Rented Housing: Fees and Charges

(asked on 16th May 2022) - View Source

Question to the Department for Levelling Up, Housing & Communities:

To ask the Secretary of State for Levelling Up, Housing and Communities, if he will bring forward legislative proposals to reform rent charges and prevent the exploitation of rent charge payers by rent charge holders.


Answered by
Eddie Hughes Portrait
Eddie Hughes
This question was answered on 24th May 2022

The Rentcharges Act 1977 already prevents new income supporting rentcharges being created after 22 August 1977 and provides a route for freehold homeowners to redeem income supporting rentcharges where the current rentowner is known. Any new Rentcharges created after August 1977 are classified as Estate Rentcharges and are not redeemable under the 1977 Act.

The Government previously committed to ensure that where a freeholder pays the rentcharge owner is not able to take possession or grant a lease on the property where the rentcharge remains unpaid for a short period of time. This will be pursued when Parliamentary time allows.

The Government also intends to legislate to ensure that freehold homeowners who pay estate rentcharges have the right to challenge their reasonableness and to go to the tribunal to appoint a new management company if necessary.

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