LEASEHOLD CHARGES: Latest reforms revealed by Prime Minister
Summary
The Government has announced further reforms to leasehold service charges in England, aimed at improving transparency, strengthening leaseholder rights to information, and limiting the recovery of landlords’ legal costs when charges are challenged. The measures are due to be introduced in stages from 1 April 2027, with additional requirements for different landlord types following later in 2027 and 2028.
Why it matters
These changes affect how service charges are demanded, explained and disputed, which is directly relevant to surveyors advising on leasehold blocks, management standards and valuation assumptions. They may also influence client expectations, dispute risk and the documentation surveyors review when assessing residential property.
Key points
- Leaseholders will gain stronger rights to see what service charges cover and to request previous years’ information.
- Landlords will need a good reason to refuse disclosure of historic service charge information.
- Landlords will need court or tribunal approval to pass on legal costs when charges are challenged.
- Leaseholders will get a new right to recover their legal expenses in some challenge cases.
- Further staged reforms will require clearer, standardised service charge demand forms and supporting financial information.
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