HLPA Annual Conference Housing Law in Action 5 December 2002 James Driscoll

The Transformation of Housing Law Huge number of recent developments including: Land Registration Act 2002 Homelessness Act 2002 Commonhold and Leasehold Reform Act 2002 Police Reform Act 2002 (!) Impact of the Human Rights Act 1998

Other current developments Law Commission project (and NB DTLR/ODPM consultation on anti-social behaviour) Two consultation papers Implementation will transform the law on rented accommodation Draft Housing Bill 2003? Licensing of private landlords Anti-social behaviour measures Fitness standard?

Leasehold Reform Affects more than 2 million leaseholders of flats and houses Some in the social rented sector Another role for housing lawyers?

Leasehold Reform: the new law Commonhold and Leasehold Reform Act 2002 Govt. considers the leasehold system to be an unsatisfactory system for owner-occupation, hence: Commonhold (long-term solution) Leasehold Reform (shoring up the system)

Leasehold Reform: the new Right to Manage For qualifying leaseholders of flats All landlords are covered (except for local authorities) Same qualifications as for enfranchisement No fault based right Leaseholders take over almost all management functions

Enfranchisement and lease extension Changes to qualifying rules Residence and low rent tests repealed More buildings eligible Valuation simplified Easier for leaseholders to exercise rights Most changes came into force on 26 July 2002

Service charges Improvement and administration charges can also be challenged in the LVT New consultation requirements for landlords New leaseholder rights Consultation Notice of rights Right to withhold payment Further forfeiture reforms are likely

Other reforms to leasehold management New insurance rights for leaseholders Ground rent reforms Variation of leases Forfeiture reforms Landlord will have to prove breach in the LVT Only then could landlord seek to forfeit

New options for leaseholders RTM may prove popular Commencement of this and the service charge (etc) changes likely in June 2003 RTM could later convert to RTE Could then convert to Commonhold!