The Commonhold and Leasehold Reform Bill could have its First Reading in Parliament before the end of September. Housing and Planning Minister Matthew Pennycook indicated in a letter dated 10 July that a substantive bill might be introduced soon after Parliament returns from its summer recess.
Both the House of Commons and the House of Lords are set to return on 1 September. The Commons will then rise for the conference recess after 15 September, and the Lords after 17 September, leaving a window of just over two weeks for the bill's introduction.
Andy Burnham, who became Prime Minister on 20 July, and Angela Rayner, who returned to the Ministry of Housing, Communities and Local Government, are both known to be committed to leasehold reform. The bill was previously promised in the King’s Speeches in 2024 and 2026.
The First Reading is a formal step where the final bill is published without debate. This stage is considered important for the property market to understand the government's progress on leasehold reform.
Uncertainty surrounding leasehold reform has had consequences for the property market. In June, Zoopla reported that the average UK house cost 1.7 times as much as the average flat, the widest gap recorded in 30 years. House prices had risen by 43% since 2016 compared with 10% for flats, with leasehold uncertainty cited as a factor affecting flat pricing.