The Kings Speech - November 2023
The King or Queen opens parliament every year with a speech that outlines the government's priorities for the year ahead. What did the King mention in his speech on November 7th that may impact the property market?
The King or Queen opens parliament every year with a speech that outlines the government's priorities for the year ahead. November 7th 2023 saw the King mention the following:
Renters (Reform) Bill
The King announced the ongoing commitment to the Renters (reform) Bill. The bill will reform the private rented sector impacting on all Landlords and Tenants.
A commitment to introduce a Leasehold Bill
The King reasserted the government's commitment to make it cheaper and easier for homeowners to buy the leasehold of a property and to end "punitive" service charges. We can expect legislation to change making it much easier for leaseholders to buy the freehold of a property or to extend their leasehold.
Reducing how much leaseholders pay in ground rent, by capping costs at 0.1% of the freehold value - essentially introducing "peppercorn" ground rents.
An ongoing commitment to Net Zero and energy efficiency
An additional commitment that will likely play a part in the property sector was the commitment to reach Net Zero emissions by 2025.
Previously the government required landlords to upgrade their properties to an EPC C rating by 2025 on new tenancies, and 2028 for all tenancies. However, in September 2023, Prime Minister Rishi Sunak shared that homeowners and landlords would no longer be required to meet these new energy efficiency targets by the original deadlines.
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