In July, the Department for Communities and Local Government launched a consultation on proposed reforms to the leasehold market in England, which include a ban on the sale of new-build leasehold homes and limiting on ground rents to 'peppercorn' rates.
These reforms could have a damaging impact on CLTs across the country. Leasehold enables CLTs to act as long-term stewards of housing, preserving its affordability for future generations. A third of all CLT housing completed to date has been completed under leasehold, and restricting the sale of new-build leasehold housing would impede the delivery of the 4500 new affordable homes currently in the CLT pipeline.
Our Consultation Response
We are therefore calling for an exemption for all forms of community-led housing, including Community Land Trusts and Cohousing groups, from these proposals.
In addition, we want to make the positive case for leasehold as a way of delivering genuinely affordable housing. We have proposed a Code of Conduct for Public Interest Leases, to be developed in partnership with a coalition of public interest landowners and professional bodies. If your organisation is interested in becoming a signatory to this Code of Contact, please contact: Stephen Hill, Chair of UK Cohousing and Trustee of National CLT Network on email@example.com.
Our consultation response was submitted on 19th September. Please download our response from the bottom of the page.
Thank you to all those CLTs that also submitted consultation responses. We will share progress on lobbying on this issue here and via our monthly newsletters.