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ARTICLE · 30 AUGUST 2021

Queen's Speech: Ground Rent Reform

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The Government's proposal around leasehold ground rent reform has now taken shape following the Queen's Speech.

United KingdomReal Estate and Construction
Mark Vinall
Mark Vinall
Ruth Barnes
Ruth Barnes
James Duncan
James Duncan

The Government's proposal around leasehold ground rent reform has now taken shape following the Queen's Speech.

Background

In 2018 the then Secretary of State for housing communities and Local Government, Sajid Javid, announced a "crack down on unfair leasehold practices" that would include setting ground rents on new long leases at zero and working with the Law Commission to make the process of purchasing a freehold or extending a flat lease "much easier, faster and cheaper".

Following consultation in 2018 the Government's response provided more detail i.e. that the ban was to come into effect immediately upon the legislation coming into force as opposed to there being any transitional period.

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