Justin Madders MP launches new Bill to deliver justice for leaseholders 7th November 2017

CONTACT YOUR MP NOW TO SUPPORT THIS BILL ON 7TH NOVEMBER. A straightforward, cost effective and fair system should be established for the owners of leasehold houses to purchase the freehold of their home, an MP will propose in a new Bill. The system would also apply to the owners of flats where a majority of leaseholders within a block wish to purchase the freehold. The new system would be based on a simple calculation, with a cap on the total paid for a freehold and would replace the lengthy, complicated and expensive system of enfranchisement currently in operation. Similar systems exist in Scotland, Northern Ireland and a number of other countries. The new Bill, being introduced by Ellesmere Port & Neston MP, Justin Madders also seeks to establish a new compensation scheme for those who have been misled into leasehold agreements and to change the rules around the award of costs in Property Tribunal cases, which Madders claims are “unfairly weighted in favour of the freeholder.” The Leasehold Reform Bill is to be introduced through the ‘Ten Minute Rule’ procedure, which allows an MP to make their case for a new law. The process will start with a ten minute speech by Justin Madders in the House of Commons on 7th November 2017. The Government consultation, “tackling unfair practices in the leasehold market” closed on 19th September and proposed a number of measures including banning the sale of leasehold houses in future and limiting the ground-rent levied on other leasehold properties. While Mr Madders, who is also the Deputy Chair of the APPG on Leasehold Reform, welcomed the Government’s proposals, he expressed concern that they did nothing to address the issues being experiences by existing leaseholders. The new Bill also seeks to establish a new compensation scheme for those who have been misled into leasehold agreements and to change the rules around the award of legal costs in Property Tribunal cases, which Madders claims are “unfairly weighted in favour of the freeholder.” http://www.justinmadders.com/justin_launches_new_bill_to_deliver_justice_for_leaseholders https://www.leaseholdknowledge.com/justin-madders-launches-bill-end-enfranchisement-lease-extension-racket