HL Deb 18 July 1988 vol 499 c1055

2.43 p.m.

Lord Jacques asked Her Majesty's Government:

Whether, following the report of the working group in July 1987, they will introduce legislation on the subject of freehold ownership of flats and other interdependent buildings.

The Lord Chancellor (Lord Mackay of Clashfern)

My Lords, as I said in a Written Answer to my noble friend Lord Swinton on 8th June 1988 (Official Report, Vol. 497, col. 1486), the Government have arranged for legislation to be prepared at the Law Commission giving effect to an integrated scheme comprising the proposals set out in the group's report and the remainder of the proposals in the Law Commission's report on land obligations, The Law of Positive and Restrictive Covenants. I understand the work is now in hand.

Lord Jacques

My Lords, I thank the noble and learned Lord for his reply. Perhaps I may put to him two supplementary questions. First, the working party declined to state any view on the subject of compulsion. Have the Government a view on the subject? Secondly, when can we expect the legislation?

The Lord Chancellor

My Lords, my answer to the noble Lord's second supplementary question is, as soon as parliamentary time is available. So far as concerns the first question, as he rightly said, the report left the question of compulsion open. At the moment legislation is being prepared but no final decision has yet been taken as to whether, and to what extent, there should be an element of compulsion. The noble Lord will know that other countries successfully operate condominium schemes without compulsion. The question of compulsion remains under consideration.

Baroness Llewelyn-Davies of Hastoe

My Lords, can the noble and learned Lord confirm that under the terms of the Landlord and Tenant Act 1987 the landlord is obliged to give the tenants the right of first refusal or first option if he decides to sell the freehold?

The Lord Chancellor

My Lords, I think that that is so, but I am speaking from memory. I have not had an opportunity to check it. I believe that that is probably right.

Lord Jacques

My Lords, can we expect such compulsion where a negligent landlord is not carrying out his obligations? Will the would-be freeholders be able to seek compulsory purchase?

The Lord Chancellor

My Lords, that is a situation which I should certainly wish to bear in mind in considering whether we should have compulsion and, if so, to what extent.