From February 2005 long leaseholders in England will have improved protection and rights with the implementation of the next phase of provisions in the Commonhold and Leasehold Reform Act 2002.

Leaseholders will benefit from further protection against the threat of forfeiture, and will have to receive a written demand from their landlord for the payment of ground rent before it becomes payable.

Leaseholders of houses will be able to choose their own buildings insurance for the property rather than use an insurer nominated or approved by their landlord. Also the valuation date for the 'collective enfranchisement' of flats will be fixed at the date the initial notice is served. This avoids unnecessary arguments and removes the possibility of delaying tactics being used by either party to try and gain a windfall.

Housing Minister Keith Hill said the latest reforms would provide long awaited protection and certainty for leaseholders.

"They will prevent certain abuses from taking place, and will recognise the majority stake that a leaseholder normally has in their house by giving them the right to take out their own building insurance," he said.

The latest provisions will:

• Require landlords to demand ground rents in a specific manner before they are able to take any action or impose any penalties for late payment.
• Require landlords to first satisfy a leasehold valuation tribunal, court or arbitral tribunal that a disputed breach of a covenant or condition of the lease has occurred before they are able to take any forfeiture action.
• Prevent landlords from forfeiting leases as a result of trivial debts that consist of ground rent, service charges, administration charges (or a combination of them) where the debt does not exceed £350, unless all or any part of the sum has been outstanding for more than 3 years.
• Prevent landlords from insisting that leaseholders of houses use a particular insurance company nominated or approved by them to insure their house.
• Fix the valuation date for collective enfranchisement of flats at the date that the initial notice is served.