Decision summary

LON/00BK/LSC/2022/0172 — service charge decision

In LON/00BK/LSC/2022/0172, decided 24 February 2023, the First-tier Tribunal considered 6 disputed service charge items at 13 Greencoat Mansions, Greencoat Row, London SW1P 1PG and reached a mixed result: 4 items were reduced or disallowed. Full decision on GOV.UK below.

Property: 13 Greencoat Mansions, Greencoat Row, London SW1P 1PG
Decision date: 24 February 2023
Full decision: Read on GOV.UK

What was challenged and what the tribunal decided

ItemDemandedAllowedOutcomeGrounds
Utilities (2011-2020)—£42.35ReducedCosts unreasonably incurred (s19(1)(a)), Apportionment error
Staffing & concierge (2011-2020)——ReducedApportionment error, Costs unreasonably incurred (s19(1)(a))
Repairs & maintenance (2019-20)£72.34£25.53ReducedApportionment error
Buildings insurance (2011-2020)—£100ReducedInsurance not market tested, Landlord could not evidence the cost
Repairs & maintenance (2011-2020)——Allowed in full—
Other charges (2011-2020)——Allowed in full—

Section 20C order: granted.

Key passages (verbatim)

“a electricity charge to the Respondent for each year in dispute would only be reasonable in amount to the extent that it did not exceed £42.35”
On utilities
“caretaking charges are only reasonable in amount to the extent that they are based on no more than 5 hours of work per week”
On staffing & concierge
“there was an overcharge of £46.81 in relation to 'responsive repairs' for the year 2019/20”
On repairs & maintenance
“the Tribunal cannot be satisfied that the service charge in relation to buildings insurance is reasonable in amount… a reasonable charge for the years in dispute would be no more than £100 per year”
On buildings insurance
“the accounts are compiled by professional accountants who would have seen the original documents and based their work on them”
On repairs & maintenance
“service charge provisions in leases are rarely based on benefit and use. The Respondent's lease requires him to contribute to this maintenance”
On other charges
“The Tribunal cannot understand why such errors would not have been apparent without anyone pointing them out. If there is a meter for the estate and each block, there must be a charge in the statements for the estate and each block. Every time there wasn't, something had gone wrong and whoever compiled the statements should have been able to see that.”
Of Peabody (Applicant) — electricity accounting
“The Applicant has had plenty of time to produce its evidence. The Tribunal has to make its decision from that which has been made available for the hearing.”
Of Peabody (Applicant) — caretaking evidence
“The Applicant had no explanation for this massive increase.”
Of Peabody (Applicant) — caretaking hours increase
“The real problem here is that the Applicant's repeated and ongoing failure to produce documents to justify its service charge expenditure has led to a breakdown in the essential relationship of trust between landlord and lessee.”
Of Peabody (Applicant) — maintenance invoices and disclosure

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.