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New law will protect leaseholders from unfair bills

Sarah Green August 15, 2014

The Government has introduced a new law that will cap the amount councils can charge leaseholders for future repairs to their homes.

Simon Kirby, MP for Brighton Kemptown & Peacehaven
Simon Kirby, MP for Brighton Kemptown and Peacehaven

The change was prompted by examples of councils issuing excessive and unfair repair bills to people who lease their homes. Councils and housing associations will now have to limit the amount they charge leaseholders for future major repair, maintenance or improvement work to £10,000 over a five year period. In addition, councils will now have to make clear what help is available for leaseholders who have to pay repair bills and offer affordable ways to pay these bills.

The changes are part of the Government’s wider plan to give greater protection to people who lease, requiring managing agents to join a redress scheme so people can get their complaints addressed and to:

• Provide more information to people about what being a leaseholder involves

• Make it easier to find out the decisions made by Tribunals in housing disputes

• Ensure landlords give leaseholders realistic estimates of the cost of buying the freehold of their property.

Welcoming the news, Mr Kirby, MP for Kemptown and Peacehaven, said: “For too long councils were able to charge their residents who lease their homes excessive and unfair fees for repair work which, in some cases, wasn’t even needed. This has caused distress, worry and hardship which no one should ever have to endure, especially the elderly and vulnerable. I have been contacted in the past by many constituents who have been concerned about this exact issue, and it is vital that something be done.

“This new law will ensure that this does not happen in the future and will mean people in Brighton Kemptown and Peacehaven who lease their homes from either Brighton and Hove City Council or Lewes District Council will be able to plan for the future knowing that they are protected from massive, unfair bills for repairs to their homes.”

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