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How we work out service charges
How much of the service charge you pay depends on the gross value of your flat.
The District Valuer’s Office works out gross values based on the property’s market value, floor area, age and condition. The gross value of a block or an estate is the total of the gross values of all the flats in the block, or on the estate. For example, if a block has six flats in it and each flat has a gross value of £300, the gross value for the block will be £1800 (6 x £300). The same rule applies to the estate. Each flat’s share of a repair to the block that cost £360 would be £60 (six flats of equal value each paying 1/6 of the repair bill).
The District Valuer’s Office works out gross values based on the property’s market value, floor area, age and condition. The gross value of a block or an estate is the total of the gross values of all the flats in the block, or on the estate. For example, if a block has six flats in it and each flat has a gross value of £300, the gross value for the block will be £1800 (6 x £300). The same rule applies to the estate. Each flat’s share of a repair to the block that cost £360 would be £60 (six flats of equal value each paying 1/6 of the repair bill).
If your service charge is different from your neighbour’s, it could be because your flat is larger or smaller, or older or newer, and so has a higher or lower gross value. There may also be differences caused by the age and type of lease.