---
title: "Leasehold Fee Caps and Agent Licensing: What the Government's Announcement Means for Your Building"
url: https://manage.management/blog/leasehold-fee-caps-and-agent-licensing-what-the-governments-announcement-means-for-your-building
description: "The 29 September 2026 announcement on leasehold permission fee caps and managing agent licensing: what is decided, what is not, and what to do now."
author: "Franklin Baeza"
published: 2026-09-30T14:19:00.000Z
updated: 2026-10-29T12:26:59Z
categories: ["Leasehold Reform","Housing Policy"]
publisher: Manage.Management
language: en-GB
---

# Leasehold Fee Caps and Agent Licensing: What the Government's Announcement Means for Your Building

The 29 September 2026 announcement on leasehold permission fee caps and managing agent licensing: what is decided, what is not, and what to do now.

Leaseholders have been paying for permission to live in their own homes for decades. A fee to keep a cat. A fee to change a front door. A fee to be told, in writing, that the fire risk assessment exists. On 29 September 2026 the government said it would put a ceiling on those charges and, for the first time, license the people who manage our buildings ([GOV.UK](https://www.gov.uk/government/news/government-goes-further-to-protect-leaseholders)).

## Key takeaways

- On 29 September 2026 the government announced caps on permission and administration fees.
- It also confirmed plans to license property agents.
- Details, including fee levels and start dates, are still to be set.
- Directors should start logging permission requests and fees now.

Housing Secretary Angela Rayner made the announcement at Labour's annual conference, citing leaseholders charged £250 for permission to own a pet and £400 to change their front door ([BBC News](https://www.bbc.co.uk/news/articles/cjr4vgnq71kpo)). Later the same day, in his first conference speech as Prime Minister, Andy Burnham pledged to introduce a Bill before Christmas for "long overdue" leasehold reform, telling leaseholders that "the days of you being squeezed for every penny are coming to an end" ([PA via Oxford Mail](https://www.oxfordmail.co.uk/news/national/26591587.key-points-andy-burnhams-first-labour-leader-conference-speech/)).

This article sets out what was actually announced, what has not been decided yet, and what resident directors and managing agents should do now.

> **This article is general information, not legal advice. Nothing announced on 29 September is law yet. Your lease, your building and future legislation will determine what applies to you.**

## What Was Announced

There are two separate measures, and they are worth keeping apart.

**1. Powers to cap permission and administration fees.** The government will legislate to give the Secretary of State powers to cap fees that landlords charge for permission to do simple things, such as keeping a pet, and for administrative tasks, such as providing documents like building safety certificates or being notified of a change in mortgage provider. The powers will also cover privately managed estates, where freehold homeowners can face similar charges for minor cosmetic changes ([GOV.UK](https://www.gov.uk/government/news/government-goes-further-to-protect-leaseholders)).

**2. Independent regulation of property agents.** For the first time, property agents will be independently regulated. The regulator will be able to set codes of practice covering standards of conduct and complaint handling. Agents will need a licence and appropriate qualifications, and the regulator will be able to take licences away from those who fall below the required standards ([GOV.UK](https://www.gov.uk/government/news/government-goes-further-to-protect-leaseholders)). The BBC reports the regime is intended to cover estate agents, managing agents and estate managers ([BBC News](https://www.bbc.co.uk/news/articles/cjr4vgnq71kpo)).

## What Has Not Been Decided Yet

This is a statement of intent, not a statute. Three things are still open:

- **Which fees are capped, and at what level.** A public consultation will be launched on the scope of what should be capped and the amount for each item ([GOV.UK](https://www.gov.uk/government/news/government-goes-further-to-protect-leaseholders)). No figures have been published ([Reuters](https://www.reuters.com/world/uk/uk-government-cap-leasehold-fees-regulate-property-agents-2026-09-29/)).
- **When any of it starts.** The government says it will bring the changes forward "as soon as possible" and set out more information in due course ([GOV.UK](https://www.gov.uk/government/news/government-goes-further-to-protect-leaseholders)). There is no commencement date for the caps or the regulator.
- **Which Bill carries it.** Burnham has promised a leasehold reform Bill before Christmas that would put curbs on charges for homes ([The Guardian](https://www.theguardian.com/politics/2026/sep/29/andy-burnham-vows-long-term-relationship-eu-labour-conference-speech)), but neither its formal title nor whether the fee caps and regulator will sit in it has been confirmed. Separately, the BBC reports the £250 ground rent cap is still expected to come into force in late 2028, with MPs pushing for late 2027 ([BBC News](https://www.bbc.co.uk/news/articles/cjr4vgnq71kpo)).

We are tracking each step on the [commonhold.property Bill Tracker](https://commonhold.property/#tracker).

## Why Regulation of Managing Agents Matters

Today, almost anyone can set up as a managing agent in England. Professional bodies such as RICS and ARMA set standards for their members, but membership is voluntary.

The blueprint for change has existed since 2019, when the Regulation of Property Agents (RoPA) working group, chaired by Lord Richard Best, recommended licensing for all residential agencies, a fit and proper person test for directors, minimum qualifications, and a single regulator overseeing a mandatory Code of Practice ([Propertymark](https://www.propertymark.co.uk/professional-standards/uk-regulation/ropa.html)). Seven years later, the government has committed to legislating for the core of that model.

Only eleven days before the announcement, Lord Richard Best welcomed a new industry report backing regulation, saying it "will be of immense help to government as it takes forward the much-needed regulatory agenda" ([NRLA, 18 September 2026](https://www.nrla.org.uk/news/tlic-calls-for-better-regulation-of-lettings-market)). The government has now committed to that agenda.

For leaseholders and resident directors, a licensing regime means there will eventually be a floor: a minimum standard of conduct, a proper complaints route, and a real sanction when an agent fails. For good agents, it removes the competitive advantage currently enjoyed by those who cut corners.

## What This Means for Leaseholders

- **Keep records of every permission and admin fee you pay.** Invoices for licences to alter, pet consents, notices of assignment or charge, and document packs will be useful evidence when the consultation opens.
- **Ask what a fee is for.** Administration charges already have to be reasonable under existing law, and you can challenge them at the First-tier Tribunal. The new caps would add a hard ceiling on top.
- **Respond to the consultation.** The level of each cap will be set through it. Real examples of what people have been charged carry weight.

## What This Means for RTM and RMC Directors

If your building is resident-controlled, you may be both the payer and the recipient of these fees. Now is a good time to:

- **Audit your own schedule of charges.** List every permission and administration fee your company, or your agent on your behalf, currently charges, and ask whether each one reflects real cost.
- **Review your management agreement.** Check which fees the agent keeps, which pass to the company, and how they are disclosed to leaseholders.
- **Ask your agent about qualifications and complaints handling.** Licensing is coming. An agent who already meets a recognised professional standard and has a documented complaints procedure is lower risk.

## What This Means for Managing Agents

Agents who already operate transparently have little to fear and a lot to gain. The practical steps are the same ones good firms are already taking: publish a clear fee schedule, evidence the cost behind each administrative charge, log and time-stamp complaints, and make key building documents such as fire risk assessments and insurance certificates available without a fee-for-access process.

The direction of travel is unambiguous. Between the service charge transparency reforms, the ground rent cap and now fee caps and licensing, the business model of charging for friction is being legislated away. The firms that win will be the ones that compete on service.

## How Manage.Management Helps

Manage.Management is built for exactly this shift. Leaseholders get a clear view of what they are paying and why. Directors get a single place for documents, decisions and compliance. Managing agents get tools to evidence good practice rather than bill for paperwork. Building documents live in one shared space, so nobody should have to pay to see a safety certificate for their own building.

## Frequently asked questions

### Are permission fees capped from today?

No. The Prime Minister has promised a leasehold reform Bill before Christmas, but the government still has to legislate to create the power to cap them, then consult on the scope and amounts. Nothing changes until that legislation is passed and regulations are made.

### Does this apply to freehold houses on private estates?

The government says the powers will also cover privately managed estates, where homeowners can face similar charges for minor cosmetic changes ([GOV.UK](https://www.gov.uk/government/news/government-goes-further-to-protect-leaseholders)).

### Will my managing agent need a licence?

That is the stated intention. Property agents will be required to obtain a licence and appropriate qualifications, and the regulator could remove a licence for falling below the required standards ([GOV.UK](https://www.gov.uk/government/news/government-goes-further-to-protect-leaseholders)). The timetable has not been published.

### Can I challenge an unreasonable admin fee now?

Yes. Existing law already requires variable administration charges to be reasonable, and you can apply to the First-tier Tribunal (Property Chamber). Take advice on your specific lease first.

Last reviewed: 29 October 2026 by Franklin Baeza, Manage.Management. This article is general information for England and Wales, not legal advice. Check the current position with a qualified adviser before acting.

---

Source: [Leasehold Fee Caps and Agent Licensing: What the Government's Announcement Means for Your Building](https://manage.management/blog/leasehold-fee-caps-and-agent-licensing-what-the-governments-announcement-means-for-your-building) on the Manage.Management blog.