Ministers move to address “national scandal”

Much-maligned leasehold agreements which can leave homeowners facing thousands of pounds in hidden charges could be banned in future, the Government said last month.

Ministers recently confirmed they would order a full review of the controversial practice, which requires house buyers to pay an annual ground rent and service charges to the freeholder.

The situation was described as “a national scandal” only last month and the new measures would be designed to prevent people falling into the notorious “trap”.

A Whitehall spokesman outlined the reasons why the Government was planning to act.

“Some buyers are not aware buying a leasehold house can be more expensive than a freehold house in the long run,” he said.

“Some ground rents can increase significantly over the lease period … We will consult on a range of measures to tackle all unfair and unreasonable abuses of leasehold.”
The proposals were laid out in conjunction with a wider series of reforms announced by Communities Secretary Sajid Javid, who presented a Housing ‘White Paper’ to the Commons earlier this month.

If you have suffered as a result of hidden ground rent charges and weren’t given an appropriate warning by the person who handled your conveyancing, you may wish to pursue a professional negligence claim.  For advice on your options please contact Graham Balchin or visit.