An update on the Commonhold and Leasehold Reform Bill

Following consultation earlier this year, the government is preparing to introduce the final Commonhold and Leasehold Reform Bill in autumn 2026.

The Bill proposes significant changes to how flats — including retirement properties — are owned and managed.

Key proposals in the draft Bill include:

• Reducing the number of leaseholders who need to agree to switch from leasehold to commonhold from everyone (100%) to just half (50%).
• A ban on new leasehold flats.
• A £250 ground rent cap for many older leases, which would reduce to a peppercorn after 40 years.
• Ending the current forfeiture system, replacing it with fairer and more proportionate Lease Enforcement Claims.

Earlier in the year, we ran a resident question and answer session about the proposed changes. You can watch a recording of the session here.

If you would like a copy of the questions and answers or the presentation given, please email [email protected] 

Although separate from the Leasehold and Freehold Reform Act 2024 (LFRA), the proposals included in the Commonhold and Leasehold Reform Bill are designed to build on and strengthen the reforms already introduced.

What LFRA changes

LFRA improves many parts of the current leasehold and freehold system. It gives leaseholders and freeholders stronger rights and better protection. This includes:

• More power for residents to challenge unfair costs or poor management.
• Clearer information requirements — such as standardised budgets, annual reports and better digital access to documents.
• Improved consultation rules for major works.
• A requirement for managing agents to hold specific qualifications.
• Easier processes for residents to replace a managing agent if services are not being delivered properly.

We’ll continue to keep residents informed as more details become available and will share further updates in future newsletters.