What Leaseholder Reform Really Means for Managing Agents
By Robert Poole, Director – Block Management, Glide Property Management, part of LRG
The past decade has seen a growing focus on leaseholder rights, and in the last few years, that focus has intensified into full-scale reform. With the Leasehold and Freehold Reform Act 2024 now enacted and further measures under consultation, managing agents are facing more than just legislative change. They’re witnessing a complete shift in how their role is perceived and how their service is scrutinised.
At the centre of this transformation is the leaseholder. More empowered, more informed, and increasingly vocal, leaseholders are no longer passive recipients of block management decisions. Through online forums, legal resources, and even AI-powered tools, residents are challenging service levels, questioning costs, and demanding accountability. This cultural shift has far-reaching implications.
For managing agents, the change is palpable. Day-to-day, it means more queries, more requests for documentation, and more pressure to justify decisions. Email volumes are higher. Phones are busier. And expectations around communication and responsiveness have never been greater. Property managers are not just facilitator, they are educators, negotiators, and often the first point of contact for increasingly sophisticated leaseholder concerns.
And yet, this shift is happening in the context of legal uncertainty. While parts of the Leasehold and Freehold Reform Act have been enacted,such as changes to lease extension rights and right-to-manage eligibility. Many provisions are pending further consultation or are caught up in judicial review. Agents are operating in a limbo: expected to act as if the reforms are already live, but without the clarity or infrastructure to support them.
So what does this mean in practice? For many firms, it’s about leaning into transparency ahead of regulation. Providing leaseholders with budget breakdowns, explaining major works costs in plain language, and proactively publishing insurance arrangements. These actions not only anticipate legal changes, but also build trust and reduce the likelihood of challenge.
Training is another priority. With reforms touching on everything from permitted fees to service charge disclosure, teams need regular updates and access to specialist advice. The most successful firms are investing in continuous professional development, building internal knowledge hubs, and working more closely with legal and compliance partners.
Technology also plays a critical role. Online portals can help manage information requests, deliver real-time updates, and keep a clear audit trail of communications. They enable transparency at scale, making it easier to evidence decisions and demonstrate service standards. For agents managing large or complex portfolios, tech isn’t a luxury; it’s a necessity.
But perhaps the most important shift is cultural. The reforms are not just about compliance. They’re about redefining the relationship between managing agents and leaseholders. It’s about moving away from a ‘we know best’ approach and working more openly with leaseholders. People want transparency from the start, not just when they push for it and managing agents need to be proactive, not just responsive.
This is especially important in a sector where poor practices by a minority have damaged trust. Hidden fees, aggressive enforcement, and poor communication have created reputational challenges for the industry. Now is the time for professional agents to show how they’re different and why their work adds genuine value.
The transition won’t be without difficulty. Increased scrutiny, tighter regulation, and higher service expectations will put pressure on teams and margins. But there is also opportunity. Agents who can articulate their value, demonstrate ethical practices, and support leaseholders through complex changes will stand out.
Leaseholder reform is here. It brings with it both challenges and possibilities. For managing agents, the path forward is not just about adapting to new rules. It’s about setting new standards. The best firms won’t wait for reform to be enforced. They’ll lead it.
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