Why this matters now
The Leasehold and Freehold Reform Act 2024 is reshaping how leaseholders challenge service charges, approach lease extensions/enfranchisement, and handle legal cost recovery. Key provisions are phasing in across 2024–2025, so timing and evidence are crucial.
Key changes at a glance
| Service charges | Clearer, more standardised breakdowns to help leaseholders scrutinise and challenge costs. |
| Valuation reforms | Statutory lease extension/freehold purchase moving to a new basis; removal of marriage value on commencement of the relevant provisions. |
| Landlord legal costs | Tighter limits on passing litigation costs to leaseholders in certain disputes/challenges. |
Note: Not all sections start at the same time. Always check commencement and any transitional rules before serving notices or issuing proceedings.
Practical steps for 2025
- Audit your lease: ground rent, service charge clauses, reserve funds and consent/alteration provisions.
- Keep evidence: store all invoices, demands and Section 20 notices for potential challenges.
- Time your move: the valuation basis (incl. marriage value removal when commenced) can affect cost—seek advice first.
- Consider alternatives: Right to Manage or collective enfranchisement may be more attractive as secondary legislation lands.
Common pitfalls
- Relying on incomplete service charge records.
- Serving notices before commencement/transitional rules are clear.
- Miscalculating premium assumptions for extensions.
How we help
- Lease and title review with a practical action plan.
- Cost challenge strategy and evidence checklists.
- Valuation/timing guidance for extensions and enfranchisement.
FAQs
- Is everything already in force? No – check commencement and transitional provisions for your building.
- Will my extension be cheaper? It depends on term, ground rent and which provisions apply when you act.
- Can I challenge historic charges? Potentially – deadlines and quality of documentation still matter.
Contact Prime Legal Solicitors Today
For a 15-minute triage on your lease, call 0330 3414757 or send an enquiry via our contact form.
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