Bonfire of the Quangos – Will Leasehold Reform Get Singed?

As reported today on the BBC News Website (and elsewhere) it appears that the heady world of Leasehold Reform has not entirely escaped the government’s attention in the current spending review.

There are two announcements relevant to those interested in this sector.

Firstly, it seems that the Residential Property Tribunal Service (RPTS) is to be amalgamated into the Ministry of Justice (MoJ).

Whilst this might ultimately be part of the wider legislative scheme envisaged by the Tribunal Courts and Enforcement Act 2007 of harmonising all tribunals eventually into one ‘unified’ service, this change is probably quicker than the LVT itself would have liked.

On the table for discussion must surely be the question of hearing fees, a unified set of procedural rules and closer harmony with the other “Lower Tier” Tribunals. Whether this is in the long term interests of ‘consumers’ of these services remains to be seen.

Any enhanced procedural rules are only likely to drive up costs for those subject to them and hopefully common sense will prevail so that any changes are not too significant.

As to hearing fees, whilst perhaps these are an inevitability, I for one would like to see these introduced on a tiered basis related to value so that there is no effective deterrent to access to justice for lower value cases which are either of general importance, or which genuinely merit a hearing because of the obstinance of one of the parties.

Perhaps the controversial question of whether the LVT should have a more significant costs jurisdiction, (including perhaps the power to decide that one of the parties should pay any hearing fee) will also have to be considered.

As to the second annoncement, it seems that LEASE, the non-governmental organistion set up to advise on the Leasehold Reform legislation and which provides a free advice service is to be amalgamated into another government body. More precise details are awaited in the formal announcements.

Whilst consumer awareness in this sector has improved (as has the quality of service provision itself), there is still a need for the promotion of access to information and education concerning this sector.

Mark Chick