Rayner vows action to tackle ‘unfinished business’ of leasehold reform

The housing secretary says she will take action to stop leaseholders being ‘ripped off’, promising new regulation of estate agents, letting agents and managing agents.

In her speech to Labour conference in Liverpool on Tuesday, Angela Rayner said she had “unfinished business” addressing the “scandal faced by millions of leaseholders who have found their dream of homeownership turn into a nightmare”.

Referring to the government’s plans to introduce a new commonhold tenancy, she said the government was “calling time” on leaseholders “forking out hundreds and even thousands of pounds to investors for absolutely nothing in return” by “capping and then scrapping ground rents”.

However, she said that ground rents were “not the only rip off”, promising to cap “outrageous” administration and permission fees, where leaseholders are required to pay for the right to do things like own pets or change basic elements of their property such as doors.

Turning to estate agents, lettings agents and property agents, Rayner said “decent businesses” in this sector were being undermined by “cowboys, crooks and con-artists” who take advantage of people through “hidden fees and traps”.

“People who should be excited about buying a home are tricked into using overpriced in-house services,” she said.

“Unqualified, unlicensed and unregulated agents are taking thousands from their clients and mishandling their money […] We will legislate for an independent regulation to rein these cowboys in. They’ll be required to follow the rules and if they don’t their licenses will be taken away”.

Rayner also confirmed a number of new measures that had been trailed in the media overnight.

She said councils would “be able to refer local homeless household to other social housing providers to reduce reliance on temporary accommodation” and that the government would “stop social homes from being lost when providers sell them by making it easier for councils to buy”.

“We will introduce a new duty on public services to work together to provide wraparound support to prevent homelessness before families reach crisis point,” Rayner added.

“When we say that we stand for more public control of housing, this is what we mean”.