Rechargeable works
Work that is rechargeable under section 20 of the Landlord and Tenant Act 1985 (as amended)
What is section 20 rechargeable work?
Sometimes we need to spend a lot of money to carry out repairs to meet our responsibilities under the conditions of the lease. This spending might include:
- The cost of a new roof to your building.
- Putting a new lift in the building.
- Replacing the window frames and windows of any flats
in the building.
- Repairing roads, paths and walkways on the estate.
Section 20 rechargeable work is a service charge. It is work that costs more than the set limit. The limit is set by the Secretary of State.
We currently bill you separately for section 20 rechargeable work, not on your service charge account.
We are responsible for maintaining and repairing the structure of your flat and the shared areas and structure of the building it is in. We are also responsible for the estate that your house or building is on.
We will provide estimates for section 20 rechargeable work a month before the work begins. This section explains the process when we carry out rechargeable work under section 20 of the Landlord and Tenant Act 1985 (as amended).
Do I have to pay towards this work?
Yes, under the conditions of your lease, you must contribute to our expenses in carrying out work under section 20. We have to give you notice before we carry out this work to your building or estate.
We know that charges arising from this type of work can cause financial difficulties. You do not have to pay when you receive the estimate, but we will send you a bill once the work has been completed. And you must pay this immediately.
We are not allowed to run a sinking fund (this is a scheme where we charge homeowners a regular amount each month to help pay for work that is carried out over the period of the lease). You must think about how you will pay your share of the costs once we issue the bill.
You should consider opening a building society account so you can save regularly for future large bills. Your savings will also earn you interest.
How much notice do you have to give me?
Under section 20 of the Landlord and Tenant Act 1985 (as amended), we, as your landlord, must give you one month’s notice (except in an emergency) before we start this work. Please see the flow chart for details of the process.
What about urgent work?
We still need to tell you about urgent work, but we do not have to keep to the time limits. So, we may start work immediately. However, we must show that we have acted reasonably.
What else is involved?
We, as a landlord, must get at least two estimates for the work, one being from a company that is not connected to us in any way. It is currently our policy to ask at least three companies to give us their estimates for the work.
We must serve a notice on you that describes the work. We invite you to make comments about the work. In the notice, we give the name and address of the housing office to which you can make your comments. The notice gives a date by which any comments should be received.
You are entitled to look at the estimates and tender documents. These are generally available by making an appointment at your local housing office. You may take photocopies of the documents but there might be a charge for this service.
What if I disagree with the estimate?
You should contact your housing office within the one-month notice period. Your comments will be considered within this period.
What if I do not want the work to be done?
We must consider the views put forward by homeowners and tenants, but it is part of our duty to repair and maintain the building or estate.
We could not normally consider requests for a leaseholder’s flat to be excluded from a contract, as under the terms of your lease you must contribute to the scheme. We must act reasonably as our decisions can be legally challenged.
Can I choose a contractor?
You do not have the right to nominate a contractor unless you belong to a recognised tenants’ association as defined under section 29 of the Landlord and Tenant Act 1985.
But if you have specific preferences for a particular contractor we will consider your recommendations, but it is our policy only to use contractors that are on our ‘approved list’.
When will I have to pay?
We will send you an invoice once the work has been completed and the accounts have been agreed.
How much time do I have to pay?
You must pay the invoice immediately. However, we currently allow you to pay within 28 days of the date of the invoice.
What if I can’t pay my section 20 service charge?
See service charge arrears.
What if I am not happy with the standard of work?
If you are not happy with the standard of work, you should tell the clerk of works or your housing office as soon as possible. They will sort out the problem while the contractor is on site.
At the end of the project, we will send you a satisfaction sheet. You should fill in this form and return it to your housing office as soon as possible. This is because there is usually a short period where the contractor will return to the site to put right any problems. We will look at any complaints you have at this stage and, if necessary, ask the contractor to return to put things right.
Do not wait until you receive your invoice before you make a complaint. It may be many weeks or months after the work has been completed before you receive an invoice, and by that time there may be little we can do to sort out the complaint.
If you are still not happy with the standard of the work you can apply to a Leasehold Valuation Tribunal (LVT). The LVT can decide whether the work is of a reasonable standard or not.
What does recognition under section 29 of the Landlord and Tenant Act 1985 do for me?
Where there is a recognised tenants’ association, we must give the secretary details of the work and give the tenants’ association enough time to nominate a contractor (or contractors) to be invited to quote for the work. We aim to include residents’ preferences, comments and suggestions in the first stages of the consultation process of the scheme.
How can my tenants’ association be recognised under section 29 of the Act?
For a tenants’ association to be recognised under the Act we must serve a notice to the secretary of the association or a certificate of a member of the local rent-assessment committee panel must be issued granting the association recognition under the Act.
How can my Tenants’ Association apply for recognition under the Act?
The secretary of your tenants’ association should write to us asking for recognition under section 29 of the Landlord and Tenant Act 1985 (as amended). Once we receive the letter or notice, we will send the secretary a reply giving our decision.
If we do not grant recognition under the Act, the secretary can appeal to the local rent-assessment committee panel for a certificate granting the association recognition under the Act.