Leasehold: Coronavirus

(asked on 23rd June 2020) - View Source

Question to the Department for Levelling Up, Housing & Communities:

To ask the Secretary of State for Housing, Communities and Local Government, what protection is available for leaseholders whose freehold management companies request excessive service charges to cover covid-19 related costs.


Answered by
Luke Hall Portrait
Luke Hall
Minister of State (Education)
This question was answered on 29th June 2020

The law is clear that service charges must be reasonable and, where costs relate to work or services, these must be of a reasonable standard.

Leaseholders may make an application to the First-tier Tribunal to make a determination on the reasonableness of their service charges.

Following the lockdown due to COVID-19, freeholder repair and maintenance obligations have not changed and remain as set out in the lease. We are aware of concerns being raised by leaseholders about higher than expected service charges due to the effect of COVID-19. We are working with stakeholders to understand the issues freeholders and management companies are facing with the aim that they continue to deliver essential services in line with Government guidance.

Free initial advice is available to leaseholders via the Leasehold Advisory Service (LEASE). Further information on service charges and other leasehold matters can be provided through their website, via a telephone appointment with one of LEASE’s advisers or by email.

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