First-tier Tribunal Rules Service Charges Reasonable and Payable
📌 In brief
The First-tier Tribunal ruled that all service charges for the periods 2023/2024 and 2024/2025 were reasonable and payable by the tenants under their leases. This includes charges for fire, health, and safety testing, risk assessments, and management fees. Judge Tagliavini presided over the case.
⚖️ Legal holding
Service charges for fire, health and safety testing, risk assessments, and management fees are reasonable and payable under the terms of the leases.
📖 Technical summary
The tribunal determined that all service charges for the periods 2023/2024 and 2024/2025 were reasonable and payable by the tenants under their leases.
📜 Headnote Official document
The First-tier Tribunal determined that all service charges for the periods 2023/2024 and 2024/2025 were reasonable and payable by the tenants under their leases. The tribunal considered the necessity and reasonableness of each charge, including fire, health, and safety testing, risk assessments, and management fees. Judge Tagliavini presided over the case.
📚 Full judgment Official document
OUTCOME: Dismissed
© CROWN COPYRIGHT
FIRST-TIER TRIBUNAL PROPERTY CHAMBER (RESIDENTIAL PROPERTY) Case reference : LON/00AY/LSC/2025/0694 Property : Flats 1, 2 & 3, 173a [ADDRESS] [POSTCODE] [ADDRESS] [POSTCODE]
Applicants : [redacted] (2) [NAME], [ADDRESS]. (3) [NAME], [ADDRESS] (4) [NAME], [ADDRESS] : Mr [COUNSEL] Respondent : [redacted] : Mr [COUNSEL], counsel Type of [NAME] : For the determination of the liability to pay service charges under section 27A of the Landlord and Tenant Act 1985 Tribunal members : Judge Tagliavini Ms Jennifer Rodericks MRICS Venue : 10 [ADDRESS] [POSTCODE] Date of hearing Date of decision : 26 August 2025 14 September 2025
DECISION
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Decisions of the tribunal (1) The tribunal determines that all sums are reasonable and payable by the applicants as service charges for the period 2023/2024 and 2024/2025
(estimated). (2) The tribunal does not make an order under section 20C of the Landlord
and Tenant Act 1985, so that none of the landlord’s costs of the tribunal
proceedings may be passed to the lessees through any service charge. (3) The tribunal does not make an order under para. 5A of Schedule 11 of the Commonhold and Leasehold Reform Act 2002. _____________________________________________________ The [NAME] 1. The applicants seek a determination pursuant to s.27A of the Landlord
and Tenant Act 1985 (‘the 1985 Act and Schedule 11 to the Commonhold and Leasehold Reform Act 2002 (‘the 2002 Act’) as to the amount of service charges and where applicable) administration charges] payable by the applicants in respect of the payability and reasonableness of the service charge year December 2023 to December 2024 under the
following heads and amounts: (i) [COMPANY] and Repairs:£1,132.80 (ii) Completion of BNO Inspection: £456.00 (iii) [NAME] of grit to footpaths in icy weather: £66.00 (iv) Installation of emergency lights: £438.86 (v) Fire, Health and Safety Risk assessment: £408.00 (vi) Remedial works to electric cupboard doors: £375.00 (vii) Management Fee: £1,204.80
Total: £4,077.46
AND December 2024 to December 2025 (estimated)
3 (i) [COMPANY] and Repairs: £1,200 (ii) Fire, Health and Safety Risk assessment: £450.00
Total: £1,650.00 The Property 2. The building which is the subject of this [NAME] comprise two houses converted into: Ground floor: 2 commercial units 1st Floor: Flat 1 (173A) and Flat 1 (175A) 2nd/3rd Floor: Flat 2 (173A) and Flat 3 (173A)
1. The applicants hold a long lease of their respective flats which requires the landlord to provide services and the tenant to contribute towards their costs by way of a variable service charge. The specific provisions of the lease and will be referred to below, where appropriate. The hearing 2. The applicants were represented by Mr [RESPONDENT] (lessee). The respondent was represented by Mr [COUNSEL] of counsel. The tribunal was provided with a 183 page digital bundle on which both parties relied. The issues 3. At the start of the hearing the parties identified the relevant issues for determination as follows: (i) The payability and/or reasonableness of service charges for 2023/2024 and 2024/2025 as set out above.
4. As well as disputing the reasonableness of the amount charge, the
applicants also asserted in their Scott Schedule that the following items
were not chargeable under the terms of the applicants’ lease. In an
earlier [NAME] by the applicants ref: LON/00AY/LSC/2023/0179
the tribunal had found the heads of service charge challenged in that
[NAME] were payable under the terms of the lease. In this
[NAME], many of the same heads of service charge are challenged
and the applicants appear to be raising legal arguments that have been
previously decided and not appealed. The applicants also referred the
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tribunal to the decisions in LON/00AY/LSC/2023/0179 and
LON/00AY/LSC/2024/0034 concerning the same landlord. 5. However, this tribunal is not bound to follow a decision of another
first tier tribunal, although it will have regard to the previous tribunal’s
decisions.
6. In this [NAME], the applicants assert that the following heads of
service charge are not payable under the terms of the lease:
(i) BNO Inspection
(ii) [NAME] of grit
(iii) Works to electric cupboard doors
(iv) Emergency lights 7. The applicants also challenged whether the demands for payment had
been validly made. 8. Having heard evidence and submissions from the parties and considered all of the documents provided, the tribunal has made determinations on the various issues as follows. The tribunal’s decision 9. The tribunal determines that all sums demanded by the respondent for
the service charge years 2023/2024 and 2024/2025 (estimate) are
reasonable and payable by the applicants under the terms of their
respective leases. Reasons for the tribunal’s decision 10. The applicants’ leases at clause xx set out the landlord’s obligations to
maintain the Development in which the subject building (173 and 175
forms part) and keep it in good and substantial order. provide the
following. Clause 6(5) states:
Without prejudice to the foregoing to do or cause to be done all
such works installations acts matters and things as in the
Landlord’s absolute discretion may be necessary or advisable for
the proper maintenance safety and administration of the
Development.
5 11. Although the applicants relied on two previous cases of the tribunal in
LON/00AY/LSC/2023/0179 and LON/00AY/LSC/2024/0034 this
tribunal is not bound by those decision in [NAME] its determinations in
this [NAME]. 12. The tribunal makes the following determinations: [COMPANY] and Repairs:£1,132.80 (£1,540.80 actuals) 13. The tribunal finds the applicants are required to contribute to the cost of these works under the terms of the leases. The tribunal finds the costs
incurred are reasonable and payable by the applicants. The applicants
accept these works are necessary. However, the tribunal finds the
landlord is not bound to accept the applicants’ ‘comparative’ quote of
£1,000 and does not render the landlord’s choice of contractor and scope of works to be unreasonable. Completion of BNO Inspection: £456.00 14. The tribunal finds these costs are reasonable and payable under the
terms of the leases. The tribunal accepts it was necessary and reasonable for the contractor to re-attend the subject property in order to complete the inspection. The applicants are being charged for the successful visit and not the earlier unsuccessful visit. [NAME] of grit to footpaths in icy weather: £66.00 15. The tribunal finds this service charge falls under the landlord’s wide
discretion afforded by clause 6(5) of the lease. As seen in photograph
provided, the area of grit applied covers the area immediately outside the applicants front doors (173A and 175A). The tribunal considers the sum
incurred is minimal and reasonable in view of the health and safety
aspect. Therefore, the tribunal finds this sum is payable by the
applicants.
In writing up the decision I changed my view on this item. Do you agree – I am quite happy to change.
I’d still be inclined to go with our original decision on the basis that the area gritted is outside of the landlord’s ownership. However, it is a very small cost and photographic proof was provided so I don’t feel strongly either way. Happy to go with your amendment therefore. Installation of emergency lights: £438.86
6 16. The tribunal finds this sum is reasonable and payable by the applicants.
The tribunal does not accept the applicants’ assertions that this work was unnecessary as the lease allows the landlord a wide discretion in deciding upon what safety measures to implement. Fire, Health and Safety Risk assessment: £408.00 17. The tribunal finds this sum is reasonable and payable under the terms of the leases. Remedial works to electric cupboard doors: £375.00 18. The tribunal finds this sum is reasonable and payable by the applicants
under the terms of the leases. The tribunal accepts the respondent’s
submissions that there is a continuing duty to ensure compliance with
safety legislation. Although, the applicants assert previous work was
done badly the tribunal finds that this does negate the obligation of the
landlord to ensure remedial works are done and the cupboard and
building made safe in the event of a fire. Management Fee: £1,204.80 19. The tribunal finds this sum is payable under the terms of the leases and
within the range of reasonableness for the services provided to the
applicants. [COMPANY] and Repairs: £1,200 20. The tribunal finds the applicants have accepted the need for the landlord to carry out these works. The tribunal finds the estimate sum is
reasonable and payable by the applicants. Fire, Health and Safety Risk assessment: £450.00 21. The tribunal finds this sum is reasonable and payable under the terms
of the leases. [NAME] under s.20 of the 1985 Act and para 5A of Sch.11 of the 2002 Act 22. In the [NAME] form the applicants applied for an order under section 20C of the 1985. Having regard to its decisions above, the tribunal does not consider that it is just and equitable in the circumstances for an order to be made under section 20C of the 1985 Act. Similarly, the tribunal declines to make an order under para 5A of Schedule 11 of the 2002 Act.
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Name: Judge Tagliavini
Date: 14 September 2025
Rights of appeal
By rule 36(2) of the Tribunal Procedure (First-tier Tribunal) (Property Chamber) Rules 2013, the Tribunal is required to notify the parties about any right of appeal they may have. If a party wishes to appeal this decision to the Upper Tribunal (Lands Chamber), then a written [NAME] for permission must be made to the First-tier Tribunal at the [NAME] which has been dealing with the case. The [NAME] should be made on Form RP PTA available at https://www.gov.uk/government/publications/form-rp-pta-[NAME]-for- permission-to-appeal-a-decision-to-the-upper-tribunal-lands-chamber The [NAME] for permission to appeal must arrive at the [NAME] within 28 days after the Tribunal sends written reasons for the decision to the [NAME]. If the [NAME] is not made within the 28-day time limit, such [NAME] must include a request for an extension of time and the reason for not complying with the 28-day time limit; the Tribunal will then look at such reason(s) and decide whether to allow the [NAME] for permission to appeal to proceed, despite not being within the time limit. The [NAME] for permission to appeal must identify the decision of the Tribunal to which it relates (i.e. give the date, the property and the case number), state the grounds of appeal and state the result the party [NAME] the [NAME] is seeking. If the Tribunal refuses to grant permission to appeal, a further [NAME] for permission may be made to the Upper Tribunal (Lands Chamber).
📊 How courts decide similar cases
Among 10 similar decisions in this collection:
- First-tier Tribunal (Property Chamber) Tenant ordered to Pay Service Charges After Dispute with Landlord
- First-tier Tribunal (Property Chamber) First-tier Tribunal Rules on Service Charge Payability
- First-tier Tribunal (Property Chamber) Tenant Successfully Challenges Some Service Charges
- First-tier Tribunal (Property Chamber) First-tier Tribunal Determines Reasonable Service Charges
- First-tier Tribunal (Property Chamber) Service Charges Not Payable Due to Landlord's Long-term Neglect
- First-tier Tribunal (Property Chamber) Tenant Wins Service Charge Dispute Over Major Works Notification
- First-tier Tribunal (Property Chamber) First-tier Tribunal Adjusts Service Charges for Accurate Management Fees
- First-tier Tribunal (Property Chamber) Tenant Successfully Challenges Service Charges in First-tier Tribunal
- First-tier Tribunal (Property Chamber) Service Charges for Insurance and Repairs Found Reasonable
- First-tier Tribunal (Property Chamber) Tenant Ordered to Pay £1307.28 for Intercom System Upgrade
A snapshot of this collection — not a prediction of your case's outcome.
⚖️ What tends to weigh in cases like this
✅ Tends to be accepted
- Landlords can recover reasonable estate costs from tenants under lease agreements.
- Tenants are entitled to refuse payment of service charges if landlords fail to provide proper notification.
- Service charges for major works and decoration costs must be reasonable and justified.
- Tenants have the right to challenge the validity of service charges under the Landlord and Tenant Act 1985.
- Estimated service charges are reasonable if they are a fair estimate based on previous year's actual costs.
❌ Tends to be rejected
- Tenants are not entitled to refuse payment of service charges if the lease obligates the landlord to maintain the item.
- Service charges for insurance, terrorism cover, repairs, and management fees are reasonable and payable under the Landlord and Tenant Act 1985.
Patterns observed in similar cases in this collection — every case is unique.
❓ Frequently asked questions
What did this decision decide?
The tribunal ruled that all service charges for the periods 2023/2024 and 2024/2025 were reasonable and payable by the tenants under their leases.
Who was involved?
The tenants and the landlord were involved in the dispute over service charges.
How did the court decide, and why?
The court decided that the service charges were reasonable and payable because they fell within the landlord's obligations under the leases.
Which laws or rules were applied?
The Landlord and Tenant Act 1985 Section 27A and the Commonhold and Leasehold Reform Act 2002 Schedule 11 were applied.
What was the argument that mattered most?
The argument that mattered most was that the service charges were reasonable and necessary under the terms of the leases.
Was the decision for or against the person who brought the case?
The decision was against the tenants who brought the case.
What does this mean for someone in a similar situation?
Someone in a similar situation should review their lease agreement to understand their obligations regarding service charges.
What evidence or documents mattered?
Evidence and documents related to the necessity and reasonableness of the service charges were important.
Can a decision like this be appealed?
Yes, a decision like this can be appealed to the Upper Tribunal (Lands Chamber) within 28 days.
Is it worth getting a solicitor for a case like this?
It is always recommended to get advice from a qualified solicitor for a case like this.
