Residential Leaseholders

Baroness Pinnock Excerpts

Thursday 12th January 2023 Lords Chamber

[Baroness Scott of Bybrook (Con)]

That is an interesting remark that I will take back to officials to discuss further. I will come back to my noble friend.

[Baroness Pinnock (LD)]

My Lords, I want to pursue what the noble Lord, Lord Kennedy, called rip-off charges, which the Government could take urgent action to address. I shall give the Minister an example. Fire doors are now to be inspected—rightly. Leaseholders are unable to make the arrangements for that inspection but freeholders or their agents do. One leaseholder contacted me to say that they are being charged £80 for their front door to be inspected each time—£320 a year. That is a rip-off service charge. What on earth are the Government going to do to address these rip-off service charges?

[Baroness Scott of Bybrook (Con)]

I cannot comment on the individual case, but the law is already clear that service charges must be reasonable. That is set out in Section 19 of the Landlord and Tenant Act 1985. If leaseholders feel they are being ripped off, they can apply in First-tier Tribunals for determination on this. However, I agree that there is more to do. The Government are committed to ensuring that charges, particularly service charges and these extra charges, are transparent. There should be a clear route to challenge or redress if things go wrong.