Leaseholders across England will be entitled to sharper, more detailed information about the service charges they pay and new safeguards over costs, the Government has announced. The measures, drawn from a consultation with leaseholders, landlords and industry bodies, are due to come into force from 2027.
What will change for leaseholders
The package introduces a suite of transparency requirements and procedural protections intended to make it easier for leaseholders to scrutinise how money is spent on communal maintenance and major works. Key measures include an annual report for each building, a new standardised service charge demand form, and a right to request building information and invoices going back up to six years.
- Annual building report giving an overview of the condition of the building and plans for major works.
- New service charge demand form detailing what payments cover.
- Right to request information such as fire safety records and maintenance invoices, with clear response times, for up to six years.
- Cost protections so leaseholders are less likely to be made to pay landlords’ legal bills in disputes and can apply to recover their own costs.
“As we bring the feudal leasehold system to an end and move towards a commonhold future, existing leaseholders will not be left behind,”
The housing minister said the reforms are intended to support leaseholders as the country transitions away from the traditional leasehold model towards commonhold, while strengthening protections "in the here and now".
Further consultations and scope
The Government has also launched two consultations: one covering England and Wales on the valuation rates used in leasehold enfranchisement claims, and another — for England only — on levels of process costs in enfranchisement transactions. Responses from Wales are welcomed for the process costs proposals.
| Measure | Effect |
|---|---|
| Annual report | Insight into building health and planned major works |
| Service charge demand form | Standardised breakdown of charges and coverage |
| Records on request | Invoices and safety information available up to six years |
| Costs protections | Limits on leaseholders having to pay landlords’ legal bills |
Locally, the changes will be pertinent for Wirral leaseholders living in flats and shared-ownership properties where service charges can be a substantial and sometimes opaque element of housing costs. The new demands for transparency aim to make it easier for residents to challenge charges they believe are unreasonable, and to understand longer-term repair liabilities.
Industry representatives have broadly welcomed moves towards greater transparency, while noting further detail will be needed around implementation timelines and enforcement. The Government’s consultations on valuation and process costs will determine how enfranchisement claims — the process by which leaseholders can buy their freehold or extend leases — are valued and the fees involved.
Leaseholders in Wirral and elsewhere should expect to receive more information from their landlords once the measures are enacted and should check consultations if they wish to contribute views on valuation rates and process costs.
