From today (31 January 2025) leaseholders no longer need to have been a qualifying tenant for two years before exercising a right to enfranchise or extend their lease under the Leasehold Reform Act 1967 or the Leasehold Reform, Housing and Urban Development Act 1993.

The Leasehold and Freehold Reform Act 2024 was one of the last pieces of legislation passed under the previous Conservative Government. The Act sets out a number of changes, although many will be set out in detail in regulations to be passed and the majority of the Act is yet to be enforced.

In the Autumn of last year, Matthew Pennycook (the housing minister) set out a timetable for the various stages of reform. He made it clear that the Government is committed to leasehold reform but want to ensure this is done correctly and well thought through. The Government also want the reforms to go further, with the Leasehold and Commonhold Reform Bill to be published in the second half of the year.

Today's change of removing the qualifying period comes into force through the Leasehold and Freehold Reform 2024 (Commencement No 2 and Transitional Provision) Regulations 2025. The Regulations also make provision for transitional arrangements as the prescribed claim forms are not yet changed to reflect the change in requirements: instead, the relevant wording in the forms (referring to the qualifying period) is deemed omitted.

The intention is to make it easier for leaseholders to exercise their rights so it would be reasonable to assume an increase in applications moving forward. 

For more information on the leasehold reform, please contact me.