Speaking at the Labour Party conference today, Angela Rayner said the government was “confronting the scandal faced by millions of leaseholders who have found their dream of homeownership turned into a nightmare”.
It is introducing caps on permission fees for requests to own a pet, make cosmetic changes to a property, and administration fees where landlords charge to provide documents on request such as building safety certificates or to notify a change in mortgage provider.
A public consultation will be launched to determine the scope of what should be capped and the amount.
She said Labour was “ending the injustice of fleecehold”, adding: “Despite owning their own home, some leaseholders are flogging out hundreds and sometimes thousands of pounds each year to unaccountable investors for absolutely nothing in return.
“I’ve heard of leaseholders being charged £250 for permission to own a pet, £400 for permission to change their own front door and then a further £60 fee to put a doorbell on that door.”
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Rayner said this was another example of people feeling powerless and that the government would cap these “outrageous” administration and permission fees.
She also announced the independent regulation of property agents, saying many homeowners, renters and leaseholders were “tricked” into using overpriced in-house services and paying hidden fees.
The regulator will set codes of practice and property agents will be required to have a licence and appropriate qualifications. If they breach required standards, they can have their licences revoked.
The government will provide more information on these measures in due course.
