New analysis from The Leasehold Advisory Service (LEASE) indicates that the complexity of the leasehold redress system is discouraging leaseholders from pursuing complaints.
Research conducted by LEASE among leaseholders found that many do not escalate issues because the process is perceived as too time-consuming and stressful. Respondents said key factors influencing whether they pursue a complaint include the likelihood of action being taken, the potential impact on service charges, the availability of guidance and the overall cost.
The report concludes that the range of redress schemes, ombudsmen, regulators and advisory bodies is not always coordinated, which can make the system difficult to navigate and, in some cases, ineffective.
In response, LEASE has brought together stakeholders from across the redress framework to map existing routes and identify gaps. It is now working with the sector to develop tools aimed at helping leaseholders access information about their properties and understand their options, including alternative dispute resolution and the use of courts and tribunals.
Martin Boyd, chair of LEASE, said: “While there are multiple routes to redress, we know that in practice, the system is difficult to navigate. This leaves many leaseholders feeling confused and unsupported at the point they most need clarity. Too often, leaseholders disengage because they can’t identify the right avenue quickly or the process feels uncertain and time-consuming.
“By working together across the sector, we can provide increased clarity on the different paths for redress, make the journey easier for leaseholders when they need it. We will also continue to engage with Government around the need for wider, more structural reform to ensure there is suitable redress in place for all leaseholders and that the relevant bodies have the powers to enforce decisions.”
Following the release of the LEASE Insight report, Sean Hooker, head of Redress, Property Redress, shared his views.
He commented: “We welcome this report, having been part of the process, and look forward to the Government taking on board the findings and turning them into action. Whilst there are no quick fixes, this is a vital piece of work in identifying the gaps and tackling the longstanding, deep-seated weaknesses in the route to redress for leaseholders.
“What is needed is a redress landscape that is fair to all. This includes not only long-suffering leaseholders, but also property managers who are trying to deliver a quality service in an increasingly challenging, complex and costly environment, as well as freeholders and landlords who, whilst often seen as holding the power in the relationship, need clear direction in order to invest in and improve the property stock they own.”