Leaseholders Handbook

How cost are calculated

How do you calculate my percentage share of the costs

The percentage share of the block costs is proportional to the size of the property worked out on the basis that if all the flats in the building were sold the Council will recover 100 per cent of its
costs. If for example there are four flats of equal size in the building each would pay 25 per cent of the service charges.

Do I contribute to any block on the estate other than my own

No you pay only towards the block in which you live and the communal areas on your estate. These are identified in your lease and on the plans.

What does the estate charge cover

lighting of the communal areas outside your block such as gardens, footpaths and car parking areas. The estate is shown in your lease ‘Plan A’ with red (or sometimes blue) edging and may include areas that are some distance from where you live. Your estate percentage will be smaller than your block percentage if it covers more than just your block and each property will contribute an equal contribution to the estate.

Does the council tax cover this

No, your council tax pays for services provided to all residents of the borough by the Council in their capacity as Local Authority, whereas, your service charges pay toward the cost of works and
services provided to just your building, and a wider estate where applicable. “I fitted my own windows and now the Council are telling me they are replacing windows in my block
and want to charge me for it”. Window frames are part of the structure of the building and the council are responsible for their maintenance.

In the past the Council did allow leaseholders in some circumstances to replace their windows and enter into a deed of variation to take on responsibility for the maintenance of the windows. However the Council passed a resolution in May 2013 that it would not enter into any further deeds of variation because substantial works including replacement of old crittall windows are being carried out as part of the Better Homes programme.

Last Modified: 20/03/2023 16:45:40