This information should not be relied upon as legal or professional advice. Read the disclaimer.
Long leaseholders are in a landlord and tenant relationship
The vast majority of flat owners in England and Wales are long leaseholders. A minority of those owning a house own it on a long lease.
Long leaseholders are owner occupiers who do not own the freehold of their homes. This means they are in a landlord/tenant relationship with the freeholder.
The respective rights and obligations of the leaseholder and freeholder are set out in the lease agreement. The lease is the starting point from which most disputes between the parties should be approached.
There are several statutory provisions which apply to leasehold housing (see online information below). For information on the government’s leasehold reform plans see: Leasehold reform in England and Wales: What’s happening and when?
Where to go for advice
The Leasehold Advisory Service (LEASE) provides limited free advice on leasehold matters. They also publish detailed guides and online advice (see below). Constituents in dispute with their freeholder or managing agent are best advised to seek professional legal advice.
Freeholders and managing agents are not currently subject to overarching regulation although agents do have to be members of a government-approved redress scheme. One way of raising an issue is to use the relevant redress scheme: When to contact the redress scheme – The Leasehold Advisory Service.
Leaseholders of social landlords (councils and housing associations) can use their landlord’s internal complaints procedure. If this does not result in resolution, they may, in certain circumstances, refer the matter to the Housing Ombudsman.
Where disputes cannot be resolved informally, in most cases long leaseholders can pursue the matter at a First-Tier Tribunal (Property Chamber) or Leasehold Valuation Tribunal in Wales.
Online information and answers to FAQs
There is government guidance for leasehold owners: How to lease (updated 2022). The National Trading Standards Estate Agency Team published Guidance for consumers seeking redress for leasehold matters (2019).
The following online guides from LEASE cover most of the common questions asked by long leaseholders:
- Understanding your lease
- Summaries of rights and obligations – Service Charges – England
- Living in Leasehold Flats – A guide to how it works
- Living in Leasehold Flats – A guide to how it works (Cymraeg – Welsh language)
- Summaries of rights and obligations – Administration Charges – England (eg, covers charges for giving permission for alterations to the home)
- Service charges and other issues
- Security of tenure when the lease runs out
- Right to Manage – leaseholders in privately owned blocks of flats may exercise a ‘no fault’ right to manage and take over management of the block
- Right of First Refusal – leaseholders in flats may have a right of first refusal where a freeholder intends to sell his or her interest
- Section 20 Consultation for council and other public sector landlords – when a public sector freeholder intends to carry out major works or enter into a long-term contract for works they are required to complete a consultation procedure
- Section 20 Consultation for Private Landlords, Resident Management Companies and their agents – as above for non-public sector blocks
- Appointment of a Surveyor, Management Audits – leaseholders’ rights to appoint a surveyor and carry out a management audit at their own expense
- Lease Extension – Valuation – long leaseholders in flats have a right to buy a lease extension
- Lease Extension – Getting Started – for flat owners
- Houses – Qualification and Valuation – long leaseholders of houses have a right to buy the freehold interest
- Collective Enfranchisement – Valuation – long leaseholders in flats have a collective right to buy the freehold interest of the block
- Collective Enfranchisement – Getting Started – for long leaseholders in flats
- Application to the First-tier Tribunal (Property Chamber) – to resolve disputes in England
- Application to the Leasehold Valuation Tribunal – to resolve disputes in Wales
- Alternative Dispute Resolution
Disclaimer
The Commons Library does not intend the information in this article to address the specific circumstances of any particular individual. We have published it to support the work of MPs. You should not rely upon it as legal or professional advice, or as a substitute for it. We do not accept any liability whatsoever for any errors, omissions or misstatements contained herein. You should consult a suitably qualified professional if you require specific advice or information. Read our briefing for information about sources of legal advice and help.