On Thursday 13th May 2021, the Commonhold Council was launched to advise the government on the implementation of a reformed commonhold regime.
The Council is formed of an advisory panel of leasehold groups and industry experts who will inform the government on the future of this type of homeownership. Currently, ARMA has not been appointed to serve as one of its members. Chaired by Building Safety Minister Lord Greenhalgh, and supported by a Technical Support Group, it will advise the government on the implementation of a reformed commonhold regime and bring forward solutions to prepare homeowners and the market for the widespread take up of commonhold for new supply of flats.
ARMA’s Response
Responding to the establishment of the Commonhold Council, Nigel Glen, CEO of ARMA, said: “The MHCLG has announced the composition of the Commonhold Council without ARMA’s inclusion. Although not in a hurry to sit on yet another committee, we do believe that in this case this is a serious oversight as the MHCLG will struggle to understand the practical management implications without input from managing agents, the only legal entity other than the Commonhold Association involved.
With over 60% of ARMA member blocks being RMC/RTM managed, we have considerable experience and knowledge of working with owner/occupier blocks and boards. “If Commonhold is to succeed it is vital that it works in its entirety, across contracts, legal aspects, maintenance charges, accounts, flat sales, flat rentals, alterations, managing agent staffing/organisation, commonhold association liaison and debt collection, to name just a few areas. This will prove challenging with no input from those who will be expected to deliver and could cause it to fail, which is in no one’s interest.”
