On the horizon: pre-election legislation and the Building Safety Act

Rishi Sunak has said he expects to call a general election in the second half of this year. So how far will the following legislative projects be able to progress ahead of it, and what will become of them after? Race against time The Renters (Reform) Bill – having previously suggested the ban on no-fault evictions would not be implemented until the courts were better prepared, Michael Gove confirmed on 11 February that the ban will be in place before the election. But with the Bill awaiting report stage in the House of Commons at the time of writing, there is a long way to go before this becomes law. The Leasehold and Freehold Reform Bill – this will ban the sale of new houses on a leasehold basis, increase statutory lease extensions for houses and flats to 990 years and make it easier for residential leaseholders to enfranchise and to challenge service charges. It has now overtaken the Renters (Reform) Bill (despite giving it a six-month head start) and should shortly be heading to the House of Lords. Capping ground rents in existing long residential leases – the recent consultation outlining five possible options was extended until 17 January. The government now needs to act fast if its aim is still to include the reforms in the Leasehold and Freehold Reform Bill. The Levelling-up and Regeneration Act 2023 – although this hefty piece of legislation entered the statute book in October, many of its provisions require regulations to flesh out the detail and bring them into force. In the coming months, we should expect to see the time limit for planning enforcement standardised (in England at least) at 10 years, and maybe the first high street rental auction following last year’s consultation. The publication of information relating to “contractual controls” (options, pre-emptions, etc) is a longer-term project; the current consultation (which closes on 20 March) anticipates this will not happen until 2026. The government’s mission to increase the transparency of land ownership also marches on. Implementation of the Economic Crime and Corporate Transparency Act 2023 has begun; Part 3, once commenced, will make changes to the register of overseas entities that hold UK land, especially where trusts and nominee owners are involved. We can also expect to hear more following the recent consultation on improving the transparency of land ownership where land is held on trust, which is still considered unsatisfactory notwithstanding the Trust Registration Service and the Register of Overseas Entities. More imminently, we have the upcoming Budget on 6 March. There is growing speculation the chancellor may use this opportunity to extend stamp duty land tax reliefs on residential property. And don’t forget the government has still not finalised its plans for the SDLT treatment of mixed-use purchases and for multiple dwelling relief following the consultation that closed way back in February 2022. The Building Safety Act 2022 The roll-out of the 2022 Act continues apace. The transition from approved inspectors to registered building control approvers under the building regulations regime in England takes place on 6 April. Other aspects that may progress in the coming months include the Building Safety Levy (following recent consultations), the requirement for 15-year warranties for new homes and the operation of the New Homes Ombudsman. We can also expect to see plenty more 2022 Act cases as remediation orders, remediation contribution orders and building liability orders continue to be explored. Coming soon After several delays, the next wave of Charities Act 2022 changes is expected this month. This will include changes to the certificates and statements required in land transactions involving charities. Biodiversity net gain, the requirement for development to achieve at least a 10% increase in biodiversity, will extend to small sites from 2 April. This includes residential development of fewer than 10 dwellings and commercial developments creating less than 1,000 sq m of floorspace. This follows the introduction of BNG for major development on 12 February. The Income Tax (Construction Industry Scheme) (Amendment) Regulations 2024 are expected to be made in time to commence on 6 April. The current reverse premium exception will be replaced with new rules removing payments made by landlords to tenants from the CIS regime where the tenant is engaging a contractor to complete construction work on property occupied (or to be occupied) by the tenant. Beyond the horizon Developments to look out for in the longer term include: The consultation paper on business tenancies and the Landlord and Tenant Act 1954 has been delayed again. The Law Commission website says it is now expected in autumn 2024. The government having dropped the previous proposals to tighten up the Minimum Energy Efficiency Standard for domestic properties, we await the updated proposals and timelines for non-domestic MEES, as promised in the government’s response to the Climate Change Committee’s 2023 report. 7 March marks the anniversary of the Supreme Court hearing in Manchester Ship Canal Company Ltd v United Utilities Water Ltd [2022] EWCA Civ 852; [2022] EGLR 33, concerning whether MSCC can bring a private law claim in nuisance and/or trespass against United Utilities in respect of discharges from sewers into the Manchester Ship Canal. Supreme Court judgments usually take between three and nine months, but at the time of writing we still await a judgment date. Bill Chandler is a professional support lawyer at Hill Dickinson LLP Photo © Pexels/Kellie Churchman