Propertymark and campaigners say Leasehold is STILL a life sentence in new report

A new report, ‘Leasehold: Still a Life Sentence?’ from Propertymark, in partnership with the National Leasehold Campaign and the Leasehold Knowledge Partnership, uncovers new evidence that, despite legislative progress, leaseholders remain trapped by rising costs, complex rules, and an uncertain market.

The report is based on insights and evidence from Propertymark members and current leaseholders and sets out why it remains essential that policymakers introduce further reforms to not only support the transition to commonhold but also existing leaseholders who cannot wait for the widespread adoption of commonhold.

A status quo where 90% of buyers regret their purchase of a leasehold property cannot continue, and a functional leasehold market cannot rely on misunderstanding or ignorance of the system.

The report includes a case study of a leaseholder named Stacey. Within the report, she outlines that, over an eight-year period, she accepted an offer on her home on five separate occasions. On each occasion, buyers pulled out of the transaction due to uncertainties connected with the leasehold.

Propertymark’s latest report comes eight years after the organisation’s ‘Leasehold: A Life Sentence’ report, which highlighted the widespread challenges facing leaseholders across England and Wales, exposing restrictive lease terms, consumer concerns, and the overall impact leasehold has on the housing market. Many of the report’s recommendations resulted in legislative change, but there is still more that can be done.

Commenting on the report, Nathan Emerson, CEO of Propertymark, said:

“The UK Government plans to replace leasehold with commonhold, but the transition will take time. While leasehold reform is needed, relying solely on commonhold could leave thousands of existing leaseholders without meaningful change for decades.

“Our evidence highlights the need to support current leaseholders during the transition. However, it remains essential that reforms deliver meaningful and measurable change, creating a system that is fit for future generations.”

Commenting on the report, Katie Kendrick OBE, Founder of the National Leasehold Campaign, said:

“Eight years on, this report makes one thing undeniable: leasehold remains a life sentence. The NLC strongly support its findings.

“Despite nearly a decade of commitments, progress has been too slow, too limited, and too easily diluted. As a result, too many leaseholders remain trapped — unable to sell, unable to move, and facing costs they cannot afford. This is not just a failure for leaseholders — it is a failure of the housing market. The evidence is clear. Estate agents identify three consistent barriers to selling flats: onerous service charges (74%), escalating ground rents (65%), and short leases (63%). The lack of implementation of leasehold reform is not only harming individuals — it is actively choking supply and confidence across the market.

“The Government’s ambition to transition to commonhold is welcome, but it cannot be used as a substitute for action now. That transition will take years, potentially decades, leaving hundreds of thousands of existing leaseholders trapped in limbo. That is neither realistic nor acceptable. This report reinforces a simple but urgent truth: without immediate, targeted reform for existing leaseholders, the crisis will persist — for individuals, for families, and for the wider housing system.

“The Government must now move beyond long-term ambition and deliver practical, enforceable solutions — because leaseholders cannot wait another decade for change”

In addition, Sebastian O’Kelly, Director at the Leasehold Knowledge Partnership, added:

“Eight years on, this report makes one thing undeniable: for millions of people, leasehold remains a life sentence. The National Leasehold Campaign strongly supports its findings.

“Despite nearly a decade of promises, consultations and legislation, too many leaseholders remain trapped in homes they cannot sell, facing escalating service charges, unaffordable lease extension costs and ground rents that continue to blight the market.

“This is no longer just a leaseholder crisis — it is a housing market crisis. The report’s findings are particularly significant because they reflect not only the experiences of leaseholders, but also those of property professionals. Estate agents identified onerous service charges, escalating ground rents and short leases as the three biggest barriers to selling flats, demonstrating that leasehold is actively restricting mobility, reducing confidence and undermining the functioning of the housing market.

“We welcome the Government’s ambition to transition to commonhold, but commonhold cannot become an excuse for delaying meaningful reform for existing leaseholders. That transition will take years, and potentially decades, while millions remain trapped by a system that Government itself has repeatedly described as outdated and unfair.

“The message from this report is clear: leaseholders cannot be expected to wait another decade for change. The Government must now accelerate the implementation of leasehold reform, including measures to tackle excessive and opaque service charges, regulate managing agents, make enfranchisement and lease extensions more affordable, and deliver meaningful protection for existing leaseholders.

“The evidence has been gathered. The problems are well understood. What leaseholders need now is delivery.”