UK Leasehold Guide 2026

Leasehold is a form of property ownership unique to England and Wales. When you buy a leasehold flat, you own the property for a fixed term — typically 99 to 999 years — but the land and structure remain the property of the freeholder (landlord). This structure creates ongoing obligations on both sides that are governed by the lease and by statute.

There are approximately 4.98 million leasehold dwellings in England alone (MHCLG 2022/23), the vast majority of which are flats in blocks managed by a managing agent on behalf of the freeholder or a residents' management company (RMC). The management relationship is governed by the lease itself, the Landlord and Tenant Act 1985 (service charges), the CLRA 2002 (Right to Manage) and, most recently, the Leasehold and Freehold Reform Act 2024.

The most common disputes in leasehold relate to service charges (which must be reasonable and properly consulted on), major works (which trigger the Section 20 consultation process), and the conduct of managing agents. Leaseholders have a range of statutory rights including the Right to Manage, the right to challenge unreasonable charges at the First-tier Tribunal, and the right to extend their lease.