Leasehold reform delays and what they mean for lease extensions

The Leasehold and Freehold Reform Act 2024 was expected to transform leasehold property ownership — especially for flat owners hoping to extend their lease or buy the freehold.

However, with most key reforms still pending, many leaseholders are left wondering: should I wait or act now?

What has changed?

So far, only one significant change has come into force: You no longer have to wait two years after purchase to extend your lease. Since 31 January 2025, new flat owners can start the lease extension process as soon as they become the registered owner.

This is a welcome update, especially for those looking to extend quickly after completion or secure better mortgage options — but the bigger reforms remain out of reach.

What's still on hold?

Most of the reforms flat owners have been waiting for are delayed, including:

• Changes to how lease extension premiums are calculated
• The ability to extend by 990 years rather than 90
• Reforms to the process of collective enfranchisement
• Removal of marriage value

The government has confirmed that public consultation is still required before these provisions can come into force. In a June 2025 debate, Housing Minister Alex Norris went further — admitting that drafting errors in the Act may require more primary legislation, which could significantly extend the timeline.

There are also ongoing discussions about transitioning to a commonhold system — but the practicalities of making this viable are still a long way off.

Why are the reforms delayed?

Although the Leasehold and Freehold Reform Act 2024 has received Royal Assent, most of its key provisions remain inactive — and full implementation is expected to take years, not months.

There are several reasons for the delay:

• Secondary legislation: The Act requires around 25–30 pieces of secondary legislation before it can take full effect.
   
• Further consultation: The government has confirmed that additional consultations will be needed to shape how the new rules will work in practice.
   
• Legal challenge: In January 2025, a group of freeholders were granted permission to pursue a judicial review. The challenge relates to the potential loss of income from lease extension reforms, with a court hearing due by the end of July 2025.

What's the likely timeline?

Even if consultations begin this year and secondary legislation is drafted promptly, the full implementation of leasehold reform could take several years. The government has openly acknowledged this — and with a judicial review now in play, further delays are likely. For many leaseholders, waiting may no longer be the practical or cost-effective choice.

Should you wait to extend your lease?

If you've been delaying a lease extension in the hope of a better deal under the new regime, now may be the time to rethink.

There are three key questions to ask yourself:

1. How many years are left on your lease? The shorter it gets, the more expensive it becomes to extend.
    
2. Are you thinking of selling? Buyers are often deterred by leases of less than 85–90 years.
    
3. Are you remortgaging soon? Lenders may decline or limit offers on short lease flats.

The cost of waiting could outweigh the hoped-for benefits — especially if reforms remain years away.

Worried about your lease?

We help leaseholders understand their options and make confident decisions. Whether you're buying, selling, or looking to secure your position long-term, our lease extension specialists are here to help.

With offices in London, Brighton, East Sussex, and Cumbria, we combine national coverage with local expertise. Wherever you're based, we're here to help you protect your investment and avoid costly mistakes.