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Housing Secretary commits to redress scheme for leaseholders

Wednesday 15 January 2020

Leaseholders will get a redress mechanism, and leasehold reform legislation is on the way, Housing Secretary Robert Jenrick has confirmed.

The Government did not specifically include redress for leaseholders in the December 2019 Queen’s Speech but, speaking during an oral questions session in the House of Commons this week, the Housing Secretary committed to a redress scheme. He also announced that a draft bill on banning leasehold houses and reducing ground rents would soon be published. 

New Homes Ombudsman

A government-established redress reform working group was formed in January 2019 and has been working to establish a single point at which all complaints could be handled. 

There has been a change of government since the group was convened, however The Queen’s Speech did propose a New Homes Ombudsman, something that Propertymark has championed in our work on leasehold issues. 


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We have committed to filling a gap in redress provision for leaseholders by making a redress scheme mandatory for freeholders who do not use managing agents.

We will be bringing forward legislation on this in due course.- MHCLG statement


Clarity still needed

It is unclear from the Housing Secretary’s answers in Parliament whether a redress scheme would help existing leaseholders, or apply only after a New Homes Ombudsman is instated. 

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We know that the government has been extraordinarily keen to look at all aspects of leasehold property, whether enfranchisement, alleged mis-selling of property or rapidly escalating ground rents.

They are also keen that the consumer shouldn’t be penalised and should be fully informed as to all obligations before purchasing the property.

We’re not aware that a separate redress scheme for leasehold housing will be set up, but we are aware that the possibility of a New Homes Ombudsman is very real.

Mark Hayward

Mark Hayward
NAEA Propertymark Chief Executive





Propertymark continues to lobby and campaign on leasehold, working in the best interests of those affected by leasehold issues. Find out more about this work, as well as training courses, and guides helping agents and consumers to understand leasehold issues.