Earlier this month, King Charles III delivered The King's Speech at the State Opening of Parliament. 

This speech highlighted the new Labour government's focus on the UK property market, aiming to tackle housing shortages, reform leaseholds, and enhance tenant protections.

Here are some of the main takeaways.

Renters’ Rights Bill

The Renters’ Rights Bill aims to provide greater security and rights for tenants. Key measures include:

  • Abolishing Section 21: This will remove the threat of 'no fault evictions', ensuring tenants cannot be evicted without a valid reason.
  • Greater Rights and Protections: Tenants will have more protection and can request a pet in their property, which landlords cannot unreasonably refuse.
  • Safe and Secure Homes: Introducing the Decent Homes Standard and 'Awaab’s Law' to ensure private rented homes meet safety standards.
  • Digital Database: Creating a database for the private rented sector to centralise information for landlords, tenants, and councils.
  • New Ombudsman Service: Establishing an ombudsman service to resolve disputes within the private rented sector.
  • Preventing Discrimination: Measures to prevent discrimination against tenants with children or those receiving benefits.

 

Draft Leasehold and Commonhold Reform Bill

The Draft Leasehold and Commonhold Reform Bill includes significant changes aimed at improving the rights of leaseholders:

  • Law Commission Recommendations: Enacting remaining recommendations to bolster leaseholders' fundamental rights.
  • Modernising Commonhold: Updating the legal framework to reinvigorate commonhold ownership.
  • Restricting New Leasehold Flats: Limiting the sale of new leasehold flats to address ongoing issues in the market.
  • Regulating Ground Rents: Implementing measures to regulate ground rents for existing leaseholders.
  • Addressing 'Fleecehold' Estates: Bringing an end to unfair costs in private estates.
  • Leasehold and Freehold Reform Act 2024: Providing more rights, power, and protections for leaseholders​.

 

Planning and Infrastructure Bill

The Planning and Infrastructure Bill focuses on streamlining and modernising infrastructure development to help the new government with their goal of building 1.5 million homes in the next five years:

  • Upgrades to National Grid: Speeding up upgrades and strengthening renewable energy sources.
  • Modernising Planning Committees: Ensuring local planning authorities have the capacity to manage developments efficiently.
  • Reforming Compensation Rules: Updating compulsory purchase compensation rules to ensure fairness.
  • Funding Nature Recovery: Using development projects to support environmental recovery efforts​.

 

Final Thoughts

The King's Speech has outlined bold changes for the UK property market. 

The new Labour government aims to address long-standing issues in housing by building more homes, reforming leasehold laws, and protecting tenants. The success of these plans, however, will depend on detailed execution and collaboration with industry members.

Along with millions of others, we will follow the new government’s progress with great interest.




Article By: Richelle Newbold

As one of our Sales Negotiators, Richelle engages with clients on a daily basis. Her previous professions include performing and hospitality, so she has taken to her role with us effortlessly. A keen meditator, Richelle is kind, caring, and a respected part of Team Petty’s.

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