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Long-awaited legislation to abolish England’s “feudal” leasehold property system will be published in the second half of next year, the government has confirmed in a major update for the millions of people affected.

In a Written Ministerial Statement (WMS), housing minister Matthew Pennycook gave the first details of how quickly Labour intend to axe the controversial form of homeownership, as promised in their manifesto.

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The minister said there will be a consultation and white paper early next year to get the plan in motion, with the aim to make commonhold “the default tenure” by the end of parliament in 2029.

The news has drawn a mixed reaction from those caught up in the system, with some hailing an end in sight and others saying it is too little too late.

What is leasehold?

Leasehold is a centuries-old form of tenure that is unique to England and Wales. People who buy their home with a lease buy the right to live there for a given number of years but don’t own the land itself, regardless of whether it is a house, or a flat in a building.

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That is the preserve of the freeholder, who can charge expensive ground rents simply for owning the land, as well as service charges for the maintenance and insurance of the properties.

There have long been concerns around leaseholders being exploited, especially by unregulated managing agents who are typically contracted to oversee the day-to-day running of buildings and can charge large fees on any works they arrange.

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Michael Gove in 2023: Leasehold ‘unfair form of property ownership’.

Criticism intensified after the building safety scandal that emerged post-Grenfell with many homeowners facing crippling bills for remediation, leaving them stuck in worthless properties they cannot sell.

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‘I see no way out’

That’s the case for leaseholder Peter Batt, who has not been able to live in his “once lovely” flat in Kent for the past nine months because the roof of the building has “completely failed and is disintegrating”.

This has caused damp, black mould and leaks so severe his neighbour’s ceiling below him has collapsed

The problems were raised to the building’s managing agents in February but no remediation has occurred.

Hole in the roof at Priory Courtyard
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Hole in the roof at Mr Batt’s building

Hole in the ceiling due to leaks
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Hole in the ceiling due to leaks

Black mould on Mr Batt's bathroom wall
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Black mould on Mr Batt’s bathroom wall

Last week he was told he’d need to cough up £18,000 for his share of the works before any repairs can go ahead – money the 60-year-old doesn’t have.

“I genuinely see no way out unless I win the lottery, it’s been an utter nightmare”, he told Sky News.

Mr Batt and his neighbours want a temporary tin hat cover to be prioritised, given this was recommended by surveyors back in April to stop the situation deteriorating – which they say it now has.

Broken ceiling in Priory Courtyard
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Broken ceiling in Mr Batt’s neighbour’s flat

Ceiling hole
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Ceiling hole


Peter Batt, 60
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Peter Batt, 60

But they have “no say over this despite shouldering all the costs”, Mr Batt added.

“The government need to look at root-and-branch reform because, in my experience, all the parties currently charged with maintaining building such as my own are incentivised almost solely around maintaining their revenue stream.

“Under the current system, no one is on the leaseholders’ side and that has to change.”

‘Death knell of leasehold’

In his WMS, Mr Pennycook said the government will introduce a “comprehensive new legal framework” on commonhold, including banning the sale of leasehold flats and converting existing leasehold tenures to the new model.

Proponents of commonhold say it would drive up safety standards, as it would give flat owners more control of the maintenance of a building while removing the cash incentive for developers to build homes on the cheap – knowing leaseholders can pick up the costs.

Housing minister Matthew Pennycook
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Housing minister Matthew Pennycook

Sebastian O’Kelly, of the Leasehold Knowledge Partnership, welcomed today’s announcement as the “death knell of leasehold”.

He advised people not to buy leasehold properties as “the market will force pace on this”, pointing out that some developers have recently come out in support of commonhold while others “whose reputations have been shredded by the Grenfell findings will follow”.

He told Sky News: “With this momentum the reforms to improve the blighted lives of existing leaseholders will be eased. Government may think this process will be slow, but house builders will know that the leasehold game they have played so assiduously is busted.”

Delay in implementing Tories’ ‘half-baked’ reforms

But there was a more muted response from the National Leasehold Campaign, which has spent six years trying to dismantle the system.

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‘Exorbitant’ ground rents for ‘no service’

As well as announcing a roadmap for abolishing leasehold, Mr Pennycook set out a timeline for implementing reforms in the Tories’ Leasehold and Freehold Reform Act (LFRA), which just about made wash-up when Rishi Sunak called the July election, after being watered down by then housing secretary Michael Gove.

The LFRA promised to abolish leaseholds on new houses but not new flats, which make up 70% of the estimated 5 million leasehold properties in England.

It also aimed to give leaseholders more rights and protections, but Mr Pennycook said the act was “half baked” so there would be delays in implementing some of its measures.

Crucially, that includes rules around new valuations, which will be consulted on next summer, he said.

‘Endless cash cow continues’

The NLC called this “very disappointing” as the mechanism was designed to make it quicker and cheaper for people to buy their freehold or extend their lease “enabling them to sell their properties and move on with their lives”.

The National Leasehold Campaign wants to see the system abolished
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The National Leasehold Campaign wants to see the system abolished

“Our main concern now is the fate of existing leaseholders who are currently suffering at the mercy of unregulated managing agents and unscrupulous freeholders,” it added.

“The government’s published intention to ‘act as quickly as possible’ will not be quick enough and we are already seeing the despair from some NLC members who are facing bankruptcy due to escalating service charges.

“Since 2018, leaseholders have heard time and time again from former government ministers that they will end the abuses but in reality nothing has changed for existing leaseholders. Using our homes as an endless cash cow continues and millions remain trapped.”

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Crypto trader ups MEXC ‘bounty’ to $2.5M after in-person KYC request

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Crypto trader ups MEXC ‘bounty’ to .5M after in-person KYC request

Crypto trader ups MEXC ‘bounty’ to .5M after in-person KYC request

The “White Whale” increased his social media pressure campaign to $2.5 million after claiming that MEXC requested an in-person KYC verification in Malaysia.

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US appeals time served sentences for HashFlare Ponzi schemers

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US appeals time served sentences for HashFlare Ponzi schemers

US appeals time served sentences for HashFlare Ponzi schemers

Prosecutors appealed the sentences given to HashFlare founders Sergei Potapenko and Ivan Turõgin, after arguing the pair should get 10 years in prison.

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Nigel Farage has a new ‘leave’ campaign – here’s how it could work and how it might impact you

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Nigel Farage has a new 'leave' campaign - here's how it could work and how it might impact you

Nigel Farage has said he would take the UK out of the European Convention on Human Rights (ECHR) if Reform win the next election.

The party’s leader also reaffirmed his pledge to repeal the Human Rights Act and disapply three other international treaties acting as “roadblocks” to deporting anyone entering the UK illegally.

In a speech about tackling illegal migration, he said a Reform government would detain and deport any migrants arriving illegally, including women and children, and they would “never, ever be allowed to stay”.

Sky News looks at what the ECHR is, how the UK could leave, and what could happen to human rights protections if it does.

What is the ECHR?

On 4 November 1950, the 12 member states of the newly formed Council of Europe (different to the EU) signed the Convention for the Protection of Human Rights and Fundamental Freedoms – otherwise known as the ECHR.

It came into force on 3 September 1953 and has since been signed by an additional 34 Council of Europe members who have joined, bringing the total to 46 signatories.

The treaty was drafted in the aftermath of the Second World War and the Holocaust to protect people from the most serious human rights violations. It was also in response to the growth of Stalinism in central and Eastern Europe to protect members from communist subversion.

The treaty was the first time fundamental human rights were guaranteed in law.

Sir Winston Churchill helped establish the Council of Europe and was a driving force behind the ECHR, which came from the Charter of Human Rights that he championed and was drafted by British lawyers.

Sir Winston Churchill was a driving force behind the ECHR
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Sir Winston Churchill was a driving force behind the ECHR

To be a signatory of the ECHR, a state has to be a member of the Council of Europe – and they must “respect pluralist democracy, the rule of law and human rights”.

There are 18 sections, including the most well-known: Article 1 (the right to life), Article 3 (prohibition of torture), Article 6 (right to a fair trial), Article 8 (right to private and family life) and Article 10 (right to freedom of expression).

The ECHR has been used to halt the deportation of migrants in 13 out of 29 UK cases since 1980.

ECHR protections are enforced in the UK through the Human Rights Act 1998, which incorporates most ECHR rights into domestic law. This means individuals can bring cases to UK courts to argue their ECHR rights have been violated, instead of having to take their case to the European Court of Human Rights.

Article 8 is the main section that has been used to stop illegal migrant deportations, but Article 3 has also been successfully used.

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The ECHR is interpreted by judges at this court in Strasbourg, France. File pic: AP
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The ECHR is interpreted by judges at this court in Strasbourg, France. File pic: AP

How is it actually used?

The ECHR is interpreted by the European Court of Human Rights (ECtHR) – you’ll have to bear with us on the confusingly similar acronyms.

The convention is interpreted under the “living instrument doctrine”, meaning it must be considered in the light of present-day conditions.

The number of full-time judges corresponds to the number of ECHR signatories, so there are currently 46 – each nominated by their state for a non-renewable nine-year term. But they are prohibited from having any institutional ties with the state they come from.

An individual, group of individuals, or one or more of the signatory states can lodge an application alleging one of the signatory states has breached their human rights. Anyone who have exhausted their human rights case in UK courts can apply to the ECtHR to have their case heard in Strasbourg.

All ECtHR hearings must be heard in public, unless there are exceptional circumstances to be heard in private, which happens most of the time following written pleadings.

The court may award damages, typically no more than £1,000 plus legal costs, but it lacks enforcement powers, so some states have ignored verdicts and continued practices judged to be human rights violations.

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Inside the European Court of Human Rights. File pic: AP
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Inside the European Court of Human Rights. File pic: AP

How could the UK leave?

A country can leave the convention by formally denouncing it, but it would likely have to also leave the Council of Europe as the two are dependent on each other.

At the international level, a state must formally notify the Council of Europe of its intention to withdraw with six months’ notice, when the UK would still have to implement any ECtHR rulings and abide by ECHR laws.

The UK government would have to seek parliament’s approval before notifying the ECtHR, and would have to repeal the Human Rights Act 1998 – which would also require parliamentary approval.

Would the UK leaving breach any other agreements?

Leaving the ECHR would breach the 1998 Good Friday Agreement, a deal between the British and Irish governments on how Northern Ireland should be governed, which could threaten the peace settlement.

It would also put the UK’s relationship with the EU under pressure as the Brexit deal commits both to the ECHR.

The EU has said if the UK leaves the ECHR it would terminate part of the agreement, halting the extradition of criminal suspects from the EU to face trial in the UK.

Keir Starmer has previously ruled out taking Britain out of the ECHR
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Keir Starmer has previously ruled out taking Britain out of the ECHR

How would the UK’s human rights protections change?

Certain rights under the ECHR are also recognised in British common law, but the ECHR has a more extensive protection of human rights.

For example, it was the ECHR that offered redress to victims of the Hillsborough disaster and the victims of “black cab rapist” John Worboys after state investigations failed.

Before cases were taken to the ECtHR and the Human Rights Act came into force, the common law did not prevent teachers from hitting children or protect gay people from being banned from serving in the armed forces.

Repealing the ECHR would also mean people in the UK would no longer be able to take their case to the ECtHR if the UK courts do not remedy a violation of their rights.

The UK’s human rights record would then not be subject to the same scrutiny as it is under the ECHR, where states review each other’s actions.

Two victims of John Worboys sued the Met Police for failing to effectively investigate his crimes using Article 3 of the ECHR. Pic: PA
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Two victims of John Worboys sued the Met Police for failing to effectively investigate his crimes using Article 3 of the ECHR. Pic: PA

How human rights in the UK would be impacted depends partly on what would replace the Human Rights Act.

Mr Farage has said he would introduce a British Bill of Rights, which would apply only to UK citizens and lawful British citizens.

He has said it would not mention “human rights” but would include “the freedom to do everything, unless there’s a law that says you can’t” – which is how common law works.

Legal commentator Joshua Rozenberg said this would simply confirm the rights to which people are already entitled, but would also remove rights enjoyed by people visiting the UK.

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