We call on the government to urgently address the spiralling service charges and systemic issues plaguing the leasehold system in England and Wales. The recent escalation of service charges, as reported in various cases, has left many homeowners financially strained, unable to sell their properties, and, in some tragic cases, has contributed to severe mental health consequences.

 

Key Issues

 1) Unjustified Service Charge Increases:

 • Service charges have risen by as much as 500% in some cases, with little or no transparency or accountability from freeholders and managing agents.

 • Many leaseholders are being overcharged for services that are either poorly delivered or not delivered at all.

 2) Lack of Oversight and Regulation:

 • There is no mandatory regulation of managing agents, allowing exploitation to flourish unchecked.

 • Freeholders and investors prioritize profits over the well-being of leaseholders.

 3) Systemic Problems in Leasehold Ownership:

 • The leasehold system is outdated and inherently exploitative, leaving homeowners at the mercy of freeholders.

 • Leaseholders lack meaningful power to challenge unreasonable costs or to manage their own properties effectively.

Our Demands

We urge the government to:

 1) Cap Service Charge Increases: Introduce legal caps or limits on annual service charge increases to protect homeowners from financial exploitation.

 2) Mandate Transparency: Enforce strict transparency requirements for service charge breakdowns and ensure leaseholders can challenge unreasonable charges.

 3) Regulate Managing Agents: Establish a regulatory body to oversee managing agents and hold them accountable for poor service or exploitation.

 4) Accelerate Leasehold Reform: Fast-track the abolition of leasehold and implement commonhold as the default tenure, ensuring homeowners have control over their properties.

 5) Introduce Retrospective Protections: Offer immediate relief to leaseholders already trapped by exorbitant service charges, including mechanisms to reclaim overpayments.

Why This Matters

Homeownership should be a source of stability and security, not a financial and emotional burden. The leasehold system, coupled with unchecked service charges, is a national crisis affecting thousands of families. Immediate action is required to protect current and future homeowners from exploitation and restore fairness to the housing market.

 

By signing this petition, we stand together to demand justice and systemic change for all leaseholders.