Written question asked by Adrian Sanders (Liberal Democrat) on Tuesday, 7 June 2011, in the House of Commons. It was due for an answer on Thursday, 9 June 2011. It was answered by Lord Stunell (Liberal Democrat) on Friday, 17 June 2011 on behalf of the Department for Communities and Local Government.

Leasehold: Peveral Group

Question: To ask the Secretary of State for Communities and Local Government what assessment he has made of the potential effect on regulations governing leasehold of the entry into administration of the Peverel Group.

Answer: I cannot comment on the situation regarding the Peverel Group and the holding companies that have been placed into administration. The entry of any company into administration does not affect the legislation governing the sector.Residents' service charges should not be at risk in such situations as they are deemed by law to be held in trust and should not be used to pay creditors.Companies in the Peverel Group which belong either to the Association of Residential Managing Agents or the Association of Retirement Housing Managers are required to adhere to the two Codes of Management Practice approved by the Secretary of State.

Secondary information