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The leasehold advisory Service (LEASE) have recently updated and re-launched one of their key guidance booklets regarding services charges within Section 20 of the Landlord and Tenant Act 1985. The booklet is produced in cooperation with managing agent trade body, ARMA.
Section 20 procedures apply to major works on leasehold blocks of flats when the contribution towards those works by any one leaseholder exceeds £250 or when a landlord plans to enter into a long-term agreement for the provision of services for a period of more than 12 months where the cost to any one leaseholder exceeds £100. The penalties for failing to consult under Section 20 can be severe, with landlords only recovering up to £250 per leaseholder towards the works.