This morning the Government has announced that there will be no new leasehold houses (save in specific circumstances) and that ground rents on new long leases will be zero.
This announcement comes following a consultation and much negative publicity surrounding leasehold houses and ground rents.
There are also proposals to make it easier and cheaper for people to buy-out their freeholds, and to offer rights of first refusal to leasehold houses. The government will also be looking at how it can help tenants with existing leases that have onerous ground rent clauses, although no specific plans have been set out.
At this stage, there is no further detail about how these changes will be brought in, or the timetable for doing so although this is anticipated during 2018.
The government’s response to the consultation can be found here.