Leasehold and Freehold Reform Bill 2024 – The Church of England in Parliament

Leasehold and Freehold Reform Bill: Bishop of Southwell and Nottingham tables amendments on charity freeholds and deferment rates

On 24th May 2024, during the wash-up debate on the Leasehold and Freehold Reform Bill, the Bishop of Southwell and Nottingham tabled an amendment to the bill which “would give a charity freeholder the right to compensation for the loss of marriage or hope value,” and a further amendment relating to the setting of deferment rates:

The Lord Bishop of Southwell and Nottingham: 20: Schedule 4, page 164, line 15, at end insert—

“(3A) But in a case where the freeholder is a charity and the freehold interest was vested in that charity immediately before the passing of this Act, the freeholder is entitled to compensation for loss of marriage or hope value, with the amount of compensation being equal to the amount the freeholder would have received by way of marriage or hope value if assumption 2 had not been made.”Member’s explanatory statement

This amendment would give a charity freeholder the right to compensation for the loss of marriage or hope value.

My Lords, I will speak to both amendments in my name. I declare my interest as a beneficiary of the funds of the Church Commissioners, being in receipt of a stipend. I am also a leaseholder of a flat in Bristol.

Leasehold and Freehold Reform Bill: Bishop of Lincoln supports amendments on building and fire safety regulations

On 1st May 2024, the House of Lords debated amendments to the Leasehold and Freedom Reform Bill. On behalf of the Bishop of Manchester, the Bishop of Lincoln spoke in support of amendments tabled by Lord Young of Cookham, aimed at improving accountability of fire and building safety procedures and remediation:

The Lord Bishop of Lincoln: My Lords, I stand to support the amendments in the name of the noble Lord, Lord Young of Cookham. My right reverend friend the Bishop of Manchester has put his name to the amendments and regrets that he cannot be in his place today. As we have heard, the Building Safety Act 2022 contained welcome measures to address historic building safety defects, but the fact remains, as other noble Lords have noted, that it does not go nearly far enough. Seven years on from the Grenfell fire, only 21% of high-rise blocks have been fully remediated—and they are the ones that are eligible; there remain gaps in provision where leaseholders are disqualified for such arbitrary reasons as their block being 10.9 metres tall rather than, say, 11.1. The Act disqualifies huge numbers of people who are now trapped in potentially unsafe flats which they will struggle to sell. They might face very high bills through service charges and insurance premiums.

Leasehold and Freehold Reform Bill: Bishop of Manchester tables amendment on compensation for charities

On 24th April 2024, the House of Lords debated the Leasehold and Freehold Reform Bill in Committee. The Bishop of Manchester moved his amendment 28 to the bill, and made a speech in support of the amendment, which “would provide that, where the freeholder in the case of a lease extension or freehold enfranchisement is a charity which had owned the freehold interest since before the passing of the Bill, marriage and hope value are payable.”

The Lord Bishop of Manchester: My Lords, while I thoroughly enjoyed that previous group, I hope this one will not prove quite so wide-ranging. In tabling these amendments, my aim is to deal with an issue that in the charity world is specific to a small number of bodies but would severely impact the work that they do. First, I am a leaseholder myself, as it happens, as set out in the register of interests. I have been through the process of extending my lease; my flat is not in London, and it was quite a simple and cheap process. Secondly, although I am no longer on the board of governors of the Church Commissioners, it is the body that pays my stipend, owns my home and covers my working expenses, so I declare that interest too.

The commissioners are directly affected by the proposals in the Bill. They would indeed benefit from my amendments but, as has already been mentioned by the noble Lord, Lord Truscott, in the previous group, that charity is large enough to withstand the adverse impact. Smaller charities would struggle much harder to maintain their work, and it is their case I seek to plead today.

Leasehold and Freehold Reform Bill: Bishop of Derby opposes clause affecting estate areas

During a debate on the Leasehold and Freehold Reform Bill on 22nd April 2024, the Bishop of Derby, on behalf of the Bishop of Manchester, spoke in opposition to clause 28 standing part of the bill, as it would have adverse affects on great estate areas such as the Hyde Park Estate:

The Lord Bishop of Derby: My Lords, I will speak in support of my right reverend friend the Bishop of Manchester, who is unable to be in his place today and who has asked me to speak to his opposition that Clause 28 stand part of the Bill. This is linked to a similar stand-part debate, in the name of my right reverend friend, relating to Clause 47, to be debated later in Committee.

I declare my interest as a beneficiary, as is my diocese, of the Church Commissioners. I thank the Minister for her engagement with the charities affected by the legislation so far: the Church Commissioners, John Lyon’s Charity, Portal Trust, Campden Charities, Merchant Taylors’ Boone’s Charity, Dulwich Estate and the London Diocesan Fund. I hope she will continue to engage with my right reverend friend to find an amicable solution.

Leasehold and Freehold Reform Bill: Bishop of Manchester expresses concerns over changes to charity financing

On 27th March 2024, the Bishop of Manchester spoke at the second reading of the Leasehold and Freehold Reform Bill, welcoming the legislation whilst expressing concern over its impact on those freeholders that are charities:

The Lord Bishop of Manchester: My Lords, I begin by declaring my interests. I am no longer a church commissioner, as my time finished at the end of last year, but I am paid and—if the Lord spares me—will be pensioned by the Church Commissioners in due course. The commissioners are freeholders, not least of the Hyde Park Estate, which has been in continuous Church ownership and care since around the 11th century, when it belonged to the monks of Westminster Abbey. I guess, if I am going to echo a word that we have used several times today, that makes it genuinely feudal. I also own one leasehold flat in the West Midlands, as set out in the Members’ register.

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