Bloomberg quotes James Souter on the proposed leasehold reforms announced in the King’s Speech
In the King's Speech today, King Charles III outlined the agenda of Rishi Sunak’s government. One reform, drawn up by Leveling Up Secretary Michael Gove, will ensure all new houses in England and Wales are sold as freehold properties as part of sweeping reforms to phase out the leasehold system.
While the bill includes a ban on developers selling new houses under leasehold, it does not extend that rule to flats, which make up 70% of all leasehold homes.
James Souter, Partner, provides comment for Bloomberg:
In terms of flats, a transition to commonhold is unlikely to solve the Rubik’s Cube. These proposals are based on an underlying presumption that a radical overhaul of the system is required, which is an oversimplification of a very complex issue.
Read the full piece in Bloomberg here.
