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How is my service charge billed?

Some Catalyst customers – usually tenants – pay a fixed service charge. Some customers – usually shared owners, leaseholders and freeholders – pay a variable service charge.

1. If you pay a fixed service charge
In February each year, we send you a notice of what your service charge will be for the next service charge year (1 April to 31 March).

2. If you pay a variable service charge
At the beginning of each service charge year (1 April to 31 March), we send
you a service charge estimate. The estimate is the amount you will pay for that year. It’s based on how much we spent on service and maintenance for your property in the previous year. But it also takes into account any changes
in contracts, inflation (if applicable) and expected extra spending.

After the end of each service charge year (and always by 30 September),
we send you a summary of the service charge expenditure for the previous year. It compares the service charge estimate with what we actually spent on your property. If the estimate was too low, we add the difference to your service charge for the following year. If the estimate was too high, we take the difference off your service charge for the next year.

The charges you have to pay for the services provided to your property are set out in your lease, transfer of parts or tenancy agreement and will vary from year to year depending on what works are needed and their costs at the time.

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