Decision summary

CAM/00KA/LSC/2023/0064 — service charge decision

In CAM/00KA/LSC/2023/0064, decided 16 December 2024, the First-tier Tribunal considered 9 disputed service charge items at 5 Luton Road, Luton, LU1 3UE and reached a mixed result: 6 items were reduced or disallowed. Full decision on GOV.UK below.

Property: 5 Luton Road, Luton, LU1 3UE
Decision date: 16 December 2024
Full decision: Read on GOV.UK

Managing agent named in the decision: Silvercrown Luton Ltd.

What was challenged and what the tribunal decided

ItemDemandedAllowedOutcomeGrounds
Buildings insurance (2022)£4,286.97£110ReducedInsurance not market tested, Landlord could not evidence the cost
Buildings insurance (2023)£4,286.97£110ReducedInsurance not market tested, Landlord could not evidence the cost
Gardening & grounds (2022)£1,169.20£109.20ReducedLandlord could not evidence the cost
Gardening & grounds (2023)£1,242£109.20ReducedLandlord could not evidence the cost
Management fees (2022)£350£240ReducedFee excessive for service delivered
Management fees (2023)£350£240ReducedFee excessive for service delivered
Other charges (2022)Withdrawn
Cleaning (2022)£720£720Withdrawn
Other charges (2022)£600£0conceded

Section 20C order: granted.

Key passages (verbatim)

“The supporting evidence for the amount charged was simply inadequate.”
On buildings insurance
“The supporting evidence for the amount charged was simply inadequate.”
On buildings insurance
“We were not provided with invoices supporting £1200 each year. The invoiced total of £1092 is not excessive in the Tribunal's experience for monthly services.”
On gardening & grounds
“We were not provided with invoices supporting £1200 each year. The invoiced total of £1092 is not excessive in the Tribunal's experience for monthly services.”
On gardening & grounds
“A sum of £350 is therefore unreasonable in amount... the Tribunal determines that the sum of £200 + VAT (£240) would be reasonable to charge for each year in issue.”
On management fees
“A sum of £350 is therefore unreasonable in amount... the Tribunal determines that the sum of £200 + VAT (£240) would be reasonable to charge for each year in issue.”
On management fees
“The Tribunal is concerned that the Agent may be tempted to fix a higher budget than necessary to achieve a certain management fee, as well as making it difficult for the residents to budget.”
Of Respondent / Managing Agent
“The Tribunal would hope and expect the Respondent to ensure that accurate descriptions are given in the service charge "statements" in future.”
Of Respondent / Managing Agent
“whilst Counsel represented the Respondent without fault, his instructions were limited, and there were times when greater explanation could have been given, had someone with knowledge of matters 'at the coalface' attended to assist the Tribunal.”
Of Respondent's Counsel / instructions

This summary is assembled from the structured record of the published decision; amounts appear only where the tribunal stated them. Always rely on the full decision itself.