Government delays response on Leasehold Reform Bill Report

The Housing, Communities and Local Government Committee has published correspondence from Matthew Pennycook, Minister of State for Housing and Planning, which states that the Ministry of Housing, Communities and Local Government will be unable to issue a response to the Committee’s report before the two-month deadline of 27 July 2026.

SCRUTINY OF THE DRAFT COMMONHOLD AND LEASEHOLD REFORM BILL

I write further to my letter of 8 June to inform you that as a result of the announcement made by the Prime Minister on 22 June that he was resigning as Prime Minister and leader of the Labour Party, and the associated constraints on government business in the period ahead of the summer recess, including the prohibition on initiating new policy commitments, my Department will regrettably be unable to issue a response to the Committee’s report before its deadline of 27 July.

Please rest assured that the government remains acutely aware of the need to act urgently to provide relief to leaseholders and homeowners on freehold estates currently suffering as a result of unfair and unreasonable practices and remains committed to honouring its manifesto commitments in full. While the precise date that a substantive response will be issued will be a decision for the new administration, it is my sincere hope that it will be provided soon after the House returns from the summer recess with a substantive Bill introduced to Parliament soon after.

I reiterate my sincere thanks to you, the other members of the Committee and your clerks for the Committee’s pre-legislative scrutiny of the draft Commonhold and Leasehold Reform Bill. I also thank you once again for securing the recent Backbench Business debate on the report, which provided hon. Members from across the House with a valuable opportunity to debate the Committee's recommendations and the future direction of leasehold and commonhold reform.

Very best wishes,

MATTHEW PENNYCOOK MP - Minister of State for Housing and Planning

Chair comment

On publication of the letter, Florence Eshalomi MP, Chair of the Housing, Communities and Local Government (HCLG) Committee said:-

“Millions of leaseholders have been waiting for too long for successive governments to tackle the unfair leasehold system, cap ground rents, and put homeowners in control of the management of their buildings. “It is disappointing that the government has told us it will not be able to respond to our pre-legislative report by the 27 July deadline. I urge the incoming Prime Minister to make an early commitment to bringing forward the revised legislation needed to deliver justice for leaseholders as soon as possible after the summer recess. “Three successive governments have secured electoral mandates to address ground rents in existing leases. MPs from all sides spoke in a House of Commons debate recently to stress the importance of urgent action on leasehold reform. The government should commit to introducing the final bill in autumn 2026 so this will be the Parliament which finally tackles the longstanding inequities of leasehold.”