The Housing, Communities and Local Government (HCLG) Committee has urged ministers to strengthen the proposed Commonhold and Leasehold Reform Bill.

In a report published today, the cross-party committee said the draft legislation is an important step towards giving leaseholders more control over their buildings.

However, MPs warned that the reforms do not go far enough.

The committee said more action is needed on ground rents, property management and service charges.

MPs called for stronger protections against excessive fees. They also urged the government to introduce measures that give homeowners greater control and to create an independent regulator for property management agents.

The committee backed the government’s plan to cap ground rents for existing leaseholders at £250 a year. However, MPs said the cap should be introduced by the end of 2027.

The report also questioned the proposed 40-year transition period for reducing ground rents to zero. MPs said a 20-year timeframe could strike a fairer balance between leaseholders, freeholders and institutional investors.

The committee recommended formal regulation of property management agents.

The report called for an independent regulator with powers to penalise rogue agents, including removing licences.

Florence Eshalomi, chair of the housing committee, said: “Millions of leaseholders have waited too long for successive governments to reform the unfair leasehold system, cap ground rents and give homeowners control over the management of their buildings.”

Eshalomi added that many leaseholders now feel trapped in homes with rising costs and concerns about being able to sell.

She also urged ministers to introduce the final Bill in autumn 2026.