The English Devolution and Community Empowerment Act 2026

The English Devolution and Community Empowerment Act 2026 (“Act”) received Royal Assent on 29 April 2026. Among its most significant commercial property reforms is the proposed prohibition on upwards-only rent reviews (“UORRs”) in business leases.

Although the relevant provisions are not yet in force, the direction of travel is now clear.

The legislation represents a substantial shift in business tenancies practice and may rapidly begin to influence negotiations, valuation assumptions and asset management decisions.

One immediate consequence is that landlords with pending rent reviews under existing leases are likely to rush their conclusion before the ban crystallises.

Buying Your Freehold or Extending Your Lease

The Government has recently reconfirmed its proposal to implement reforms around Lease extension and freehold enfranchisement in the current term of Parliament.

Increases to ATED Charges Announced for 2026–27

The Annual Tax on Enveloped Dwellings (‘ATED’) is a yearly tax mainly payable by non-natural persons (i.e. companies) that own UK residential property valued at over £500,000.

The government has issued the Annual Tax on Enveloped Dwellings (Indexation of Annual Chargeable Amounts) Order 2026 (SI 2026/156), which updates the annual ATED charges for periods beginning on or after 1 April 2026. The Order came into force on 24 February 2026 and fulfils the statutory requirement in s.101(5) Finance Act 2013 to uprate the annual charges in line with inflation.