Government leasehold reforms: what they mean for you

The Government has announced sweeping reforms that will massively strengthen the rights of leaseholders, tackle unfair costs, and give residents more control over their homes. Hendon has a high number of leasehold properties, and I know from speaking to local residents how frustrating and stressful the current system can be. These changes are designed to fix that.

First, ground rent will be capped at £250 per year and reduced to zero over time. That means permanent bill reductions and real help with cost-of-living pressures for leaseholders who have been stuck paying rising charges with little benefit in return.

Second, new leasehold flats will be banned altogether. This permanently ends a system that has trapped many homeowners in complex contracts with escalating costs and limited rights. It marks a major shift toward fairer home ownership.

The reforms will also abolish forfeiture, meaning people will no longer face the threat of losing their home over relatively small debts. A fairer enforcement system will replace it, protecting residents while still ensuring disputes can be resolved sensibly.

Existing leaseholders will get a simpler, clearer route to move to commonhold. This is a big win: it gives residents real control over how their buildings are run, what they pay, and how decisions are made. Managing agents will also be properly regulated, with greater transparency and stronger protections for residents.

For many leaseholders in our area, this is genuinely transformative. These reforms will make homes easier to sell, reduce unfair costs, and return power to the people who actually live in and pay for these properties. It’s about fairness, security, and easing financial pressure.

I’ll be sharing more detail with local leaseholders about what these changes mean in practice. If you have questions or want updates on how the reforms will affect you, please email me at david.pintoduschinsky.mp@parliament.uk.