Skip to content
RunYourBlock

Free tool

Section 20 threshold calculator

Before major works that would cost any one leaseholder more than £250, or a contract lasting more than a year that would cost any one of them more than £100 a year, you must consult the leaseholders. Check where you stand.

Calculator

What are you checking?
£
How is the cost shared?

Result

Section 20 consultation is needed

8 of 8 flats would pay more than £250 (the most is £1,500). With these shares, the works could cost up to £2,000 before consultation is needed.

Each flat's share of the cost
FlatPaysOver the threshold?
Flat 1£1,500Yes
Flat 2£1,500Yes
Flat 3£1,500Yes
Flat 4£1,500Yes
Flat 5£1,500Yes
Flat 6£1,500Yes
Flat 7£1,500Yes
Flat 8£1,500Yes

How the threshold works

The test is what each leaseholder would pay, not the total. Works costing £250 per flat or less, for every flat, don't need consultation; if even one flat would pay more, they do. Include VAT and fees in the cost.

For a contract lasting more than twelve months (a qualifying long-term agreement), the test is whether any leaseholder would pay more than £100 in a year.

Consultation has set stages, and leaseholders get 30 days to comment at each one. If you should have consulted and didn't, you may recover only £250 from each leaseholder, unless the tribunal grants dispensation.

Read our guide to Section 20 consultation for the stages and notices.

Sources

  1. Landlord and Tenant Act 1985, section 20
  2. Service Charges (Consultation Requirements) (England) Regulations 2003