PARLIAMENTARY WRITTEN QUESTION
Ground Rent (26 January 2018)

To ask the Secretary of State for Housing, Communities and Local Government, what steps his Department is taking to tackle leaseholds with doubling ground-rents; and what support his Department provides to tenants subject to those rents.

Asked by:
Marsha De Cordova (Labour)

The Government recognises the challenges faced by existing leaseholders with onerous ground rents. We are currently considering how we can support existing leaseholders. A number of developers have introduced schemes to compensate individuals but we want to see this support extended to all those with onerous ground rents, including second hand buyers, and for customers to be proactively contacted. We will be checking on progress of these schemes and will consider measures that could be pursued to take action if necessary.

We will also be introducing legislation so that, in the future, ground rents on newly established leases of houses and flats are set at a peppercorn (zero financial value).

Leaseholders can seek free initial advice about ground rents and other leasehold issues via the Leasehold Advisory Service's (LEASE) website. Lease is a specialist advisory body funded by the Ministry of Housing, Communities and Local Government to provide assistance to leaseholders. Alternatively, a telephone appointment can be booked to speak to one of LEASE's legal advisors or advice can be sought by email.

Answered by:
Mrs Heather Wheeler (Conservative)
5 February 2018