions for applying for appointment order

Criteria for determining whether to make appointment order

Appointment orders: further provision

Estate management: sales information requests

Effect of sales information request

Charges for provision of information

Enforcement of sections 95 and 96

Part 5: Crown application

Interpretation of Part 5

Leasehold and estate management: redress schemes

Redress schemes: voluntary jurisdiction

Financial assistance for establishment or maintenance of redress schemes

Approval and designation of redress schemes

Redress schemes: no Crown status

Financial penalties

Financial penalties: maximum amounts

Decision under a redress scheme may be made enforceable as if it were a court order

Lead enforcement authority: further provision

Guidance for enforcement authorities and scheme administrators

Part 6: amendments to other Acts

Interpretation of Part 6

Meaning of “estate rentcharge”

Regulation of remedies for arrears of rentcharges

Steps relating to remediation of defects

Remediation orders

Remediation contribution orders

Repeal of section 125 of the BSA 2022

Higher-risk and relevant buildings: notifications in connection with insolvency

Interpretation of references to other Acts

Power to make consequential provision

Regulations

Extent

Commencement

Short title

Leases granted out of historic leasehold estates

Community housing leases

Retirement housing leases

Leases of certain National Trust property

Leases granted by the Crown

Leases agreed before commencement

Shared ownership leases

Home finance plan leases

Extended leases

Agricultural leases

Notice of intent

Time limits for notice of intent

Right to make written representations

Final notice

Withdrawal or amendment of notice

Appeals

Recovery of penalty

Proceeds of penalties

Manner of giving notices

Interpretation

Removal of redevelopment restrictions on enfranchisement and extension

Removal of residential restriction on enfranchisement and extension under the LRA 1967

Removal of public purposes restriction on enfranchisement and extension under the LRA 1967

Exception to enfranchisement for certified community housing providers

Removal of restriction on extension claims by sub-lessees

Eligibility of leases of National Trust property for extension

Consequential amendments to the LRA 1967

Consequential amendments to the LRHUDA 1993

Determination and sharing of market value for purposes of section 37

Freehold enfranchisements: the basis of the market value

Lease extensions: the basis of the market value

How the market value is determined

Compulsory use of the standard valuation method

Tenant holding over or unexpired term of 5 years or less

Home finance plan leases

Market rack rent leases

Property included in the acquisition of a freehold house under section 2(4) of the LRA 1967

Leases already extended under the old law in the LRA 1967

Business tenancies

Acquisition of a freehold house under the LRA 1967: shared ownership leases

Collective enfranchisement: property other than relevant flats etc and appurtenant property

Voluntary use of the standard valuation method

Property that is “subject to the standard valuation method”

Application of this Part of this Schedule

Assumptions in all cases: intermediate leases merged and no marriage or hope value

Additional assumption on transfer of freehold house or lease extension: repairing obligations and improvements

Additional assumptions on collective enfranchisements: repairing obligations, improvements & leasebacks

Any determination of market value: specified matters to be taken into consideration

Any determination of market value: current lease gives rise to a right to hold over

Standard valuation method: other matters

Enfranchisement of house or lease extension: tenant with superior lease

Introduction

Step 1: determine the value of right to receive rent (the “term value”)

Rent (including a notional capped rent) that is to be used for determining the term value

Step 2 (freehold enfranchisement): determine the value of the freehold reversion (the “reversion value”)

Step 2 (lease extensions): determine the value of a 990 year lease (the “reversion value”)

Step 3: calculate the market value of the newly owned premises subject to the standard valuation method

Entitlement and calculation of share

Freehold enfranchisements: the “eligible persons” and “qualifying transactions”

Lease extensions: the “eligible persons” and “qualifying transactions”

The loss suffered

Interpretation

Introduction

Lease not subject to a rent review

Lease subject to a rent review with fixed changes

Lease subject to any other rent review

Interpretation

Application of this Schedule

Compensation payable

Provision to be construed as one with existing enfranchisement legislation

Meaning of specific expressions

Expressions with different meanings in relation to different statutory grants or leases

Involvement of other landlords: the LRA 1967

Involvement of other landlords: collective enfranchisement under the LRHUDA 1993

Involvement of other landlords: new lease under the LRHUDA 1993

Other consequential amendments to the LRA 1967

Other consequential amendments to the LRHUDA 1993

Repeal of section 18 of the LRHUDA 1993

Application of security of tenure provisions to extended leases

Required statements in extended leases

Redevelopment break rights in extended leases

Consequential amendments to the LRA 1967

Repeal of obsolete provision in section 19 of the LRA 1967

Orders and regulations under the LRA 1967

Reduction of rent under intermediate leases

Amendment of the LRA 1967

Repeal of exclusions of shared ownership leases from Part 1 of the LRA 1967

Rateable value limits and low rent tests not to apply to shared ownership leases

No right of enfranchisement for certain shared ownership leases

Inclusion of terms for sharing staircasing payments

Meaning of “shared ownership lease”

Amendment of the LRHUDA 1993

Repeal of special provision for shared ownership leases in definition of “long lease”

No right to collective enfranchisement for certain shared ownership leases

Tenant under shared ownership lease to have right to new lease

Consequential amendment

Collective enfranchisement: mandatory leaseback

Inclusion of terms for sharing staircasing payments

Meaning of “shared ownership lease”

Provision about “RTE companies”

Parliamentary Commissioner Act 1967

Leasehold Reform Act 1979

Local Government Act 1985

Housing Act 1985

Landlord and Tenant Act 1985

Housing and Planning Act 1986

Housing Act 1988

Local Government and Housing Act 1989

Local Government (Wales) Act 1994

Housing Act 1996

Commonhold and Leasehold Reform Act 2002

Finance Act 2003

Companies Act 2006

Enterprise and Regulatory Reform Act 2013

Immigration Act 2014

Consumer Rights Act 2015

Housing and Planning Act 2016

Tenant Fees Act 2019

Building Safety Act 2022

Right to vary lease to replace rent with peppercorn rent

Meaning of “qualifying lease” and exclusion of certain rent from the right to vary

Claiming the right to a peppercorn rent

Suspension of rent variation notices

Counter-notice

Application to appropriate tribunal where claim or terms not agreed

Variation of the lease

Reduction of rent under intermediate leases

Jurisdiction of the appropriate tribunal in relation to paragraph 8

Failure to vary lease

Missing landlord or third party

Circumstances in which notice ceases to have effect etc

Tenant’s liability for costs

Liability for costs: failed claims

Liability for costs: successful claims

Duty of landlord to give copies of the rent variation notice to superior landlords

Duty of superior landlord to give copies of the rent variation notice to other superior landlords

Actions of immediate landlord binding on other landlords

Duty of immediate landlord to conduct commutation claim on behalf of affected other landlords

Provisions of the LRHUDA 1993 that apply for the purposes of this Schedule

Regulations

Interpretation

Notice of intent

Right to make representations

Final notice

Withdrawal or amendment of notice

Appeals

Recovery of financial penalty

Proceeds of financial penalties

Local Government Act 1974

Housing Act 1996

Building Safety Act 2022

Editorial notes

1

S. 1 not in force at Royal Assent, see s. 124(3)

2

S. 2 not in force at Royal Assent, see s. 124(3)

3

S. 3 not in force at Royal Assent, see s. 124(3)

4

S. 4 not in force at Royal Assent, see s. 124(3)

5

S. 5 not in force at Royal Assent, see s. 124(3)

6

S. 6 not in force at Royal Assent, see s. 124(3)

7

S. 7 not in force at Royal Assent, see s. 124(3)

8

S. 8 not in force at Royal Assent, see s. 124(3)

9

S. 9 not in force at Royal Assent, see s. 124(3)

10

S. 10 not in force at Royal Assent, see s. 124(3)

11

S. 11 not in force at Royal Assent, see s. 124(3)

12

S. 12 not in force at Royal Assent, see s. 124(3)

13

S. 13 not in force at Royal Assent, see s. 124(3)

14

S. 14 not in force at Royal Assent, see s. 124(3)

15

S. 15 not in force at Royal Assent, see s. 124(3)

16

S. 16 not in force at Royal Assent, see s. 124(3)

17

S. 17 not in force at Royal Assent, see s. 124(3)

18

S. 18 not in force at Royal Assent, see s. 124(3)

19

S. 19 not in force at Royal Assent, see s. 124(3)

20

S. 20 not in force at Royal Assent, see s. 124(3)

21

S. 21 not in force at Royal Assent, see s. 124(3)

22

S. 22 not in force at Royal Assent, see s. 124(3)

23

S. 23 not in force at Royal Assent, see s. 124(3)

24

S. 24 not in force at Royal Assent, see s. 124(3)

25

S. 25 not in force at Royal Assent, see s. 124(3)

26

S. 26 not in force at Royal Assent, see s. 124(3)

27

S. 27 not in force at Royal Assent, see s. 124(3)

28

S. 28 not in force at Royal Assent, see s. 124(3)

29

S. 29 not in force at Royal Assent, see s. 124(3)

30

S. 30 not in force at Royal Assent, see s. 124(3)

31

S. 31 not in force at Royal Assent, see s. 124(3)

32

S. 32 not in force at Royal Assent, see s. 124(3)

33

S. 33 not in force at Royal Assent, see s. 124(3)

34

S. 34 not in force at Royal Assent, see s. 124(3)

35

S. 35 not in force at Royal Assent, see s. 124(3)

36

S. 36 not in force at Royal Assent, see s. 124(3)

37

S. 37 not in force at Royal Assent, see s. 124(3)

38

S. 38 not in force at Royal Assent, see s. 124(3)

39

S. 39 not in force at Royal Assent, see s. 124(3)

40

S. 40 not in force at Royal Assent, see s. 124(3)

41

S. 41 not in force at Royal Assent, see s. 124(3)

42

S. 42 not in force at Royal Assent, see s. 124(3)

43

S. 43 not in force at Royal Assent, see s. 124(3)

44

S. 44 not in force at Royal Assent, see s. 124(3)

45

S. 45 not in force at Royal Assent, see s. 124(3)

46

S. 46 not in force at Royal Assent, see s. 124(3)

47

S. 47 not in force at Royal Assent, see s. 124(3)

48

S. 48 not in force at Royal Assent, see s. 124(3)

49

S. 49 not in force at Royal Assent, see s. 124(3)

50

S. 50 not in force at Royal Assent, see s. 124(3)

51

S. 51 not in force at Royal Assent, see s. 124(3)

52

S. 52 not in force at Royal Assent, see s. 124(3)

53

S. 53 not in force at Royal Assent, see s. 124(3)

54

S. 54 not in force at Royal Assent, see s. 124(3)

55

S. 55 not in force at Royal Assent, see s. 124(3)

56

S. 56 not in force at Royal Assent, see s. 124(3)

57

S. 57 not in force at Royal Assent, see s. 124(3)

58

S. 58 not in force at Royal Assent, see s. 124(3)

59

S. 59 not in force at Royal Assent, see s. 124(3)

60

S. 60 not in force at Royal Assent, see s. 124(3)

61

S. 61 not in force at Royal Assent, see s. 124(3)

62

S. 62 not in force at Royal Assent, see s. 124(3)

63

S. 63 not in force at Royal Assent, see s. 124(3)

64

S. 64 not in force at Royal Assent, see s. 124(3)

65

S. 65 not in force at Royal Assent, see s. 124(3)

66

S. 66 not in force at Royal Assent, see s. 124(3)

67

S. 67 not in force at Royal Assent, see s. 124(3)

68

S. 68 not in force at Royal Assent, see s. 124(3)

69

S. 69 not in force at Royal Assent, see s. 124(3)

70

S. 70 not in force at Royal Assent, see s. 124(3)

71

S. 71 not in force at Royal Assent, see s. 124(3)

72

S. 72 not in force at Royal Assent, see s. 124(3)

73

S. 73 not in force at Royal Assent, see s. 124(3)

74

S. 74 not in force at Royal Assent, see s. 124(3)

75

S. 75 not in force at Royal Assent, see s. 124(3)

76

S. 76 not in force at Royal Assent, see s. 124(3)

77

S. 77 not in force at Royal Assent, see s. 124(3)

78

S. 78 not in force at Royal Assent, see s. 124(3)

79

S. 79 not in force at Royal Assent, see s. 124(3)

80

S. 80 not in force at Royal Assent, see s. 124(3)

81

S. 81 not in force at Royal Assent, see s. 124(3)

82

S. 82 not in force at Royal Assent, see s. 124(3)

83

S. 83 not in force at Royal Assent, see s. 124(3)

84

S. 84 not in force at Royal Assent, see s. 124(3)

85

S. 85 not in force at Royal Assent, see s. 124(3)

86

S. 86 not in force at Royal Assent, see s. 124(3)

87

S. 87 not in force at Royal Assent, see s. 124(3)

88

S. 88 not in force at Royal Assent, see s. 124(3)

89

S. 89 not in force at Royal Assent, see s. 124(3)

90

S. 90 not in force at Royal Assent, see s. 124(3)

91

S. 91 not in force at Royal Assent, see s. 124(3)

92

S. 92 not in force at Royal Assent, see s. 124(3)

93

S. 93 not in force at Royal Assent, see s. 124(3)

94

S. 94 not in force at Royal Assent, see s. 124(3)

95

S. 95 not in force at Royal Assent, see s. 124(3)

96

S. 96 not in force at Royal Assent, see s. 124(3)

97

S. 97 not in force at Royal Assent, see s. 124(3)

98

S. 98 not in force at Royal Assent, see s. 124(3)

99

S. 99 not in force at Royal Assent, see s. 124(3)

100

S. 100 not in force at Royal Assent, see s. 124(3)

101

S. 101 not in force at Royal Assent, see s. 124(3)

102

S. 102 not in force at Royal Assent, see s. 124(3)

103

S. 103 not in force at Royal Assent, see s. 124(3)

104

S. 104 not in force at Royal Assent, see s. 124(3)

105

S. 105 not in force at Royal Assent, see s. 124(3)

106

S. 106 not in force at Royal Assent, see s. 124(3)

107

S. 107 not in force at Royal Assent, see s. 124(3)

108

S. 108 not in force at Royal Assent, see s. 124(3)

109

S. 109 not in force at Royal Assent, see s. 124(3)

110

S. 110 not in force at Royal Assent, see s. 124(3)

111

S. 111 not in force at Royal Assent, see s. 124(3)

112

S. 112 not in force at Royal Assent, see s. 124(3)

113

S. 114 not in force at Royal Assent, see s. 124(3)

114

S. 115 not in force at Royal Assent, see s. 124(3)

115

S. 116 not in force at Royal Assent, see s. 124(3)

116

S. 120 in force at Royal Assent, see s. 124(1)

117

S. 121 in force at Royal Assent, see s. 124(1)

118

S. 122 in force at Royal Assent, see s. 124(1)

119

S. 123 in force at Royal Assent, see s. 124(1)

120

S. 124 in force at Royal Assent, see s. 124(1)

121

S. 125 in force at Royal Assent, see s. 124(1)

122

Sch. 1 para. 1 not in force at Royal Assent, see s. 124(3)

123

Sch. 1 para. 2 not in force at Royal Assent, see s. 124(3)

124

Sch. 1 para. 3 not in force at Royal Assent, see s. 124(3)

125

Sch. 1 para. 4 not in force at Royal Assent, see s. 124(3)

126

Sch. 1 para. 5 not in force at Royal Assent, see s. 124(3)

127

Sch. 1 para. 6 not in force at Royal Assent, see s. 124(3)

128

Sch. 1 para. 7 not in force at Royal Assent, see s. 124(3)

129

Sch. 1 para. 8 not in force at Royal Assent, see s. 124(3)

130

Sch. 1 para. 9 not in force at Royal Assent, see s. 124(3)

131

Sch. 1 para. 10 not in force at Royal Assent, see s. 124(3)

132

Sch. 2 para. 1 not in force at Royal Assent, see s. 124(3)

133

Sch. 2 para. 2 not in force at Royal Assent, see s. 124(3)

134

Sch. 2 para. 3 not in force at Royal Assent, see s. 124(3)

135

Sch. 2 para. 4 not in force at Royal Assent, see s. 124(3)

136

Sch. 2 para. 5 not in force at Royal Assent, see s. 124(3)

137

Sch. 2 para. 6 not in force at Royal Assent, see s. 124(3)

138

Sch. 2 para. 7 not in force at Royal Assent, see s. 124(3)

139

Sch. 2 para. 8 not in force at Royal Assent, see s. 124(3)

140

Sch. 2 para. 9 not in force at Royal Assent, see s. 124(3)

141

Sch. 2 para. 10 not in force at Royal Assent, see s. 124(3)

142

Sch. 2 para. 11 not in force at Royal Assent, see s. 124(3)

143

Sch. 3 para. 1 not in force at Royal Assent, see s. 124(3)

144

Sch. 3 para. 2 not in force at Royal Assent, see s. 124(3)

145

Sch. 3 para. 3 not in force at Royal Assent, see s. 124(3)

146

Sch. 3 para. 4 not in force at Royal Assent, see s. 124(3)

147

Sch. 3 para. 5 not in force at Royal Assent, see s. 124(3)

148

Sch. 3 para. 6 not in force at Royal Assent, see s. 124(3)

149

Sch. 3 para. 7 not in force at Royal Assent, see s. 124(3)

150

Sch. 3 para. 8 not in force at Royal Assent, see s. 124(3)

151

Sch. 3 para. 9 not in force at Royal Assent, see s. 124(3)

152

Sch. 3 para. 10 not in force at Royal Assent, see s. 124(3)

153

Sch. 3 para. 11 not in force at Royal Assent, see s. 124(3)

154

Sch. 3 para. 12 not in force at Royal Assent, see s. 124(3)

155

Sch. 3 para. 13 not in force at Royal Assent, see s. 124(3)

156

Sch. 3 para. 14 not in force at Royal Assent, see s. 124(3)

157

Sch. 3 para. 15 not in force at Royal Assent, see s. 124(3)

158

Sch. 3 para. 16 not in force at Royal Assent, see s. 124(3)

159

Sch. 3 para. 17 not in force at Royal Assent, see s. 124(3)

160

Sch. 3 para. 18 not in force at Royal Assent, see s. 124(3)

161

Sch. 3 para. 19 not in force at Royal Assent, see s. 124(3)

162

Sch. 3 para. 20 not in force at Royal Assent, see s. 124(3)

163

Sch. 3 para. 21 not in force at Royal Assent, see s. 124(3)

164

Sch. 3 para. 22 not in force at Royal Assent, see s. 124(3)

165

Sch. 3 para. 23 not in force at Royal Assent, see s. 124(3)

166

Sch. 3 para. 24 not in force at Royal Assent, see s. 124(3)

167

Sch. 3 para. 25 not in force at Royal Assent, see s. 124(3)

168

Sch. 3 para. 26 not in force at Royal Assent, see s. 124(3)

169

Sch. 3 para. 27 not in force at Royal Assent, see s. 124(3)

170

Sch. 3 para. 28 not in force at Royal Assent, see s. 124(3)

171

Sch. 3 para. 29 not in force at Royal Assent, see s. 124(3)

172

Sch. 3 para. 30 not in force at Royal Assent, see s. 124(3)

173

Sch. 3 para. 31 not in force at Royal Assent, see s. 124(3)

174

Sch. 3 para. 32 not in force at Royal Assent, see s. 124(3)

175

Sch. 3 para. 33 not in force at Royal Assent, see s. 124(3)

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