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For leaseholders thinking of letting

You want to rent out your flat. Get this wrong and you could be stuck.

Paying the mortgage. In breach of your lease. Unable to remove your tenant. Since the Renters' Rights Act abolished no-fault eviction, the order you do things in matters more than it ever used to. Four checks, in the right sequence, before you sign.

See which one you are → Check your lease free

Built at Hafer Road by leaseholders who lived this. A solicitor's letter on subletting typically costs £250-£500; your first LEASE-iQ question is on the house. Information only, not legal advice - always take professional advice before acting.

The trap Which are you? Before you let Already let Buying with tenant Directors
Start here

The trap most leaseholders only spot after they are in it

You rent out your flat. Something goes wrong. You try to get your tenant out, and discover you never had proper consent to sublet in the first place. Now three things happen at the same time.

1
Your freeholder can come after you.

Subletting without the consent your lease requires is a breach of covenant. Fees, demands, s.146 noticesSection 146 of the Law of Property Act 1925. The statutory pre-cursor to forfeiture. Before a landlord can forfeit a long residential lease for breach (other than non-payment of rent), they must serve a s.146 notice specifying the breach and usually requiring remedy. For long residential leases the breach must first be admitted by the leaseholder or determined by the First-tier Tribunal under s.168 of CLRA 2002. legislation.gov.uk, and in rare cases forfeiture proceedings all become live.

2
You cannot cleanly remove your tenant.

The Renters' Rights ActThe Renters' Rights Act abolishes Section 21 "no-fault" evictions and reforms Section 8 possession grounds under the Housing Act 1988. Landlords can no longer evict simply by giving two months' notice: they must rely on specific statutory grounds, most of which require the landlord's own position to be clean. abolishes Section 21 "no-fault" evictions and tightens the Section 8 grounds. If you are in breach of your own lease, several possession routes get harder. Some may not be available at all.

3
Meanwhile, you keep paying.

Mortgage. Service charge. Ground rent. Legal fees. The costs stack up fast while you wait for the system to move. That is the "jam in the sandwich" position, and it is almost entirely preventable.

The good news: none of this is unavoidable. It comes down to one document. Your lease. Read the right clauses, do the paperwork in the right order, and the trap never closes.

Which one are you?

Four situations. Pick yours.

The advice is different depending on where you are. Jump straight to the bit that matches.

🔑
I am thinking about letting
Before signing any tenant. Get the lease and the consent right first.
Go to Before you let →
⚠️
I have already let without consent
Damage limitation. Retrospective consent is possible. Act early, not late.
Go to Already let →
🏠
I am buying a flat with a sitting tenant
You may be inheriting an unauthorised sublet. Check before you exchange.
Go to Buying with tenant →
🏛️
I am a director seeing a sublet
An unauthorised let in your building is a compliance issue, not a neighbour spat.
Go to Directors →
Two ways to find out

Check your lease for free. Or ask LEASE-iQ.

Both routes start with the same document. Your lease. The free route takes longer and you do the reading. The paid route cites the clauses for you in under a minute.

Free. Do it yourself.

Check your lease

Open the PDF or printed copy of your lease. Use the search (Ctrl+F or Cmd+F) for these terms. Click each to see what it means in plain English.

"underlet" or "underletting"

The legal word for creating a tenancy under your own lease. If this appears with "not without consent" attached, you need the freeholder's written permission before you can let.

"sublet" or "subletting"

Same thing as underletting - different leases use different words. Look for it anywhere near "consent", "condition", or "notice".

"part with possession"

A wider catch-all that can cover any arrangement where someone else occupies your flat. It includes letting, lodgers, and arguably Airbnb. If this is prohibited absolutely, you have less room than you might think.

"assign" or "assignment"

Transferring the whole lease to someone else (selling it on). Different from subletting but often sits in the same clause - check whether the rules are the same or different for each.

"consent"

The crucial word. "Consent not to be unreasonably withheld" is your friend - the freeholder has to give good reasons to say no. "Sole and absolute discretion" is the opposite - they can refuse for any reason, or none.

"short-term" or "holiday let" or "Airbnb"

Modern leases often ban these outright even where longer lets are allowed. Older leases won't mention them by name but may catch them under "part with possession" or "business use".

"notify" or "notice of underletting"

A separate post-letting obligation most people miss. Often 21 or 28 days after the tenancy starts, sometimes with a notice fee. Missing this is its own breach, even if consent was granted.

You are looking for three things: whether consent is needed, whether conditions are attached, and whether notification is required after the letting starts.

Paid. First question free.

Ask LEASE-iQ

Upload your lease. Ask in plain English. LEASE-iQ quotes the clauses back to you with paragraph numbers so you can check the source yourself.

"Does my lease allow subletting? If consent is required, what conditions apply, and do I need to give notice after letting starts?"
Try LEASE-iQ free →

First question is on the house. No card required.

The clauses to look for

Four clauses decide whether you can let your flat. And how.

Your lease will usually contain some combination of these. Find them first. Everything else follows.

📋

The consent clause

Your lease will do one of four things: ban subletting outright, require written consent, allow consent that cannot be unreasonably withheld, or let you sublet on notification only. The wording matters. "Sole and absolute discretion" is a different animal from "consent not to be unreasonably withheld". Read carefully.

🔑

Conditions on consent

Many leases allow subletting only if you give references, limit the term, or require your tenancy agreement to mirror the head lease covenants. Ignoring these conditions can render a granted consent invalid.

📩

The post-letting notice

Many leases also require you to formally notify the freeholder within a set window after the tenancy starts, often 21 or 28 days, sometimes with a modest fee. This is separate from consent. Missing it is itself a breach, even where the let was otherwise permitted.

🏠

Short-term / holiday let clauses

Even if your lease allows subletting, short-term lets (Airbnb, booking.com) are often separately restricted. In London, planning rules also limit short-term lets to 90 nights a yearGreater London Council (General Powers) Act 1973. Properties used beyond 90 nights per calendar year require planning permission from the local council. without planning permission.

Before you let

Four steps. In this order. Skip any one of them and you are exposed.

Do these before you sign a tenant. Not after. The order matters because each step depends on the previous one.

1

1. Does your lease allow subletting at all?

Your lease will contain covenants about subletting, assignment, and parting with possession. The wording determines whether you need consent, whether it can be reasonably withheld, and what conditions apply. Upload your lease to LEASE-iQ and find out in seconds, not days.

LEASE-iQ prompt
Does my lease allow subletting? What type of restriction applies (absolute prohibition, consent required, or consent not to be unreasonably withheld)? Are there separate rules for short-term lets or Airbnb? What conditions does the lease impose on any subletting, and do I need to give notice or pay a fee?
Open LEASE-iQ →
2

2. Is freeholder consent in writing?

If your lease requires consent, you need to write to the freeholder (or managing agent) before you sublet. The letter should include: who the tenant is, the proposed rent and term, confirmation that the sublease will comply with head lease covenants, and an offer to pay any reasonable admin fee the lease specifies.

Getting this right matters. A vague email is not the same as a proper consent request. LEASE-iQ will draft the letter using the actual terms from your lease.

LEASE-iQ prompt
Based on my lease, draft a formal letter to my freeholder requesting consent to sublet my flat. Include: references to the relevant lease clauses, confirmation I will comply with all subletting conditions in the lease, an offer to pay the admin fee specified (if any), and proposed tenancy details [I will add tenant name, proposed rent, and term before sending]. Make the tone professional but not adversarial.
Open LEASE-iQ →
3

3. Has the post-letting notice been served?

Consent to sublet and notice of sublet are two different things. Most leases also require a formal notice to the freeholder after the tenancy is granted, usually within a fixed window (21 or 28 days is typical) and often with a modest notice fee. This is separate from any consent fee you already paid.

Miss the window and you are in breach even if consent was granted. The notice usually needs a certified copy of the tenancy agreement attached. Check your lease for the exact wording - the clause is often called "notice of underletting" or "notice of dealings."

This is the step most leaseholders miss

People get consent, sign the tenant, and assume they are done. They are not. The post-letting notice is a separate obligation with its own deadline. Missing it is a technical breach of covenant - enough for a freeholder to serve a s.146 notice if they want to.

LEASE-iQ prompt
Does my lease require me to give formal notice to the freeholder after I grant a tenancy? What is the deadline (number of days after the tenancy starts)? What needs to be included with the notice (for example a certified copy of the tenancy agreement)? Is there a notice fee, and how much? Draft the notice letter I need to send.
Open LEASE-iQ →
4

4. Does your AST reflect the head lease?

Most leases require the sublease (your AST) to incorporate the head lease covenants. That means your tenant needs to be bound by the building rules: no noise after certain hours, no alterations without consent, communal area obligations, pet restrictions, and so on.

If you are using OpenRent or another platform, the standard AST template will not include these. You need to add an additional clause that refers to the head lease and attaches the relevant covenants as a schedule.

Using OpenRent, Rightmove, or another platform?

Standard AST templates do not cover leasehold buildings. You need to add a clause that binds your tenant to the lease covenants. If you skip this and your tenant breaches the building rules, you are personally liable to the freeholder for the breach. LEASE-iQ will draft the exact clause based on what your lease requires.

LEASE-iQ prompt
Based on the covenants in my lease, draft an additional clause I can add to my Assured Shorthold Tenancy agreement. The clause should: require the tenant to comply with all relevant leaseholder covenants from the head lease, list the specific building rules and restrictions the tenant must follow, state that breach of these rules is a breach of the tenancy agreement, and include the relevant lease clauses as a schedule I can attach to the AST.
Open LEASE-iQ →
Watch out: the pet clause trap

The Renters' Rights Act makes it much harder to refuse a tenant's request to keep a pet. But if your head lease says "no pets," your tenant's pet is your breach of covenant, not theirs. The tenant has a statutory right to ask; you have a lease obligation to say no. The two collide in your AST.

Your AST needs to reflect your lease position clearly, and you need to be ready to explain it to your tenant before they ask. See the full pets page →

Not sure where you stand? Talk to us.

We have been through this ourselves at Hafer Road. Happy to point you in the right direction.

Email us →
Already let

You already let your flat and now you are worried. Here is what to do.

If the tenant is already in and you skipped a step, you are not stuck. You are exposed. There is a difference. Fix it in this order.

Why this matters more than it used to

The Renters' Rights Act 2025Renters' Rights Act 2025. Abolishes s.21 "no-fault" evictions for Assured Tenancies and tightens Section 8 grounds. All ASTs convert to periodic Assured Tenancies. abolished no-fault eviction. Your tenant has much stronger security than they did two years ago. And you are sitting in the jam in the sandwich: your freeholder can enforce the lease against you, but you cannot easily remove the tenant you installed.

If the freeholder serves a s.146 noticeSection 146, Law of Property Act 1925. The pre-forfeiture notice a freeholder must serve before forfeiting a lease for breach of covenant other than non-payment of rent., you have a clock ticking on the head lease while your tenant sits tight. This is fixable but only if you move quickly.

A

Apply for retrospective consent

If you subletted without asking, write to the freeholder now. Acknowledge the position, provide the same details you would have in a pre-letting request, and ask for consent to be granted retrospectively. Most freeholders will grant it on the same terms as a normal consent request - especially if the tenant is quiet and paying.

Tone matters. Do not pretend you did not know. Do not be hostile. A clean "I should have asked first, here are the details, I'd like to put this right" works far better than defensiveness.

LEASE-iQ prompt
Draft a letter to my freeholder requesting retrospective consent to a subletting that has already taken place. Reference the relevant lease clauses, acknowledge the correct procedure was not followed, provide tenant and tenancy details, confirm the sublease complies with head lease covenants, and offer to pay any reasonable admin fee. Make the tone professional and conciliatory.
Open LEASE-iQ →
B

Serve the post-letting notice, even if late

If you missed the notice window, serve the notice anyway. A late notice is better than no notice. It puts you on the front foot and shows the freeholder you are taking the obligation seriously now. Attach a certified copy of the tenancy agreement and pay any notice fee the lease specifies.

Do this at the same time as the retrospective consent letter if you missed both.

C

Top up the tenancy agreement

If the AST you signed does not bind your tenant to the head lease covenants, agree a side letter or variation that adds the missing schedule. Your tenant does not have to agree, but most will if it is presented as housekeeping rather than a new restriction.

If they refuse, that is a signal. Get advice before the next renewal.

D

Know what your possession routes actually are now

Since the Renters' Rights Act, you cannot serve a s.21 no-fault notice. To recover possession you need a valid Section 8 groundSection 8, Housing Act 1988 (as amended by the Renters' Rights Act 2025). The fault-based possession route that survived s.21 abolition. Grounds were tightened in the 2025 reforms.: rent arrears, anti-social behaviour, breach of tenancy, or (for some grounds) landlord-occupation or sale. Each ground has its own notice period and evidential threshold.

If the tenant pays and behaves, you may not be able to remove them for years. Plan accordingly. This is why getting the front end right matters so much.

Already got a s.146 notice or a solicitor's letter?

Do not reply until you have checked what the freeholder can actually enforce against your exact lease. The first question on LEASE-iQ is free.

Check my position →
Buying with a sitting tenant

Buying a flat that already has a tenant in it? Do these checks before exchange.

When you buy a flat with a tenant in place, you inherit the tenancy. If that tenancy was granted without proper consent, you inherit the breach too. Your lender may find out. Your freeholder almost certainly will.

1

Ask to see the freeholder consent for the current tenancy

Written consent. Dated. Addressed to the seller, not to you. If the seller cannot produce it, assume it was never obtained. That is a breach you will inherit at completion.

2

Check the post-letting notice was served

Ask for a copy of the notice of underletting and the receipt for any fee paid. Most solicitors do not check this as standard. You need to ask.

3

Read the AST against the head lease

Does the tenancy agreement bind the tenant to the head lease covenants? If not, you are buying a tenant who is not required to follow building rules - and you will be liable for anything they breach.

4

Know when you can (and cannot) get possession

If you want to move in yourself, check whether the Section 8 ground for landlord-occupation will be available to you, and how long the notice period is. If you want to keep the tenant, make sure your lender is comfortable lending on a buy-to-let basis. "Vacant possession by completion" is the safest clause if either is in doubt.

Why do this before exchange, not after

After exchange you are committed. Before exchange you can renegotiate, require vacant possession, or walk. The leverage is entirely on one side of that line.

LEASE-iQ prompt
I am buying a flat that has a sitting tenant. Based on the head lease: what questions should I ask the seller's solicitor about the subletting history? What documents should they produce? What lease clauses will I inherit responsibility for? Flag any clauses that restrict onward subletting, short-term lets, or require fresh consent on change of ownership.
Open LEASE-iQ →
Key stats

9 in 10 owner-occupied flats in England are leasehold. Almost every one of those leases restricts what you can do with it.

This is not a niche problem. If you own a flat in England, the odds are overwhelming that your home is governed by a lease you have probably not read end-to-end - and that lease almost certainly has something to say about subletting.

91%
of owner-occupied flats in England are leaseholdHouse of Commons Library briefing CBP-10309, drawing on MHCLG Leasehold Dwellings 2023-24. England has around 4.98 million leasehold homes in total. In London the share of all dwellings that are leasehold is roughly 38% (about 1.4 million homes) - the highest concentration of any English region. The vast majority of these leases contain covenants restricting subletting, short-term letting, or both.
90 nights
the London limit for short-term lets per yearGreater London Authority. Properties used beyond 90 nights per calendar year require planning permission.
Nemcova
UKUT (LC) 2016
The Upper Tribunal case that put Airbnb on a collision course with leasehold covenants.In Nemcova v Fairfield Rents Ltd [2016] UKUT 303 (LC), Ms Nemcova let her Streatham flat on short lets while she travelled. The Upper Tribunal (Judge Cooke) held that each short-term occupation breached a "private residence only" covenant in the lease - a "residence" requires a degree of permanence that weekly lets do not have. The flat was not forfeited, but a formal breach was recorded under s.168 Commonhold and Leasehold Reform Act 2002, costs were recoverable through the lease's indemnity clause, and the ruling is a public record any future buyer's solicitor will find. Followed by Bermondsey Exchange Freeholds v Conway [2020] UKUT 38 (LC) on similar facts. Real-world cost to the breaching leaseholder is typically several thousand pounds in legal fees plus a disclosure obligation on every future sale.

The government has proposed a draft Commonhold and Leasehold Reform BillAnnounced January 2026 for pre-legislative scrutiny. Would replace forfeiture with "lease enforcement claims." Not yet introduced to Parliament. The Leasehold and Freehold Reform Act 2024 did not address forfeiture. that would replace forfeiture with a new enforcement process, but this has not yet been legislated.

For directors

Directors: an unauthorised sublet is a compliance failure, not just a neighbour problem

If you're a director of an RTM, SoF, or management company, unauthorised subletting affects the whole building. Insurance cover. Fire safety. Evacuation planning. Neighbour relationships. You cannot manage what you do not know about.

What directors need to consider

Director view

Identifying unauthorised sublets

Are flats being rented out without consent? Short-term lets can be harder to spot. Directors may need to monitor and investigate carefully.

Enforcing lease covenants

As freeholder or RTM company, you may have the right to require consent applications. Check what powers your lease grants before taking action.

Insurance implications

Unauthorised subletting - especially short-term lets - may affect your buildings insurance. Check your policy terms and notify your insurer if needed.

Occupancy records

You need to know who is actually living in each flat. Not who is on the lease. Unauthorised sublets mean your occupancy list is wrong and your duty to manage the building is compromised.

Fire safety and PEEPs

If a disabled resident moves in without your knowledge, they have no Personal Emergency Evacuation Plan. In a stay-put building that just lost compartmentation, an unknown vulnerable occupant becomes a life-safety risk.

Balancing enforcement and relationships

Covenant enforcement can strain neighbour relationships. Document everything, follow proper process, and seek legal advice before escalating.

Life-safety, not paperwork

Stay-put fails when occupancy is wrong.

A PEEPPersonal Emergency Evacuation Plan. A bespoke plan for a resident who cannot self-evacuate in a fire (for example because of a mobility or sensory impairment). Building on the Grenfell Tower Inquiry Phase 2 findings, the government has committed to a Residential PEEPs policy; the Home Office published guidance on Emergency Evacuation Information Sharing in 2023 pending full regulation. only works if the Responsible Person knows the resident is there. Unauthorised sublets can mean a wheelchair user, a deaf resident, or someone with a cognitive impairment is living in a flat the evacuation plan still assumes is occupied by the original leaseholder.

Post-Grenfell, that is not an admin gap. That is a life-safety risk sitting inside your building that nobody is tracking.

What you can actually do this week

You cannot inspect flats. You can audit the public record. Search your building's postcode on SpareRoom, OpenRent, Rightmove Lettings, Zoopla Lettings, Airbnb and Booking.com. Cross-check every live listing against the flats you have consented to let. Any listing you do not recognise is a prompt to write to the leaseholder and ask.

Tip: on Airbnb, filter by your borough and look at the map pin; short-let listings rarely name the building but the pin will usually drop within 100m. Screenshot anything that looks like it is in your block and keep a dated record.

The regulatory backdrop

Under the Fire Safety (England) Regulations 2022Fire Safety (England) Regulations 2022. Came into force 23 January 2023. Imposes duties on the Responsible Person for multi-occupied residential buildings over 11 metres, including information to residents and, for high-rise buildings, information to fire and rescue services., the Responsible Person must give residents fire-safety information, maintain evacuation plans for residents who cannot self-evacuate, and (for buildings over 18 metres) share floor plans and external wall information with the fire service. All of that depends on knowing who lives where.

Under the Building Safety Act 2022Building Safety Act 2022. For Higher-Risk Buildings (18m+ or 7+ storeys with 2+ dwellings), the Accountable Person must prepare and maintain a safety case and a resident engagement strategy. Occupancy knowledge is foundational to both., higher-risk buildings need a safety case and a resident engagement strategy. You cannot engage residents you do not know exist.

LEASE-iQ prompt (directors)
Based on the head lease for this building: what powers do the directors have to request occupancy information from leaseholders? Can we require notice of subletting, copies of tenancy agreements, or confirmation of occupier names? What enforcement routes are open if a leaseholder refuses to disclose? Flag any clauses that tie into fire safety or insurance obligations.
Open LEASE-iQ →

BLOCK-iQ helps directors track lease covenants, maintain occupancy records, and manage building obligations in one place.

See how BLOCK-iQ works →
Next steps

Your lease may or may not allow subletting. What now?

Three paths depending on whether you are asking, refused, or preparing to ask.

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Next steps

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