Service Charges
Details of Service Charges
Under the terms of your lease, you are required to pay a service charge. Your service charge is the money you pay towards the day-to-day running costs of the block in which your flat is situated as well as your share of any major repairs/improvements. We also charge management and administration costs. This charge reflects the cost of managing and administering the services we provide, raising service charge bills, etc.
Building Insurance
We also arrange buildings insurance on your behalf. The cost of this is included in your annual service charge. To keep your insurance valid, you need to let us know of any changes to your property that might affect your policy, e.g. you let your home to tenants. You may not be able to claim on your insurance if we are not told about these changes as they happen. Please remember that it is your responsibility to arrange contents insurance cover (i.e. your own possessions).
When will you receive your statement?
Every year in May after the start of our financial year (April – March), we will send you a statement for the estimated service charge for the year ahead. Details as to how to make payments in advance will accompany the estimated service charge statement.
Major Work
Broxtowe Borough Council must tell you if they want to do major work that is likely to cost more than £1,000 per block, “or if the amount any one leaseholder will have to pay towards qualifying work is more than £250”
What's included in your Service charge?
The service charge year ends on 31 March. Following the statement for the estimated service charge, Broxtowe Borough Council will send you a statement detailing actual costs each September for the previous year. If the Council has spent more on your property than it had estimated you will be sent an invoice for the difference, if it has spent less, you will be issued with a credit note. You can decide if you would like a refund or to keep the money on account for the year ahead. If you think your service charge is unreasonable, please let us know and we will check the charges. If we have made a mistake we will put it right. If the charge is correct, we will explain why.
Details of what can and cannot be charged by the Council and the proportion of the charge to be paid will be set out in the lease.