Spotlight on the Leasehold and Freehold Reform Act 2024

Join us for a spotlight with the Welsh Government for an overview of the Leasehold and Freehold Reform Act 2024, including the current joint consultation on Permitted insurance fees for landlords, freeholders, and property managing agents.

The session will provide further details on the consultation, which proposes:

• Preventing all excluded insurance costs relating to the arrangement and management of insurance from being charged to leaseholders through a variable service charge, with the exception of what is defined as a permitted insurance fee.
• Property managing agents and freeholders would only be able to charge a separate fee for their services directly to leaseholders, rather than the current practice of commission sharing by brokers. This would improve transparency, as currently, such payments are often a hidden part of wider insurance costs.
• The banning of insurance payments being charged to leaseholders – with the exception of the permitted fee – targeted at freeholders and property managing agents.

The wider implications for Wales of the Act will also be explored, including requiring transparency over leaseholders’ service charges.