Directors and RTM
Right to Manage: how it works
Qualification, the process, and what the 2025 changes mean.
Reviewed by Mark Cunningham AssocRICS MTPI MIFSM, Leasehold Director. Last reviewed 3 October 2026.
The Right to Manage (Commonhold and Leasehold Reform Act 2002, Part 2) lets leaseholders take over management without proving the landlord did anything wrong.
Does your building qualify?
- At least two flats, with at least two-thirds held on long leases.
- Since 3 March 2025, up to 50% non-residential floor space is allowed.
- Some small conversions with a resident landlord are excluded.
The process
- Form an RTM company.
- Serve a notice inviting participation on qualifying leaseholders who are not yet members.
- Serve a claim notice once members include at least half the flats.
- The landlord may serve a counter-notice; disputes go to the First-tier Tribunal.
- Management transfers on the acquisition date.
Costs
Since March 2025, landlords generally cannot recover their costs of an uncontested claim from the RTM company.
Try the toolOpen the Right to Manage checker
Sources
Commonhold and Leasehold Reform Act 2002The Property Institute: update on the Leasehold and Freehold Reform Act 2024How we can help
RTM and residents' association formationChanging your agentAJ LiteWe provide block management across Southport, Churchtown and Kew, Birkdale and Ainsdale, Formby, Ormskirk and Aughton, Crosby and Maghull, Bootle and Litherland, Liverpool, Hesketh Bank and Tarleton and Preston, Penwortham and Longton. For the law in brief, see Know the law.General information about the law in England, not advice on a particular building.