Can I challenge my service charge?
Short answer
Yes. Service charges must be reasonable under the Landlord and Tenant Act 1985, and the First-tier Tribunal decides what is reasonable under section 27A — free or low-cost, with no solicitor needed. Demands made more than 18 months after the costs were incurred are unenforceable.
Leaseholders have a statutory right to pay only reasonable service charges, properly demanded and properly consulted on. The law is technical, but the tools are usable without a lawyer.
Get the information first
- Section 21 of the 1985 Act lets you request a written summary of how the charge was calculated.
- Section 22 gives you the right to inspect the invoices and accounts behind that summary. Ask for both in writing before you argue about the figures.
- Section 20B imposes an 18-month rule: costs demanded more than 18 months after they were incurred are not recoverable unless you were notified in time.
Major works and consultation
Where works will cost more than £250 per leaseholder, the landlord must run a Section 20 consultation. Skip it, and recovery is capped at £250 per leaseholder however large the bill. Long-term qualifying agreements costing more than £100 per leaseholder a year must also be consulted on, with recovery otherwise capped at £100 a year. Checking whether consultation was done properly is often the fastest way to reduce a major works demand.
Going to the tribunal
Apply to the First-tier Tribunal (Property Chamber) under section 27A for a determination of what is payable and reasonable. Applications are free or low cost, straightforward cases can be decided on paper, and decisions typically take four to nine months. Two practical points:
- Apply at the outset for a Section 20C order, which stops the landlord recovering its legal costs from you through the service charge.
- Do not simply withhold payment. Arrears can trigger forfeiture proceedings and the loss of your lease. Pay under protest, in writing, and pursue the tribunal application — or ask the court about paying into court pending the decision.
Ground rent is governed by a different regime, so use the ground rent route for that. The Leasehold and Freehold Reform Act 2024 will add a standardised service charge format and tighter consultation rules as its provisions are commenced.
Related guides
Disputing Service Charges: Your Rights as a Leaseholder
Service charges are one of the biggest sources of leaseholder grief. Unexpected major works bills, inflated managing agent fees, opaque accounts — the law gives you specific rights to challenge each, but the process is technical. This guide walks through the statutory tools and when to use each.
10 min
Leasehold and Service Charge Disputes
Owning a leasehold property means owning the property for a fixed term while the freehold — the land — is owned by someone else (the freeholder or landlord). Leaseholders pay ground rent (now largely abolished for new leases) and service charges for the maintenance and management of the building. Disputes about service charges, management quality, and lease terms are common, but leaseholders have legal rights and access to the First-tier Tribunal (Property Chamber) to resolve them.
11 min
Right to Manage: Taking Control of Your Block Without Buying the Freehold
If your block of flats has a freeholder or managing agent who is failing — poor maintenance, inflated service charges, slow response — the Right to Manage (RTM) lets you take over without buying the freehold. The Commonhold and Leasehold Reform Act 2002 created this right; the 2024 Act expands it. This guide explains who qualifies, how to set up an RTM company, and what changes once you control the block.
10 min
Ground Rent: The Old Rules, the New Rules, and What You Can Challenge
Ground rent has caused some of the worst leasehold scandals of the last decade — doubling clauses that turn a £250/year rent into £8,000/year, and onerous clauses that make properties unsaleable. The Leasehold Reform (Ground Rent) Act 2022 banned ground rent on most new leases; existing leases are the subject of an ongoing consultation that may cap or buy out existing ground rents.
9 min
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