Service charge allocation: was a consultation required?

Service charge allocation: was a consultation required?

0:02 AM, 7th December 2023, About A year ago 4

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Hello, my question is in the context of the Commonhold and Leasehold Reform Act 2002.

Here is the relevant part of the law: “If your landlord – proposes works on a building or any other premises that will cost you or any other tenant more than £250, or proposes to enter into an agreement for works or services which will last for more than 12 months and will cost you or any other tenant more than £100 in any 12 month accounting period.

“Your contribution will be limited to these amounts unless your landlord has properly consulted on the proposed works or agreement or the First-tier Tribunal has agreed that consultation is not required.”

The landlord is unsure if we had to do a consultation on the basis of allocating communal hot water and heating charges for a block of 19 flats in London. The landlord determined the basis for allocating the hot water charges as the number of rooms in the flat but later changed it to heat interface units (HIU) as shown by the HIU unit in each flat.

Did we have to consult on (i) when we set the basis for allocation and (ii) when we changed?

Please share your views.

Thanks,

Usman


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NewYorkie

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10:45 AM, 7th December 2023, About A year ago

That doesn't appear to meet the requirement for a consultation.

Judith Wordsworth

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10:55 AM, 7th December 2023, About A year ago

Consultation is normally getting 3 quotes not consulting on how apportioned I think.

What does you Lease state?

Tim Peters

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11:26 AM, 7th December 2023, About A year ago

Consultation is not getting 3 quotes and this change would not require consultation.

If you dont think that is fair, you can ask the first tier tribunal to determine, it's £100 to apply and £200 (from memory) if a hearing is required.

Honestly though, if you can measure heat input to a property, that is a fairer basis than number of rooms.... Some tenants might put on a jumper, why should they subsidise those who want to wear T shirts in winter

LL23

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12:28 PM, 7th December 2023, About A year ago

This is the bit that seems to imply consultation was required: "Will cost you or any other tenant more than £100 in any 12 month accounting period."

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