Leasehold Reform (Ground Rent) Act 2022

3 Prohibited rent

(1) The landlord under a regulated lease must not require the tenant to make a payment of a prohibited rent.

(2) For the purposes of subsection (1), a landlord requires a tenant to make a payment of a prohibited rent where the landlord, or a person acting on behalf of the landlord, does either or both of the following in relation to the payment—

(a) asks the tenant for the payment;

(b) having received the payment, fails to refund it to the tenant before the end of the period of 28 days beginning with the day after its receipt.

(3) In this section—

(a) references to a landlord include a person who has ceased to be a landlord, and

(b) references to a tenant include—

(i) a person who has ceased to be a tenant;

(ii) a person acting on behalf of a tenant;

(iii) a person who has guaranteed the payment of rent by a tenant.

(4) In this Act “prohibited rent” means any rent, to the extent that it exceeds the permitted rent (see sections 4 to 6).