administration charges

We charge for administration when a leaseholder requests a particular service or when we have to carry out special work because a lease has been breached (for example, through non-payment of charges). We charge individual leaseholders for any administration we have to carry out because we do not believe that all leaseholders should bear the cost of work done for individual leaseholders.

We will always tell you if we will make a charge and it will not be included in your management fee. We must also give you a statement which provides a summary of your statutory rights, in accordance with the Commonhold and Leasehold Reform Act 2002. If we don’t, you are entitled to withhold payment of an administration charge.  

Current administration charges are below.

• Service charges
• Resales
• Remortgages
• Licence for alterations
• Legal recovery action
• Other charges
• Reasonableness of administration charges

Reasonableness of administration charges

Administration charges must be reasonable.

A leaseholder can apply to the leasehold valuation tribunal to find out whether a charge for administration is fair and reasonable. The tribunal can also decide:

• how much the leaseholder has to pay
• the date on or by which they have to pay
• the way the administration charge must be paid

These new provisions only apply to administration charges payable after the 30 September 2003.

If you are a leaseholder and you have paid your service charges, you can still challenge them through a leasehold valuation tribunal. In fact, you are strongly advised to continue payments, even if you wish to query them.

For further information please see the Department for Communities and Local Government website