3
The suggestion by some freeholders and their representatives that ground rent is a contribution towards...
Conclusion
The suggestion by some freeholders and their representatives that ground rent is a contribution towards building safety remediation is incorrect. Leaseholders do not believe and should not expect that ground rent is used as a proxy for an additional service charge. It is shameful that some freeholders have invoked a misleading narrative to suggest that residents may be endangered if the government caps ground rents. The potential that some freeholders could face insolvency due to lost ground rent income is a risk which the government has identified and can mitigate, although freeholders have provided no evidence to support their claim that a cap may result in “widespread insolvency” of freeholders. (Conclusion, Paragraph 51) 101
Source
Report
1st Report - Pre-legislative scrutiny of the draft Commonhold and Leasehold Reform Bill
27 May 2026
HC 40
Addressee Bodies
Ministry of Housing, Communities and Local Government
Timeline
Report published
27 May 2026