As regular readers will know, each month I provide practical updates on the evolving landscape for landlords, agents and investors. Following last month’s focus on the Renters’ Rights Act 2025 and its upcoming core changes, this article turns to leasehold reform under the Leasehold and Freehold Reform Act 2024 (LAFRA), looking ahead to what we can realistically expect in 2026.

With the bulk of LAFRA’s most transformative provisions still awaiting commencement, alongside ongoing consultations and the prospect of further legislation, 2026 is shaping up to be a pivotal year for leasehold investors. However, as I’ll explain, timelines remain uncertain, making careful planning essential.

Where We Are Now – A Quick Recap
LAFRA received Royal Assent in May 2024, but implementation has been deliberately phased. Key changes already in force include:

• Removal of the two-year ownership requirement for lease extensions and enfranchisement (from 31 January 2025).
• Expanded Right to Manage access, including raising the non-residential limit to 50%, alongside reformed cost rules (from March 2025).

These changes have already driven increased leaseholder activity. However, the most substantial reforms – particularly those affecting valuations, service charges and so-called ‘fleecehold’ estates – remain dependent on secondary legislation and consultations. Progress has been slower than many expected, with only a limited number of provisions activated to date.