Ground Rent and Service Charge question

Marcus3344

Hi

25 leaseholders in apartments.

we’ve seen the Letting Agents annual statement showing costing that we all question to be outrageous to say the least.

As a group collectively, what would the process to question, with the attempt to reduce the charges?

Managing agent has already had a case against them upheld for overcharging on reserve funds.

guidance required….

Peter999_2

Do you all own the freehold of the flats or just the leashold?       My old flat was one of 8 in a building and we each owned an eigth of the freehold.       We had a really poor managing agent and we just got together and dumped him.    We did it ourselves for 20 years and kept it at £50 each a month which easily paid for everything needed.     

eddddy

Marcus3344 said:

As a group collectively, what would the process to question, with the attempt to reduce the charges?

Your Ground Rent is whatever is stated n the lease, you cannot get that reduced.

In simple terms, you can challenge your Service Charge at a Tribunal, if you think it's not "reasonable".
See: https://www.lease-advice.org/advice-guide/service-charges-other-issues/#s-3



What aspect of the Service Charge are you wanting to challenge?

For example, most leases require leaseholders to pay an estimated Service Charge for the year in advance.

Perhaps you have just received an estimated Service Charge bill for 2026.

If that's the case, what do you feel is wrong with the estimate? Have you requested / received a summary of charges?

Which line items do you feel are excessive? e.g. Is it Cost of insurance, Cost of Communal electricity, Cost of Gardening, Cost of cleaning, Cost of building repairs? Cost of Management, etc, etc


You would probably need to take each relevant line item, and explain why it is not reasonable. (e.g. "The estimated gardening charge is £3000 for cutting the grass once a week in summer. Other contractors have quoted £1000 for that.")