How charges are calculated
The costs of carrying out repairs and other services are divided between tenants and leaseholders so that they are charged the same amounts for the same services. There are different ways of sharing out costs depending on the service. This is called the 'method of apportionment'.
The total cost of the service to the block is divided by the number of tenant/leaseholder homes for:
- energy and communal lighting
- grounds maintenance
- repairs and maintenance to the estate
Costs are charged to leaseholders at a fixed rate set each year for insurance and leaseholder management and administration.
The cost of time (in hours) spent by caretakers at the block is divided by the number of tenant/leaseholder homes for caretaking and cleaning.
The total cost of the service to the block is divided by the number of habitable rooms for:
- communal heating
- lift maintenance
- entry phone maintenance
- repairs/maintenance to block
- major repairs and improvements.
A 'habitable room' is any room that is not a kitchen, bathroom, or WC. This method of apportionment divides the cost by the total number of habitable rooms in a block rather than the total number of homes. This allows for the fact that some homes are larger than others.
Repair cost to block £500
Number of habitable rooms in the block 25
Charge per habitable room £500 ÷ 25 = £20
Charge for 2 bedroom flat consisting of 3 habitable rooms e.g. 2 bedrooms + 1 living room 3 × £20 = £60
Ground rent is included on your service charge invoice. This is a fixed charge as written in your lease and will not change from year to year.
If you have any further questions, contact the service charges team details below.