What are service charges?
Services charges are your share of the cost of managing, providing services and carrying out repairs to the communal parts of your block or estate.
At the beginning of each financial year (April) we will send you an estimated service charge. This will include your contribution towards the likely costs of any services provided, as well as building insurance and ground rent for the forthcoming year.
At the end of the financial year (March) we will begin to calculate how much was actually spent.
Each September we will send you a Statement of Actual Expenditure. This gives details of the charge for each service provided to your block or estate during the previous financial year.
So for example, in September 2003 you would receive a Statement of Actual Expenditure for the previous financial year, April 2002 to March 2003.
If your estimate was too high a refund is credited to your service charge account. If the estimated charge was too low you will be asked to pay an additional amount.
How is my share of the charges worked out?
We will calculate the cost of services to your block or estate. We then divide the total cost by the number of flats in the block or on the estate to find your share.
If you feel that any of the charges have been worked out incorrectly, you should contact the Home Ownership section in writing. Tell us what you think is wrong and we will look into it.
Right to Buy Offer Notices
When you buy your property from the Council under the Right to Buy, charges for repairs or improvements are limited for the first five years of the lease. This means that we cannot charge you any more than the amount stated in your offer notice, plus a small inflation allowance.
This only applies to repairs or improvements and does not include items such as caretaking or administration.
Once the five years have passed, we can charge the full cost of any repairs or improvements.
Items included in the service charge
- Grounds maintenance
- Extra refuse collection
- Communal heating
- Communal lighting
- Communal window cleaning
- Communal satellite/TV aerial
- Caretaking/concierge/estate cleaning
- Day to day repairs
- Tenant controlled access
- Insurance
How do I pay my service charges?
You can pay your service charges annually when the estimate is issued.
Alternatively, you can pay them quarterly. Payments are due at the beginning of April, July, October and January each year.
You can also pay by monthly standing order. Contact the Home Ownership Section for further advice about this.
If you are in receipt of benefits, the Benefits Agency may be able to provide you with some assistance in paying your service charges.