Major works costs

Calculating major works costs

We calculate your share of the costs in accordance with your lease. The extent of your share may depend on the type of work being undertaken. The costs may be shared between all the properties in the block or estate, or simply amongst those properties which benefit from the work. The cost to you, know as a service charge, is the amount you have to pay.

Your lease identifies the block and/or estate that your property is in and the services that are provided to you, and sets out that your responsibilities for paying towards these costs.

Your lease states the council may adopt any reasonable method for calculating your service charge and may adopt different methods in relation to different items of costs and expenses.

If you require advice about the terms of your lease, please speak your solicitor or the Citizen’s Advice Bureau.

Alternatively, you can visit our homeowners services pages and read the section for Independent representation and arbitration.

Service charges, which will include any major works costs, are fairly divided between all properties in your building/estate. The council pays the proportion relating to rent-paying tenants from the rents received. The cost of services to tenants is not subsidised in any way by leaseholders.

Major works invoices

Before major works are undertaken we must estimate how much they will cost.  Your lease requires you to make payments towards this estimate before the work is undertaken. Your invoice for major works will set out your share of that estimate.

This is usually payable on the next billing date after the Section 20 process has completed.

When the work is completed and the final costs are agreed between the council and the contractor and the total charges are reviewed again, for leaseholders we will adjust your service charge to reflect the actual cost of the work and if there is a shortfall/excess we will send you a new invoice or credit note as appropriate.

If you're a freeholder who is also liable to pay service charges you'll receive an invoice only when the work is completed.

Page last updated: 21 February 2022


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