The marriage value abolished reform could significantly reduce the cost of extending short leases or buying a freehold in England and Wales. The Leasehold and Freehold Reform Act 2024 provides for marriage value to be removed from statutory calculations, particularly benefiting some leaseholders with 80 years or less remaining. However, as of September 2026, the abolition is not yet in force, so existing marriage value rules still apply.
What Is Marriage Value in a Lease Extension?
Marriage value is the additional property value created when the leaseholder’s and freeholder’s interests are effectively brought together through a statutory lease extension or freehold acquisition.
Under the existing statutory lease-extension framework, marriage value becomes particularly important when a lease has 80 years or fewer left to run. Part of the increase in value resulting from the transaction can form part of the premium payable to the freeholder.
Consider a simplified hypothetical example. Suppose a flat with a short lease is worth £300,000 before extension, while its value with a sufficiently long lease would be £350,000. That £50,000 difference should not simply be treated as the marriage-value bill because a formal valuation also accounts for the freeholder’s existing interests and other components. The example nevertheless demonstrates why shortening leases can make extensions increasingly expensive.
The 80-year point therefore matters. Under the current framework, marriage value is effectively treated as nil when the lease has more than 80 years remaining. Once the lease reaches 80 years or below, it can become part of the statutory premium.
Has Marriage Value Been Abolished?
Marriage value has been abolished in the Leasehold and Freehold Reform Act 2024, but the abolition is not yet operational as of September 2026.
The Act establishes a revised statutory valuation method under which marriage value will not form part of the amount a qualifying leaseholder pays when exercising relevant enfranchisement rights. The legislation’s explanatory notes state that the valuation assumptions ensure marriage value and hope value do not form part of the price.
The government describes marriage value as the additional value released when interests, normally those of the leaseholder and freeholder, are combined. Its September 2026 guidance confirms that, once the new rules are in force, leaseholders will no longer have to pay marriage value when exercising applicable enfranchisement rights.
That distinction matters for anyone searching for a lease extension today. The passage of the Act does not mean a leaseholder can currently demand a statutory valuation calculated without marriage value.
| Issue | Current position | Position when relevant LFRA 2024 reforms commence |
| Marriage value | Can apply at 80 years or below | Removed from the new calculation |
| 80-year threshold | Financially significant for marriage value | Marriage value will no longer be triggered by it |
| Statutory lease extension | Existing rules continue to apply | New framework includes a 990-year extension |
| Valuation | Existing statutory methodology | New Standard Valuation Method |
| Ground rent treatment in valuation | Existing rules | Relevant ground rent capped at 0.1% of freehold value |
| Implementation | Current system remains relevant | Requires commencement of the reforms |
The practical message is simple: marriage value is legislated to disappear, but leaseholders should not assume it has disappeared from a valuation being undertaken today.
When Will Marriage Value Be Abolished in Practice?
There is not yet a final commencement date for the marriage-value provisions.
The government has explained that a small number of flaws in the Leasehold and Freehold Reform Act 2024 must be corrected through primary legislation before the new enfranchisement provisions can commence. Those corrections are intended to be addressed through further commonhold and leasehold legislation.
Another important part of implementation is the setting of capitalisation and deferment rates. These rates influence the term and reversion components of an enfranchisement valuation. The Secretary of State has powers to prescribe them under the new system.
In September 2026, the government is consulting on these valuation rates. The consultation closes on 23 September 2026, after which rates will need to be established through secondary legislation. The House of Commons Library reports that implementation of relevant reforms is expected as soon as possible from 2027, although this should not be interpreted as a guaranteed commencement date for every provision.
Leaseholders should therefore distinguish between three stages:
- Parliament passed the Leasehold and Freehold Reform Act 2024.
- The Act contains the framework that removes marriage value.
- The relevant valuation provisions still need to be brought into force before leaseholders receive that benefit in statutory claims.
Until that third stage occurs, the existing valuation rules remain highly relevant.
Why Abolishing Marriage Value Could Reduce Lease Extension Costs
The greatest potential benefit is for qualifying leaseholders with 80 years or fewer remaining, because those are the leases for which marriage value currently creates an additional valuation component.
Imagine two otherwise similar flats, one with 82 years remaining and another with 78 years. Under the existing statutory framework, marriage value would not be payable for the 82-year lease but may form part of the premium for the 78-year lease. Once the new system becomes operational, the requirement to pay marriage value will be removed.
The saving will not be identical for every property. Property value, remaining lease length, ground rent terms and the applicable valuation assumptions all influence the overall premium.
A lease extension also will not become free simply because marriage value disappears.
Under the Standard Valuation Method, other elements remain relevant. These include the value of the landlord’s lost ground-rent income, known as term value, and the present value of the landlord’s right to recover possession in the future, known as reversion value. The prescribed capitalisation and deferment rates will affect those calculations.
Consequently, a statement such as “abolishing marriage value will halve every lease extension premium” would be misleading. Some short-lease owners could receive significant savings, while the effect on others may be smaller.
What Else Changes Under the New Leasehold Valuation Rules?
Marriage value is only one part of the wider enfranchisement reforms.
The Leasehold and Freehold Reform Act 2024 provides for statutory lease extensions of 990 years at a peppercorn ground rent for houses and flats. For flats, this represents a major increase from the additional 90-year statutory extension available under the existing system.
The new valuation method will also cap the ground rent taken into account for valuation purposes where it exceeds 0.1% of the freehold value. This could reduce premiums for leases containing high or escalating ground rents.
Process costs are also being reformed. The intended system generally requires each side to meet its own process costs, subject to exceptions, rather than making leaseholders responsible for certain freeholder costs as under the existing framework.
Together, these reforms are intended to make statutory enfranchisement more predictable and, for many leaseholders, less expensive.
Should You Wait for Marriage Value to Be Abolished Before Extending a Lease?
There is no universal answer.
A leaseholder with a very short lease could potentially save money by waiting until the new valuation regime is operational, particularly if marriage value represents a substantial part of the current estimated premium. Waiting, however, introduces uncertainty.
A lease continues getting shorter while the owner waits. A short lease may also affect saleability, mortgage availability and the price a prospective buyer is willing to pay. Personal circumstances can therefore matter as much as the expected reform.
A useful decision framework is:
| Situation | Main consideration |
| Lease comfortably above 80 years | Marriage value is not currently the immediate issue |
| Lease approaching 80 years | Timing requires careful professional assessment |
| Lease already below 80 years | Potential saving from reform may be more significant |
| Property needs to be sold soon | Waiting could complicate the transaction |
| Remortgage is required | Check the lender’s lease-length requirements |
| Lease is extremely short | Obtain specialist valuation and legal advice before delaying |
For example, an owner planning to remain in a property for many years has different constraints from someone who needs to sell within six months. The first may have more flexibility to monitor implementation. The second may find that waiting for an uncertain commencement date creates a bigger practical problem than the potential saving.
The sensible approach is to obtain a current statutory lease-extension valuation and compare it with the potential consequences of delaying. A solicitor or surveyor specialising in leasehold enfranchisement can advise on the specific lease rather than relying on broad estimates.
Does the 80-Year Rule Still Matter?
For the moment, yes.
The 80-year threshold remains relevant while the existing statutory valuation system applies. Leaseholders should not treat it as obsolete merely because legislation has been passed that will eventually remove marriage value.
Once the new valuation provisions commence, marriage value will no longer become payable simply because the remaining lease term has reached 80 years. That removes one of the most consequential features of the current statutory valuation framework.
The remaining term will not become irrelevant, however. A lease’s length can still influence other aspects of its value and the enfranchisement calculation. Abolishing marriage value eliminates a specific cost component rather than eliminating the economic difference between short and long leases altogether.
How the New Valuation System Will Work
The Leasehold and Freehold Reform Act introduces a Standard Valuation Method for calculating the premium for relevant statutory lease extensions and freehold acquisitions.
Two concepts remain particularly important.
Term value represents the present value of ground rent the landlord would otherwise receive during the remaining lease term. The capitalisation rate is used in calculating that value.
Reversion value represents the present value of the landlord’s future right to recover the property. The deferment rate is used to convert that future interest into a present-day figure.
Marriage value is excluded from the new method. The government also intends prescribed valuation rates to make calculations more consistent and give leaseholders and freeholders a clearer idea of potential costs at the outset.
This explains why the eventual cost of a lease extension cannot be predicted solely by removing marriage value from an old estimate. The final prescribed rates can materially affect other parts of the calculation.
What Leaseholders Can Do Now
Leaseholders do not necessarily need to take immediate action simply because reforms are approaching, but they should establish their current position.
Check the exact unexpired lease term, rather than relying on an approximate number of years. Review the ground-rent provisions and obtain an indication of the property’s value. If the lease is near or below 80 years, specialist valuation advice can show how much marriage value may currently contribute to the premium.
Leaseholders should also follow official implementation announcements rather than assuming that a newspaper report or the passage of the 2024 Act means the new valuation rules are already operational.
Anyone facing an immediate sale, remortgage, inheritance issue or particularly short lease may benefit from professional advice before choosing to delay a claim. This article provides general information about the reforms, not property-specific legal or valuation advice.
FAQs About Marriage Value Being Abolished
Is marriage value abolished now?
Not operationally. The Leasehold and Freehold Reform Act 2024 provides for its removal, but as of September 2026 the relevant enfranchisement valuation provisions have not yet been commenced.
When does marriage value apply under the current rules?
Marriage value is relevant to statutory enfranchisement valuations where a lease has 80 years or fewer remaining. It is treated as nil where more than 80 years remain.
Will lease extensions be free after marriage value is abolished?
No. Removing marriage value eliminates one component of the calculation. Term value, reversion value and other applicable elements can still contribute to the premium.
Will the 80-year rule disappear?
Its specific significance as the threshold for marriage value will disappear under the new valuation method once the relevant provisions are operational. Lease length itself can still affect property and leasehold valuation.
How long will new statutory lease extensions be?
The Leasehold and Freehold Reform Act 2024 provides for qualifying leaseholders of houses and flats to obtain a 990-year statutory lease extension at a peppercorn ground rent once the relevant provisions are in force.
Should I extend my lease now or wait for the new rules?
That depends on the remaining term, current premium, marriage-value exposure, plans to sell or remortgage, and how much uncertainty you can accept regarding implementation. Leaseholders with short leases should consider obtaining specialist legal and valuation advice before deciding.
Conclusion
The headline that marriage value has been abolished needs one important qualification. Parliament has legislated for its removal through the Leasehold and Freehold Reform Act 2024, but the new valuation provisions are not yet in force as of September 2026.
Once implemented, the reform should be particularly important for qualifying leaseholders with 80 years or fewer remaining because marriage value will no longer form part of the statutory enfranchisement price. The wider package also provides for 990-year lease extensions, a cap on the treatment of ground rent in valuation calculations and a new Standard Valuation Method.
For leaseholders deciding whether to extend now or wait, the key question is not simply whether marriage value has legally been targeted for abolition. It is whether the new rules are operational before they need to sell, remortgage or extend. Until commencement, decisions should be based on the rules actually in force and the circumstances of the individual lease.
