CHI/00MR/LSC/2020/0071 — service charge decision
In CHI/00MR/LSC/2020/0071, decided 1 February 2021, the First-tier Tribunal considered 14 disputed service charge items at Flat 5, Rostrevor Mansions, St Helen's Parade, Southsea, Portsmouth and reached a mixed result: 4 items were reduced or disallowed. Full decision on GOV.UK below.
Property: Flat 5, Rostrevor Mansions, St Helen's Parade, Southsea, Portsmouth
Decision date: 1 February 2021
Full decision: Read on GOV.UK
Managing agent named in the decision: Beal's Block Management.
What was challenged and what the tribunal decided
| Item | Demanded | Allowed | Outcome | Grounds |
|---|---|---|---|---|
| Repairs & maintenance (2014) | £58.19 | £0 | conceded | Other grounds |
| Repairs & maintenance (2014) | £198 | £158 | Reduced | Not payable under the lease, Landlord could not evidence the cost |
| Repairs & maintenance (2015) | £678 | £678 | Allowed in full | — |
| Repairs & maintenance (2015) | £444 | £344 | Reduced | Costs unreasonably incurred (s19(1)(a)), Landlord could not evidence the cost |
| Cleaning (2015) | £40 | £40 | Allowed in full | — |
| Cleaning (2016) | £25 | £25 | Allowed in full | — |
| Cleaning (2016) | £56 | £56 | Allowed in full | — |
| Repairs & maintenance (2017) | £768 | £768 | conceded | — |
| Cleaning (2019) | — | — | Allowed in full | — |
| Repairs & maintenance (2019) | — | — | Allowed in full | — |
| Major works (2019) | £1,140 | £0 | Disallowed entirely | Landlord could not evidence the cost, Costs unreasonably incurred (s19(1)(a)) |
| Other charges (2019) | £360 | £360 | conceded | — |
| Repairs & maintenance (2020) | £102 | £62 | Reduced | Other grounds |
| Other charges (2020) | £46.26 | £0 | conceded | Other grounds |
Section 20C order: granted.
Key passages (verbatim)
“The Respondents indicated that this had been adjusted by a credit in the 2014 accounts, which the Applicant agreed to be the case, such that this issue was no longer pursued.”
“The Tribunal noted that the invoice covered 5 items of work without any breakdown of the individual costs... the works did appear to be associated with the handrail of the adjoining property and, as such, not chargeable to the leaseholders of this property. Accordingly, it treated each of the 5 small jobs as of equal worth and orders that 1/5th, i.e. £40, is not payable.”
“In all of the circumstances detailed above, the Tribunal finds that £678 was a reasonable cost for these works.”
“The Tribunal noted that underlay was included in the invoice, which poorly recorded the work actually done. There being no breakdown as to individual costs, the Tribunal again had to make a commonsense assessment. Having done so, it reduced the overall sum by £100 to reflect the non-supply of underlay.”
“this was a service recognised by the lease as forming part of the service charge, it being a part of proper maintenance of the common parts. It follows that the Tribunal finds this to be a reasonable charge.”
“this was a service recognised by the lease as forming part of the service charge, it being a part of proper maintenance of the common parts. It follows that the Tribunal finds this to be a reasonable charge.”
“There appeared to be a lot of assumptions made, some of them contradictory, when it should have been quite easy for the Respondents to settle this matter with the production of relevant documentation.”
“the managing agent would be advised to ask contractors, wherever possible, to break down elements of their invoices, where multiple tasks are undertaken. That is a requirement recognised by the Code at 10.4: "Contractors should issue appropriately detailed invoices for all works carried out, however minor, which should state clearly what the charges are for."”
“The Tribunal records that the recommended standard, to be found in technical releases 03/11 (Residential Service Charge Accounts) issued by ICAEW states that Service Charge accounts should be prepared on the accruals basis.”
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.