Payments and charges

Shared ownership service charge guide

Service charge estimates

Service charge estimates are your contribution towards the costs we, as the landlord, expect to incur in the upcoming accounting period for future services to your estate and or apartment block (as appropriate).

The Council’s accounting period, as per the terms of your lease, is from the 1st April to the 31st March each year.

We are only able to charge you for the costs incurred, we do not make a profit through service charges.

The figures are calculated based on existing contracts, previous historic charges, and any additional data or intelligence available to us.  We take all reasonable steps to be as accurate as possible.

However, as with all estimates, the actual costs incurred during the period maybe higher or lower than anticipated.  Therefore, we will carry out a full account reconciliation in the autumn following the end of the accounting period.  We will write to you again to notify you of the outcome.

For more detailed information, please consult your lease agreement, or seek further advice from a suitably qualified professional.

Why do I have to pay?

Your requirement to contribute towards these future costs is set out in the terms of your lease.

These payments will be collected through your direct debit arrangement.  By making these payments in advance you can benefit from spreading the costs over the billing period.

What if I have difficulty paying?

We appreciate that the current situation may have made managing your finances more difficult.  If you do face any difficulty in paying your service charges it is essential that you contact us as soon as possible so that we can discuss all the options available to you.

If we do not hear from you, and you have not cleared your account or set up a direct debit arrangement, your account will be deemed in default and subject to arrears recovery action.

What do my service charges pay for?

The services provided may vary depending on where you live and the type of property you have. The services that apply to your home are shown on your service charge statement. A guide to services you may receive is shown below.  Please note that all charges incurred are apportioned equally by the number of properties in the block or estate.

Management Fee

The management charge covers the costs incurred by providing a leasehold and freehold management service. From time to time this may include additional costs for additional professional fees, training, subscriptions, and licence fees reasonably incurred in the operation of the service.

Any ad-hoc income generated by the service, for example, when providing information for private property sales through our administration charges, will be offset against the management charge to reduce the overall amount charged.


The cost incurred for insuring the structure and common parts of your property, and the apartment block (as appropriate). It does not cover your home contents.

The cover is provided by Travellers Insurance Co Limited.

The premium is calculated appropriate for each specific development, ensuring fair and appropriate cover is provided.

Communal Cleaning

Employing and managing cleaning contractors to carry out the cleaning of the communal areas.

Window Cleaning

If your property benefits from external window cleaning this covers the cost of providing this service.


Employing a caretaking service to the block and or estate to provide services such as litter picking, replacing light bulbs, reporting communal repairs and carrying out safety checks.

Cyclical Works

Cyclical testing of electrical fixed wiring.

Communal Electricity

Supplying electricity to the communal areas, internally and externally. The charge includes electricity costs for lifts, door entry systems, emergency lights, smoke vents, fire alarms and external lighting.

Lift Servicing

The cost of servicing and maintaining the lifts in your block.

Lift Line

Line rental for operating the emergency line in the lift.

Safety Checks

This charge relates to testing the emergency lighting fire alarms, fire doors, etc.

AOV Servicing

Servicing of the automatic opening vents.

Water Tank & Pump Room Servicing

Testing and servicing of the water tank and pump room.

Grounds Maintenance

This covers the cost of maintaining the communal grounds on the estate. This charge may include grass cutting weeding, pruning of shrubs, tree maintenance, planting etc.

Sinking funds

Sinking funds are contributions collected by the Landlord in advance for specific future capital works costs, such as redecoration of communal areas or resurfacing of unadopted paths and roads.

This money is held in an interest accruing account by the Landlord. The account balance, along with any interest that has been applied, will be included with your reconciliation statement.

To make sinking fund contributions more manageable the landlord has used a calculation methodology that provides a lower starting cost with an annual increase, as opposed to a static charge over the lifespan of the sinking fund item.