Amendments to the Building Safety Act introduced through the Leasehold and Freehold Reform Act 2024
Publication details: Ministry of Housing, Communities and Local Government 24 July 2024Subject(s): Online resources: Summary: Amendments to the Building Safety Act 2022 were enacted through the Leasehold and Freehold Reform Act 2024 on 24 May 2024. The measures come into force automatically on 24 July 2024 and make a number of changes: Section 117 of the Leasehold and Freehold Reform Act 2024 will mean residents in a Right to Manage (RTM)/Resident Management (RMC) company who run their own buildings can apply for a Remediation Contribution Order and split the costs among a wider group of leaseholders (where the lease allows) by permitting these to be passed on via the service charge. Section 118 of the Leasehold and Freehold Reform Act 2024 resolves a conflict between Insolvency Law and section 125 of the Building Safety Act, which would have allowed amounts recovered through the courts for remediation costs under the Building Safety Act to be distributed to creditors in the first instance The insolvency of an accountable person can have implications for the safe management of a building which is subject to the Building Safety Act regime. The new section 125A of the Building Safety Act (as amended by section 119 of the Leasehold and Freehold Reform Act 2024) puts a duty on Insolvency Practitioners who are appointed to the insolvency of the owner of leaseholder of a residential building, which is at least 5 storeys/11m+ high, to notify local regulators (local authorities and fire and rescue services).| Item type | Current library | Collection | Call number | Status | Date due | Barcode | |
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Amendments to the Building Safety Act 2022 were enacted through the Leasehold and Freehold Reform Act 2024 on 24 May 2024. The measures come into force automatically on 24 July 2024 and make a number of changes:
Section 117 of the Leasehold and Freehold Reform Act 2024 will mean residents in a Right to Manage (RTM)/Resident Management (RMC) company who run their own buildings can apply for a Remediation Contribution Order and split the costs among a wider group of leaseholders (where the lease allows) by permitting these to be passed on via the service charge.
Section 118 of the Leasehold and Freehold Reform Act 2024 resolves a conflict between Insolvency Law and section 125 of the Building Safety Act, which would have allowed amounts recovered through the courts for remediation costs under the Building Safety Act to be distributed to creditors in the first instance
The insolvency of an accountable person can have implications for the safe management of a building which is subject to the Building Safety Act regime. The new section 125A of the Building Safety Act (as amended by section 119 of the Leasehold and Freehold Reform Act 2024) puts a duty on Insolvency Practitioners who are appointed to the insolvency of the owner of leaseholder of a residential building, which is at least 5 storeys/11m+ high, to notify local regulators (local authorities and fire and rescue services).