Fleur Anderson MP has welcomed the Labour Government’s announcement that ground rents will be capped at £250 a year, calling it a “long overdue step that will make a real difference to leaseholders in Putney.”
The Prime Minister Keir Starmer and the Secretary of State for Housing, Communities and Local Government, Steve Reed, confirmed the cap as part of a wider package of measures.
Fleur Anderson said the change will bring relief to families who have faced unfair and escalating charges for years.
“I have met many local residents who have been ripped off for far too long. This cap will save some families hundreds of pounds a year and finally puts an end to one of the worst injustices in the leasehold system.”
“In London, the typical leaseholder in a flat pays £412 a year in ground rent, meaning the cap will save them £162 a year on average.”
The MP also welcomed the Government’s commitment to ban new leasehold flats, delivering on Labour’s manifesto pledge to bring to an end the outdated leasehold model.
Labour’s Fleur Anderson added:
“This important action to support leaseholders with the cost of living comes after years of inaction and neglect from the Conservatives. Meanwhile, the Green Party didn’t even mention Leasehold in their manifesto. This is change that only a Labour Government can bring about.”
Alongside the cap, the Government has published the draft Commonhold and Leasehold Reform Bill, which will strengthen the rights and protections of more than five million leaseholders. The Moving to Commonhold consultation has also opened, giving people the chance to shape the next phase of reform.
The announcement also builds on the recently passed Renters Rights Act and Labour’s landmark planning reforms, aimed at ensuring everyone has a safe and secure home.
Prime Minister Keir Starmer said:
“Good news for homeowners, we’re capping ground rent at £250. That means if you are a leaseholder, and your ground rent is more than £250, you’ll be paying less.
“And I’ve spoken to so many people who say this will make a difference to them of hundreds of pounds.
“That’s really important because the cost of living is the single most important thing across the country.
“So this is a promise that we said we’d deliver and I’m really pleased that we’re delivering on that promise.”
Angela Ireland, local councillor and West Hill leaseholder, said:
“As a leaseholder myself, I know how unfair and stressful the leasehold system has been for so many people in Putney. Capping ground rents will make a real difference to household budgets, but just as importantly it shows the Government is serious about ending a broken system. Moving to commonhold will finally give people real ownership and control over their homes, and this is a vital step on that journey. I look forward to the government enacting the Law Commission proposals on enfranchisement and Right To Manage.”
Fleur Anderson, Labour MP for Putney, said:
“This is fantastic news for leaseholders in Putney who have been trapped in an unfair system for too long. The Conservatives promised to fix this problem back in 2017 yet failed. I am proud that a Labour Government has delivered where the previous Tory Government failed. When I stood to be your local MP in July 2024, our manifesto promised this reform, and I’m delighted this protection for leaseholders is being brought about with Labour.”
