This Right to Manage UK guide provides a complete overview of your Right to Manage property rights in 2026. However, leasehold law is undergoing significant reform, so keep an eye on these pages for updates.
What is the right to manage?
The Right to Manage (RTM) allows leaseholders of flats to take over the management of their building without buying the freehold.
It is a legal right created by the Commonhold and Leasehold Reform Act 2002.
For a complete overview of your current leasehold rights, see my guide: Leasehold Property Guide in England and Wales (2026)
Why use the right to manage UK?
RTM is often used where leaseholders are unhappy with how their building is managed.
Common reasons include
- high or rising service charges
- poor maintenance or repairs
- lack of transparency from the landlord or managing agent
- expensive insurance arrangements
Unlike some other remedies, RTM does not require proving fault.
See also: Appointment of a Manager: Replacing a poor landlord or managing agent
What does RTM give you?
Once RTM is successfully exercised, leaseholders take over responsibility for managing the building.
You gain control over
- appointing or replacing managing agents
- setting service charge budgets
- arranging maintenance and repairs
- placing buildings insurance
However:
- the freeholder still owns the building
- ground rent still applies (if payable under the lease)
See also: Service charges explained: What leaseholders can challenge
Who qualifies for RTM?
RTM is not available in every case. Strict legal criteria apply.
Building requirements
The building must:
- contain at least two flats
- have at least two-thirds of flats held on long leases
- have no more than 25% non-residential use
Leaseholder participation
To proceed at least 50% of qualifying leaseholders must join the RTM company. “Qualifying leaseholders” are generally those holding long leases (original term over 21 years).
The Leasehold Advisory Service also provide guidance on Right to Manage.
What is an RTM company?
Leaseholders must form a special company called an RTM company to exercise the right. This company:
- takes over management responsibilities
- is run by participating leaseholders
- must follow specific legal rules
The RTM company becomes responsible for managing the building once the process completes.
Right to Manage UK: The RTM process step-by-step
The process is formal and must be followed carefully.
Step 1: Set up the RTM company
Leaseholders create an RTM company in a prescribed legal format.
Step 2: Invite participation
All qualifying leaseholders must be formally invited to join.
Step 3: Serve the notice of claim
The RTM company serves a Notice of Claim on the landlord and any relevant parties.
Step 4: Landlord’s counter-notice
The landlord can:
- accept the claim, or
- dispute it (usually on eligibility grounds)
Step 5: Tribunal (if disputed)
If the claim is challenged, the RTM company may need to apply to the First-tier Tribunal (Property Chamber).
Step 6: Acquisition date
If the claim succeeds, management transfers to the RTM company on a set date.
How much does RTM cost?
RTM is generally cheaper than buying the freehold, but costs still arise.
Typical costs include
- your legal fees
- company setup costs
- professional advice (if used)
- the landlord’s reasonable legal costs
Unlike enfranchisement there is no premium to pay.
However, the law requires leaseholders to cover the landlord’s reasonable costs of dealing with the claim.
Check out my helpful guide: Collective Enfranchisement: Buying the freehold explained
RTM vs Collective Enfranchisement
Leaseholders often compare RTM with buying the freehold.
Right to manage
- no purchase required
- quicker and cheaper
- management control only
Collective enfranchisement
- purchase the freehold
- full ownership and control
- more expensive and complex
Collective Enfranchisement Guide
Advantages of RTM
RTM can offer a practical solution to many common leasehold issues.
Key benefits
- greater control over costs
- improved transparency
- ability to choose managing agents
- no need to prove landlord fault
Limitations of RTM
RTM is not a complete solution in every case.
Important limitations
- you do not own the freehold
- ground rent continues
- you take on management responsibilities
- disputes can still arise between leaseholders
Common pitfalls to avoid
Failing to follow the legal process
RTM has strict procedural requirements. Errors can invalidate the claim.
Lack of participation
Without sufficient leaseholder involvement, RTM cannot proceed.
Underestimating responsibilities
Managing a building involves:
- financial management
- legal compliance
- maintenance planning
How long does RTM take?
A typical RTM process takes:
- 3 to 6 months (if uncontested)
- longer if disputed
Timing depends on:
- landlord response
- complexity of the building
Can you use RTM with a missing landlord?
Yes, RTM may still be possible even if the landlord is absent. However, the process can be more complex and may require additional steps.
Find out: What to do if your freeholder is missing
Is RTM right for you?
RTM may be suitable if:
- service charges are high
- management is poor
- leaseholders want more control
However, alternatives such as buying the freehold may be more appropriate in some cases.
Collective Enfranchisement Guide
Right to Manage UK: Key takeaways
- RTM allows leaseholders to take over management without buying the freehold
- At least 50% of qualifying leaseholders must participate
- There is no premium, but landlord costs are payable
- The process is formal and must be followed carefully
- It provides control, but also responsibility
This guide is based on general principles of English and Welsh law, is intended for informational purposes only, and does not constitute legal advice or establish a professional relationship.
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