News
The Property Institute: Government Publishes Commonhold White Paper
The Government has today, Monday 3 March, published its Commonhold White Paper, outlining plans to transform property ownership in England and Wales. The proposals aim to make commonhold the default tenure for homes, marking a significant step towards phasing out the leasehold system.
Under these reforms, the creation of new leasehold flats will be banned, offering homeowners greater control over their properties and eliminating ground rent payments.
Key changes set out in the Commonhold White Paper include:
- Democratic control for homeowners: Homeowners will have more control over how their building is managed, including voting on budgets, local rules, and management decisions.
- Ban on new leasehold flats: The Government has committed to banning new leasehold flats, reinforcing the shift towards commonhold as the preferred model of property ownership.
- Reinvigorating commonhold: The White Paper outlines plans to reinvigorate commonhold, making it the default tenure for new homes, providing homeowners full ownership and control over their properties without third-party landlords.
- New legal framework: A new legal framework will be introduced to make commonhold applicable across various types of developments, including mixed-use buildings and shared ownership homes.
- Enhanced financial safeguards: The proposals include stronger financial protections, such as mandatory public liability insurance, reserve funds, and increased oversight by commonhold unit owners to ensure long-term stability.
- Improved management standards: The White Paper introduces new rules for appointing directors, maintaining properties, and ensuring transparency in service charge apportionment, which will promote better management practices and empower homeowners.
A new Code of Practice will establish guidelines for how costs should be apportioned in commonhold, aimed at providing transparency and clarity for consumers. The Government is also committed to strengthening the regulation of managing agents to ensure fairer and more accountable property management practices.
Additionally, the Government will launch a consultation later this year to explore the best approach to banning new leasehold flats and advancing commonhold reform.
An ambitious draft Leasehold and Commonhold Reform Bill will be published later this year, setting out the legal framework for how reformed commonhold will operate.
You can read the full Commonhold White Paper HERE
TPI reacts:
Andrew Bulmer, CEO of The Property Institute (TPI), commenting on the publication of the Government’s Commonhold White Paper, said:
“The Commonhold White Paper marks a major reform, making commonhold the default for new flats. While it ends leasehold for new builds, existing leaseholders must opt in to convert—some may not. With both tenures coexisting, we must ensure commonhold functions effectively while improving leasehold to avoid a two-tier system, a key concern raised by TPI and leaseholders themselves.
We welcome the Minister’s commitment to robust building maintenance measures in commonhold. Our Scottish members, who transitioned away from leasehold without such protections, know the challenges firsthand.
Commonhold is no silver bullet. It won’t significantly reduce service charges—a common misconception. By law, managing agents cannot profit from service charges, which fund essential maintenance. Rising insurance, energy, and staffing costs are the driving forces behind recent increases. TPI’s Service Charge Index shows little difference between landlord and leaseholder-controlled costs, with the latter actually fractionally higher.
A successful transition to commonhold requires upskilling for conveyancers, lenders, and valuers, while building managers must adapt to new legal frameworks. Importantly, building managers must be qualified and regulated to protect homeowners from unqualified operators. Commonholders must have confidence in competent, accountable professionals.
We look forward to working with Government to ensure a fair and effective system for all.”
The Property Institute: Government Responds in Full to Grenfell Tower Inquiry
The Government has today, 26th February, published its full response to the Grenfell Tower Inquiry’s final report, accepting 49 of the 58 recommendations in full.
The remaining nine are accepted “in principle,” with some requiring “further consideration” through consultations. The response details significant reforms designed to enhance building safety, strengthening accountability, and protecting residents.
Key measures outlined:
- New single Construction Regulator: Will oversee compliance and hold those responsible for building safety to account.
- Tighter oversight of construction products: Stronger regulation and enforcement to prevent the use of unsafe materials.
- Mandatory competence certification for fire risk assessors: Ensuring only qualified professionals can make critical fire safety decisions.
- Stronger rights for residents: Landlords will be legally required to act on safety concerns, with new mechanisms empowering social housing tenants.
- Debarment investigations: Seven organisations named in the report face potential exclusion from government contracts under new procurement laws.
The timeline for broader reforms is outlined in phases, with some measures expected to be implemented no earlier than 2028.
The Deputy Prime Minister Angela Rayner said: “We are acting on all of the Inquiry’s findings, and today set out our full response, detailing the tough action we are taking to drive change and reform the system to ensure no community will ever have to face a tragedy like Grenfell ever again.
In addition to the outlined action plan, the Government has issued an apology on behalf of the British state for its role in these failings.
The Property Institute will continue to monitor developments, ensuring members are fully informed and prepared for the evolving regulatory environment.
Read the Government’s full response HERE
TPI responds:
Andrew Bulmer, CEO of The Property Institute (TPI), commenting on Angela Rayner’s response to the Grenfell Tower Inquiry Phase 2 Report recommendations, said:
“The Grenfell Tower fire was a preventable tragedy – one that exposed systemic failures and regulatory loopholes with devastating consequences.
We fully support the government’s decision to take forward all the recommendations made by the Phase 2 report and welcome its commitment to publish quarterly progress reports as it implements those recommendations.
Today’s response makes it clear that building safety reforms must go further and faster. While the introduction of one single Construction Regulator is a step in the right direction, the slow pace of remediation and the narrow focus on cladding have left many buildings only partially fixed. Thousands still live in unsafe buildings, burdened by unaffordable insurance premiums, the costs of other safety issues, and uncertainty about their futures.
We urge the government to implement actions swiftly – accelerating and widening the scope of remediation efforts and putting resident safety ahead of bureaucratic and financial disputes.”
Prominent Property Law Firm JB Leitch is Excited to Announce the Appointment of Matt Jarvis as the New Managing Director
Prominent property law firm JB Leitch is excited to announce the appointment of Matt Jarvis as the new Managing Director, who joins this week.
The appointment marks the next step in an exciting journey of growth and innovation for the Liverpool based company, with the appointment adding further senior and strategic expertise to the management team within the 150 strong legal practice.
Matt, a qualified solicitor with over 23 years’ experience in the legal sector, will lead the delivery of ambitious plans for operational development and market growth, bringing a wealth of experience from his former roles as Managing Director for both Slater and Gordon – one of the largest consumer law firms in the UK – and Nuvalaw, a technology-based claims resolution business.
Business owner and Principal Solicitor Jonathan Leitch comments further: “We are delighted to have Matt joining the team. This appointment is an investment in the future. It reflects our ongoing commitment to both our clients and colleagues in further maximising our potential, delivering the best services and proving an innovative culture where talent is recognised, nurtured and rewarded. Matt will be pivotal in further enabling this evolution through his considerable experience, evident capabilities and clear vision.”
This news follows further positive developments. In recent weeks JB Leitch has also welcomed two new senior solicitors to the team; Associate David Lowry has joined JB Leitch Real Estate team and Judith Knowles as a Senior Associate within the Technical & Complex Litigation department, adding further breadth of experience, expertise and capacity to the firm’s already impressive pool of legal talent.
Pennycook Sets Out 2025 Priorities for LEASE
The Government has today, 26th February, published its full response to the Grenfell Tower Inquiry’s final report, accepting 49 of the 58 recommendations in full.
The remaining nine are accepted “in principle,” with some requiring “further consideration” through consultations. The response details significant reforms designed to enhance building safety, strengthening accountability, and protecting residents.
Housing Minister Matthew Penncook has written the Chair ofthe Leasehold Advisory Service (LEASE), MartinBoyd, setting outthe government’s priorities forthe organisation for the year ahead. “As you know, I value the work LEASE does and I appreciate the energy you and the new Board have brought to its operation,” Penncook wrote. “As I made clear to you during our constructive introductory meeting in September, the government believes LEASE has a vital role to play as an independent source oftrusted advice to residential leaseholders and park home residents. “That role will only grow in importance as we work to increase the pace of building safety remediation and advance our ambitious leasehold and commonhold reform agenda. The government is determined to honour the commitments made in our manifesto and do whatis necessary to finally bring the feudal leasehold system to an end.”
In summary, Pennycook said the priorities for LEASE in 2025 are as follows:
- Improving and modernising the core advice service
- Improving data collection and analysis
- Leading the effective coordination ofthe redress landscape
- Delivery of the Business Plan and Key Performance Indicators
“I am grateful for the continued efforts of you and your Board to deliver improvements and high-quality outcomes,” Pennycook concluded. “I look forward to seeing LEASE continue to develop over the coming year and meeting you to discuss progress towards the above priorities on a regular basis.
“The importance of maintaining an open, honest and trust-based partnership supported by the principles set out in relevant government guidance cannot be overstated. I look forward to seeing the delivery plans for this remit in your new three-year strategic plan and business plan ahead of the next financial year.”