6
JAMES AND OTHERS v. THE UNITED KINGDOM JUGDMENT
15. From about 1880 onwards, demands began to be made for "leasehold
enfranchisement", that is the right for tenants to purchase compulsorily the
freehold of their holdings. Between 1884 and 1929, a number of
unsuccessful Bills to grant some measure of leasehold enfranchisement
were introduced into Parliament.
16. Demand for reform of the law revived soon after the Second World
War and in 1948 a Committee (the Leasehold Committee) was appointed by
the Lord Chancellor to consider various aspects of the leasehold question.
In their report, presented to Parliament in 1950 (Command Paper Cmd
7982), the majority of the Committee came out against giving tenants a right
of enfranchisement. They concluded that there were both general objections
of principle and practical obstacles to such a course of action. They further
believed that "leasehold enfranchisement ... would not be in the public
interest" (paragraph 100). They did, however, recommend that occupying
tenants of houses under a certain rateable value should have security of
tenure under the Rent Acts.
The minority report of the Committee drew attention to the strong and
bitter sense of injustice felt by long leaseholders in the case of building
leases and recommended that certain occupying tenants should have a right
of leasehold enfranchisement by compulsory purchase.
The Labour Government of the day did not have time to put forward any
permanent legislation following the Leasehold Committee’s report. The
Conservative Government elected in 1951 accepted the majority view of the
Committee, and its recommendations were enacted in the Landlord and
Tenant Act 1954 ("the 1954 Act"). In broad terms, the effect of this Act was
- and still is - that on the expiry of a long residential lease the tenant should
have the right to continue occupying the house as a sitting tenant under the
Rent Acts, paying a "fair rent" as defined in those Acts and enjoying the
security of tenure afforded by the ordinary rent legislation. This privilege is
transferable on death to other members of the tenant’s family residing in the
property.
17. Public discussion of the matter continued. In 1961, claims were made
in Parliament that leaseholders were being subjected to hardship as a result
of the onerous terms which landlords were asking for the sale of reversions
or for the extension or renewal of existing leases. Enquiries were made by
the Government who invited the bodies representing professions most
experienced in the field (solicitors, surveyors, auctioneers, estate and
property agents) to report on the practice of ground landlords in this respect.
In July 1962, a White Paper was published presenting a summary of their
assessments (Residential Leasehold Property - Command Paper Cmnd
1789). In general, the professional bodies appeared to find that the existing
system worked adequately, although there was widespread dissatisfaction
among tenants as to the limited nature of the interest they held.