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
Recommendation age
0.2 yrs
Report published
27 May 2026