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Housing minister says outright abolition of leasehold is almost certainly impossible
Housing minister Matthew Pennycook argued that abolishing leasehold outright in England and Wales would be almost impossible, advocating a phased approach toward commonhold. He spoke in favor of reforms that would empower leaseholders to take control of their buildings, while Labour faces criticism from opponents who say reform is being slowed. The article also covers the draft leasehold bill, the Renters' Rights Act coming into force soon, and cross-party responses.
Why It Matters
The statement reframes the timeline and approach to leasehold reform, signaling a shift from an abrupt end to a gradual transition toward commonhold and greater leaseholder empowerment.
Timeline
8 Events
Campaign groups react to minister's remarks
April 29, 2026
National Leasehold Campaign described the reform as 'realistic' and called for a binding timetable and concrete progress, while co-founder Katie Kendrick urged urgency from the government. Harry Scoffin of Free Leaseholders criticized the speech as a wasted opportunity to show urgency.
Liberal Democrat reaction to Labour reform pace
April 29, 2026
Liberal Democrat leader Sir Ed Davey accused Labour of dragging its feet on leasehold reform.
Green Party reaction to leasehold reform
April 29, 2026
Green Party MP Carla Denyer said the pledge is not to abolish leasehold immediately but to phase it out, emphasizing the Green stance to end the leasehold 'rip-off' in a phased manner.
Renters' Rights Act: coming into force
April 29, 2026
Key elements of the Renters' Rights Act, including a ban on evicting tenants in England without a reason, are due to come into force on Friday, April 30, 2026. Pennycook described the nominal costs to landlords as 'low' and rejected claims of an exodus from the sector.
Draft leasehold bill outlined
April 29, 2026
The government's draft leasehold bill, currently scrutinised by MPs, aims to make it easier to convert to commonhold, ban the sale of new leasehold flats, and cap ground rents at £250 a year.
Pennycook's speech at the Institute for Government
April 29, 2026
Housing minister Matthew Pennycook said that outright and immediate abolition of about five million leases would be almost certainly impossible, and argued for a methodical end to leasehold by enabling leaseholders to gain more control and by promoting commonhold, while criticising the Greens' pledge for total abolition.
Process began under the previous Conservative government
April 29, 2026
The article notes that the leasehold reform process began under the previous Conservative government.
Labour manifesto promise to end leasehold
2024
Labour's 2024 general election manifesto promised to 'finally bring the feudal leasehold system to an end' and to dismantle the system before the next election by making it easier for leaseholders to gain control of their buildings, though not an immediate abolition.