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Leaseholders Prioritise Service Charges Over Ground Rent, Survey Reveals

A new survey challenges the government's leasehold reform priorities, indicating that rising service charges are a greater concern for leaseholders than ground rents. The research suggests that while reform is welcomed, the focus should broaden to include building management and transparency.

  • 38.5% of leaseholders cited service charges as the most unexpectedly increased housing cost, compared to 21% for ground rent.
  • 65% of respondents considered their ground rent affordable, and only 14% said abolishing ground rents would be the most impactful reform.
  • Justice for Property Rights is urging the government to publish a full economic impact assessment before implementing a 40-year sunset period on existing ground rent income.
  • 16.4% of leaseholders said making it easier to buy the freehold would be the reform with the greatest impact.
  • 83% of leaseholders were either satisfied or neutral about their leasehold home ownership experience.

A recent independent survey has cast new light on the priorities of leaseholders across the UK, suggesting that government reforms might be misdirected in their primary focus. The research, featured in The Leaseholder Intelligence Report 2026, indicates that escalating service charges are a more pressing concern for homeowners than the ground rents currently at the forefront of legislative discussions.

Commissioned by Justice for Property Rights and conducted by Censuswide, the survey of 2,000 leaseholders found that a significant 38.5% identified service charges as the housing cost that had risen most unexpectedly. This figure stands in stark contrast to the 21% who pointed to ground rent increases. Furthermore, the findings revealed that 65% of respondents considered their current ground rent to be affordable, and a mere 14% believed that abolishing ground rents would be the single most impactful government reform for them.

These results challenge the prevailing narrative around leasehold reform, which has largely centred on phasing out ground rents. While 83% of leaseholders expressed satisfaction or neutrality regarding their overall experience of leasehold ownership, the report highlights a desire for broader reforms. For instance, 16.4% stated that making it easier to purchase the freehold of their property would have the greatest impact on their lives.

In response to these findings, Justice for Property Rights has urged ministers to conduct a comprehensive economic impact assessment before Parliament proceeds with proposals for a 40-year sunset period on existing ground rent income. The organisation argues that any reforms affecting established contractual property rights, particularly those with retrospective implications, should be thoroughly evaluated for their legal, economic, and investment consequences. This includes understanding the total value of affected ground rent assets, the profile of their owners (ranging from individual investors to pension funds), and the potential ramifications for lending and future investment confidence within the residential property market.

Richard Merrin, spokesperson for Justice for Property Rights, emphasised that while leaseholders clearly support reform, their concerns extend beyond ground rents to issues like transparency, accountability, and confidence in building management. He stated, "This is not an argument against reform. It is an argument for ensuring that reform reflects the evidence and addresses the issues leaseholders themselves identify as having the greatest impact on their everyday lives." The report has been submitted to parliamentarians to inform the ongoing debate.

Why this matters: This report could reshape the government's approach to leasehold reform, potentially shifting focus from ground rents to more immediate concerns like service charges and building management that affect thousands of UK homeowners.

What this means for you: What this means for you: If you are a leaseholder, any future reforms could impact your service charges, the ease of buying your freehold, or the future of ground rent payments. For potential buyers, these discussions could influence the long-term costs and ownership structure of leasehold properties.

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