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Service charges explained for leaseholders

service-chargeWe wrote to leaseholders in late September about their service charges and also included a summary of expenditure for financial year 2015/16.

Here is a breakdown of the summary:

Description of charges (column 1)

This is a list of cost of services you pay for and can include things like bulk refuse collection, estate gardening and maintenance, cleaning and insurance. Visit our service charges webpage for a more detailed explanation.

Actual costs for block (column 2)

This is the total amount that was spent on your block and or estate from 1 April 2015 to 31 March 2016. If you would like a detailed breakdown for any of the charges please call 0300 456 2099 or email

Estimated costs for block (column 3)

These are the costs we originally estimated when we prepared the accounts last year (which you would have received in March/April 2015)

Variance (column 4)

This is the difference between the actual costs and the estimated costs. A minus (–) figure means we spent less than we estimated and we refer to this as ‘surplus’. In other instances, the variance is an additional charge and we call this ‘deficit’ .

Deficits are carried forward to your service charge the following year (2017/18) and recovered through your monthly payment. Surplus’ are also carried forward and deducted from your service charge for 2017/18, which means your monthly payments will be reduced.

The summary doesn’t include arrears or prepayment of service charges. So please check the statements we send you regularly as they show the amount you owe on your account.

If you have a query about your service charge or balance, please contact us on 0300 456 2099 or