If you are considering assigning your lease to another tenant, there are some important points to bear in mind. In leases, assigning and transferring are used to mean the same thing.
If your lease is registered at the Land Registry, then you will need to transfer the lease using a sale Contract and a Transfer Deed.
If your lease is not registered, then a Deed of Assignment will be sufficient. Both the Transfer or the Deed of Assignment are to be signed by you as the current tenant, and the Assignee as the new tenant.
In either case, you will need permission of the Landlord to assign the lease. Most leases contain provisions on whether a tenant can assign the lease, but even where assigning the lease is prohibited in the lease, it is still advisable to check with the landlord whether he is willing to give consent.
If the landlord indicates he is happy for you to assign the lease, his solicitor will draft a Licence to Assign deed, which is signed by the landlord, you (as the current tenant) and the Assignee (the new tenant). It is not unusual for the current tenant to pay the landlord’s solicitor’s fees for drafting this document.
Finally, the Landlord may also require the current tenant to sign an Authorised Guarantee Agreement, whereby the current tenant guarantees that the Assignee/new tenant will pay the rent and service charges, and if he fails, then the current tenant will be liable to pay the landlord.