Category: Gov Press Releases

Communities Secretary Sajid Javid has announced new measures to cut out unfair and abusive practices within the leasehold system, including a ban on leaseholds for almost all new build houses.

This comes as part of government action to deliver a fairer, more transparent system for homeowners to help fix the broken housing market and build a Britain fit for the future.

Changes will also be made so that ground rents on new long leases – for both houses and flats – are set to zero.

The government will also make it cheaper and easier for existing leaseholders to buy-out their freehold and there will be better information available about redress for those consumers who face the most onerous terms.

These measures follow a recent consultation where there was an overwhelming response in favour of government plans to tackle the unfair practices in the leasehold sector.

With 1.4 million leasehold houses across England and the number of leasehold sales rapidly growing, the government is taking crucial action to make the leasehold market fairer.

Leasehold generally applies to flats with shared spaces, making multiple ownership more straightforward, but developers have been increasingly selling houses on these terms – adding further costs to over-stretched house buyers.

Communities Secretary, Sajid Javid said:

It’s unacceptable for home buyers to be exploited through unnecessary leaseholds, unjustifiable charges and onerous ground rent terms.

It’s clear from the overwhelming response from the public that real action is needed to end these feudal practices. That’s why the measures this Government is now putting in place will help create a system that actually works for consumers.

Measures to be introduced include:

• legislating to prevent the sale of new build leasehold houses except where necessary such as shared ownership
• making certain that ground rents on new long leases – for both houses and flats – are set at zero
• working with the Law Commission to support existing leaseholders and make the process of purchasing a freehold or extending a lease much easier, faster and cheaper
• providing leaseholders with clear support on the various routes to redress available to them
• a wider internal review of the support and advice to leaseholders to make sure it is fit for purpose in this new legislative and regulatory environment
• making sure freeholders have equivalent rights to leaseholders to challenge unfair service charges

These latest measures follow the government setting out plans in the Housing White Paper to fix the broken housing market, including making sure councils release more land for housing, building the right homes in the right places and improving affordability and protections for renters and home purchasers.

Further information

These measures relate to England only.

Over 6,000 responses were submitted to the recent government consultation on leasehold practices. The vast majority of responses expressed their concerns about the buying experience and living in a leasehold property. This highlights how the current system is clearly not working in the best interest of those living in or purchasing a leasehold home.

The proposed prohibiting of future houses being sold as leasehold will apply to all houses apart from a few exceptional circumstances where leasehold is still needed – such as houses that have shared services or built on land with specific restrictions.

We will also be continuing to discuss the case for limited exemptions with industry.

Communities Secretary will be writing to all developers to strongly discourage the use of Help to Buy Equity loans for the purchase of leasehold houses in advance of legislation and to ask those who have customers with onerous ground rent terms to provide necessary redress.

Department for Communities and Local Government statistics estimate there were 4.2 million residential leasehold dwellings in England in the private sector in 2015 to 2016 and of these 1.4 million were leasehold houses. This was a rise on the previous year when in 2014 to 2015, there were 1.2 million leasehold houses.

The Prime Minister will travel to Warsaw today for an annual summit designed to strengthen the relationship between the UK and Poland as Britain prepares to leave the EU.

The UK-Poland bilateral summit will bring together both Prime Ministers along with a number of senior Cabinet ministers, including the Chancellor, Foreign Secretary, Defence Secretary, Home Secretary and Business Secretary.

As an integral part of the summit, the Prime Minister is expected to announce a new joint UK-Poland Treaty on Defence and Security Co-operation. The only other European Union country we have such a treaty with is France.

It will provide a framework for defence cooperation on areas such as training, exercises, information sharing, defence industry cooperation and capability development, building on the deployment of British troops to Poland under Enhanced Forward Presence following the last UK-Poland summit held in London in November 2016.

The Prime Minister is also set to agree improved UK-Poland cooperation to counter Russian disinformation in the region, including through new joint strategic communications projects. The UK will provide £5 million for the projects, with Poland expected to contribute a similar amount. The projects will aim to build both of our capacities to detect and counter Russian information operations, and deliver valuable support to Belsat, a Polish-funded TV channel providing unbiased, free and frank reporting for Belarussians.

And she will announce that we will enhance our cyber security cooperation with Poland, including by hosting a Polish cyber delegation at our National Cyber Security Centre in March next year to share the UK’s world-leading expertise and best practice in this area.

Speaking ahead of the summit, the Prime Minister said:

Poland matters greatly to the UK: our partnership is broad, vibrant and diverse and we both share a steadfast commitment to Europe’s security and defence.

I am determined that Brexit will not weaken our relationship with Poland. Rather, it will serve as a catalyst to strengthen it.

And that is why I am in Warsaw today, to ensure that we can work even more closely together to ensure the security and prosperity of our nations in the years ahead.

Although the UK is leaving the European Union, we are not leaving Europe. And I will reaffirm to Prime Minister Morawiecki that we want to work with Poland and the other member states in the future to protect our shared values, people and interests.

We are building a strategic partnership from a base of shared history and deep ties of friendship that will continue to flourish long after our departure from the EU.

The bilateral defence treaty we are signing today is a powerful symbol of our continued close cooperation.

A Downing Street spokesperson said:

The Prime Minister spoke to King Salman bin Abdulaziz and Crown Prince Mohammed bin Salman of Saudi Arabia earlier this evening.

She welcomed the decision by the Saudi-led Coalition to reopen the Yemeni port of Hodeidah and noted the arrival of UK staff in the region to assist with the UN inspection process, helping to speed up the distribution of much needed humanitarian and commercial supplies.

The Prime Minister strongly condemned yesterday’s attempted missile attack on the Yamama Palace in Riyadh, and welcomed the restraint shown by Saudi Arabia in the face of unacceptable Houthi aggression.

She reiterated the UK’s ongoing commitment to Saudi Arabia’s security and our determination to push for stronger action through the UN to expose and counter Iran’s destabilising activity in the region and to find a political solution to the conflict in Yemen.

Finally, the Prime Minister looked forward to welcoming the Crown Prince to the UK in the New Year.

The United Kingdom is concerned by Russia’s decision to withdraw from the Joint Centre for Control and Coordination (JCCC) in Ukraine.

This decision risks severely undermining the Minsk peace process, in which the JCCC has a specific role to play. It will also have significant consequences for those in the area, including the OSCE Special Monitoring Mission, as the JCCC has facilitated numerous local ceasefires in eastern Ukraine.

An FCO spokesperson said:

We are concerned by Russia’s withdrawal from the JCCC. The JCCC plays an important role in facilitating local ceasefires in eastern Ukraine.

Russia’s withdrawal casts doubt on their commitment to a lasting ceasefire in eastern Ukraine and to the safety and security of the OSCE Special Monitoring Mission. It also heightens the risk of ecological disaster in the Donbas given the JCCC’s role in facilitating repairs to critical civilian infrastructure such as the Donetsk Water Filtration Station, which houses large amounts of chlorine gas.

The humanitarian situation in the Donbas is growing ever bleaker and civilians continue to bear the brunt of this conflict. The UK calls on all parties to do all they can to alleviate humanitarian suffering and commit to a lasting peace.

Further information

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• Cardiff was the capital city with the highest growth increase in the UK in the value of its goods and services

The latest figures from the Office for National Statistics show Wales was the fastest growing country in the UK in 2016 for the value of its goods and services.

Gross Value Added (GVA) is a measure of the value of the economy due to the production of goods and services.

The figures show that Wales’ GVA was estimated to have increased by 1.9% in 2016, while England’s increased by 1.6%, Scotland by 1.2% and Northern Ireland by 1.1%. This year’s national figures were adjusted to incorporate the value of inflation for the first time.

Cardiff experienced the highest growth increase amongst all UK capital cities, growing by 5.7% in 2016.

While Wales as a whole indicated positive signs of growth, the nation still has the lowest GVA per head of population, showing that more needs to be done to close the gap with the other UK nations in this field.

Secretary of State for Wales Alun Cairns said:

Today’s figures prove that in 2016 Wales outperformed England, Scotland and Northern Ireland in GVA growth.

On top of this, it’s great to see Cardiff out in front of the rest of the UK’s capital cities, strengthening the Welsh economy with its compound semi-conductors, financial services expertise and innovative technologies in healthcare.

However, Wales does continue to have the lowest GVA per head in UK. All our efforts – both within the UK and Welsh governments – must be focussed on changing that trend and maximising the economic growth potential of our nation.

ENDS

The survey work, which includes surface artefact collection, topsoil tests and trial trenching, is part of the company’s continuing commitment to preserving the World Heritage Site and in particular its Outstanding Universal Value.

Highways England Project Director Derek Parody said:

Heritage is very much at the heart of our work at Stonehenge.

As well as removing the traffic bottleneck at Stonehenge and addressing the rat-running issue through local villages, the proposed scheme will remove the sight and sound of traffic from the iconic monument and reduce intrusion in the wider World Heritage Site landscape.

The environmental, archaeological and geophysical surveys we have been carrying out since 2016, and our review of existing surveys, have added to our knowledge and understanding of this unique landscape and helped us develop the design of our preferred route.

Our continuing archaeological survey work, which we are carrying out with experts in the field, will ensure we gather vital information about the environment and archaeology to inform the project as it progresses.

Among the experts is the Stonehenge Scientific Committee, a body of leading independent archaeologists, who have advised on the ongoing survey work, and will continue to do so as the company develops the details of the scheme.

The preferred route for the £1.6 billion A303 upgrade between Amesbury and Berwick Down was announced in September. It includes a free-flowing dual carriageway with a tunnel at least 1.8 miles long and a much-needed bypass north of Winterbourne Stoke.

Following public consultation earlier in the year and further engagement with local communities, heritage groups, archaeologists, historians and engineers, the preferred route was chosen so that the route now closely follows the existing A303 through the World Heritage Site.

This alignment avoids important archaeological sites and intrusion on the view of the setting sun from Stonehenge during the winter solstice.

The Government, as part of its £15 billion road strategy, is committed to upgrading all remaining sections of the A303 between the M3 and M5 to a high quality dual carriageway standard, starting with three schemes: one at Stonehenge, one between Sparkford and Ilchester and the third on the A358 between the M5 at Taunton and the A303 Southfields Roundabout.

Highways England plans to hold a statutory public consultation in early 2018, and in the meantime, details of the preferred route are available on the scheme consultation page.

Ahead of Friday’s Winter Solstice event at Stonehenge, Highways England has issued travel advice to drivers planning to travel on the A303.

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Churches should be opened up for new and different uses by communities to help build a more sustainable future for the buildings, an independent report has recommended.

The Taylor Review: Sustainability of English Churches and Cathedrals says that congregations should be empowered to involve more local people in enjoying, valuing, using and caring for their churches.

The review panel, chaired by Bernard Taylor and made up of representatives from the Church of England and heritage bodies, was set up last year to find new ways to maintain Church of England buildings and look at the potential for different funding models.

A total of 12,200 Church of England churches are listed and since 1999 there has been £2.6 billion invested in repairs and new build projects, with Government and lottery sources providing £810 million of this investment.

Bernard Taylor, Chairman of the English Churches and Cathedrals Sustainability Review, said:

Church buildings are an important and a much-loved part of our national heritage and form an integral part of our sense of identity and community. However, despite the hard work of many groups and volunteers around the country, they face complex problems of maintenance and repair, and are not always well used and supported.

Increased use and helping communities in their broadest form to see the value and potential of the local church is the key to the church building becoming more self-sustaining and ultimately ensuring its long term survival. The solution must be local and there is no instant solution, but these recommendations represent the next steps towards a more sustainable future for these important buildings.

Heritage Minister John Glen said:

I welcome this report and want to thank Bernard Taylor and the whole panel for their work. Our church buildings are a major part of our heritage and it is vital that they are cared for and protected. This report has shown how valued these buildings are and how many thousands of volunteers work so hard on their upkeep.

This review is an important first step to building a more sustainable future for thousands of church buildings across the country, and we will look at these recommendations carefully.

The review panel welcomed the work by the Church of England to simplify its processes and make it easier for churches to get consent to share use of their buildings. Guidance is also being prepared by the Church of England to support models of community ownership and responsibility such as the creation of local Trusts and Friends.

The Rt Revd John Inge, Bishop of Worcester and lead bishop on cathedrals and church buildings, said:

I welcome the findings of this Review. Our 16,000 churches are the jewel in the crown of our built heritage. They exist, as they always have done, to serve their communities. This is seen through daily acts of worship, celebrations of the joys of life and commemorations of its sorrows. They are, though, not just places of worship for their communities: they are social hubs for people of all ages, spaces to offer hospitality and vital services to the vulnerable; churches increasingly are the glue in community life.

I have enormous respect for the millions of volunteers and church workers who through the generations have cared for our churches.

The strategy proposed in this report to support these vital buildings will, I pray, help to protect their fabric and equip them to serve anew in the future.

The Review makes clear how churches and cathedrals are vital community assets in need of support nationally. We look forward to working with funding partners to put the proposals into place.

The review panel highlighted the best practice of many churches and of volunteers around the country, with buildings adapted and used for cafes, playgroups, and in some cases NHS and post office services. The panel said it wants to see more innovation of this kind.

It has proposed creating a national network of Community Support Advisers to help churches identify and strengthen wide ranging relationships within their local area. It hopes that through greater community engagement, churches will be used more frequently and can maximise new funding options reflecting this broad community involvement.

Congregations are individually responsible for the care of their own buildings and despite the commitment and hard work of volunteers, the panel found a lack of consistency in the ability of many churches to carry out routine maintenance and repairs.

The panel has recommended creating a group of ‘Fabric Support Officers’ who have practical heritage buildings expertise to ensure that all churches have access to high quality advice. It also wants churches to develop annual minor repairs plans. This will mean that repairs can be addressed immediately and prevent the development of more costly major repairs. In addition, it has recommended a rolling ten-year major repairs plan to be prepared and kept up to date so that larger works can be planned and given the best chance of being properly funded.

It has proposed that these recommendations should be tested through pilot schemes in both rural and urban areas.

ENDS

Notes to editors

1. Read Bernard Taylor’s blog about the review
2. The Taylor Review: Sustainability of English Churches and Cathedrals was established in May, 2016.
3. A call for evidence to inform the review received almost 5,800 responses.
4. The panel consists of:

• Chairman: Bernard Taylor CBE, Chairman of The Royal Commission for the Great Exhibition of 1851
• Sir Tony Baldry, Chair of the Church Buildings Council
• Dame Helen Ghosh, Director General of the National Trust
• Loyd Grossman, Chair of Heritage Alliance
• Rt Revd Dr John Inge, Bishop of Worcester, Lead Bishop on Church Buildings
• Sir Simon Jenkins, Trustee Churches Conservation Trust
• Sir Peter Luff, Heritage Lottery Fund
• Sir Laurie Magnus, Chairman Historic England
• Neil Mendoza, Landmark Trust & DCMS Non-Executive Director
• Very Revd Catherine Ogle, Dean of Winchester
• Jennie Page, Vice Chair of the Church Buildings Council
• Alice Perkins, former Chair of the Post Office