6 March 2020
The Leasehold Solutions Group has welcomed the findings of a report into leasehold housing by the Competition and Markets Authority which has found areas of “significant concern” where the CMA “proposes to take enforcement action”.
Leasehold reform campaigner, Louie Burns, Managing Director of the Leasehold Solutions Group, said: “We welcome this report and commend the CMA for its thorough research to date. This is a damning report that highlights numerous leasehold abuses and we are pleased to see that the CMA is prepared to act against the developers and freeholders responsible.
“Freeholders so often claim that it is just a few isolated cases or blame the leaseholders for not reading the lease properly. Thanks to the CMA, we finally have an official document which lists “numerous complaints” of freeholder abuses in undeniable and shaming detail.
The CMA report states that the issues it has identified, such as onerous ground rents and dubious sales practices, have caused, and will continue to cause, “significant harm to leasehold homeowners.”
Burns continued: “It is vital that the CMA takes robust action to hold those responsible for leasehold abuse to account and ensure that consumers are protected going forward. We also feel that leaseholders should have a clear and effective system of redress and a means to seek compensation where instances of mis-selling can be proven. We look forward to the forthcoming publication of the CMA’s proposed enforcement action.”
The CMA’s investigation into abuse in the leasehold housing market is still ongoing. The full CMA report can be accessed here.
"It is vital that the CMA takes robust action to hold those responsible for leasehold abuse to account and ensure that consumers are protected going forward."
MD Leasehold Solutions