Freeholders Launch High Court Challenge Over UK Leasehold Reforms

A group of six powerful freeholders, including major property firms and charities, is launching a High Court legal challenge against the UK government's Leasehold and Freehold Reform Act 2024, claiming it breaches their human rights under the European Convention on Human Rights. The reforms, passed by the previous Conservative government, aimed to make it cheaper and easier for leaseholders to extend leases or buy freeholds by abolishing 'marriage value,' reducing ground rents, and banning new leaseholds. The freeholders argue that removing marriage value compensation and other pricing changes will cost them millions, threaten their revenue streams, and infringe on their right to private property. Charities involved in the challenge support leasehold reform in principle but contend the legislation endangers their financial stability and charitable activities. Leaseholders and campaigners warn that this legal action could delay much-needed reforms affecting an estimated 4.5 million leasehold properties in England and Wales. Experts note the case pits some of Britain's wealthiest landowners against ordinary leaseholders and could result in prolonged court proceedings before any progress on leasehold reform resumes.