Section 20 Notices for Flat Owners: What You Need to Know

If you own a leasehold flat, major works to the building you live in — roofing, cladding, communal area refurbishment, lift replacement — are typically funded through service charges. Section 20 of the Landlord and Tenant Act 1985 provides you with consultation rights before the freeholder can recover more than £250 per leaseholder from any single qualifying works contract.

What Is a Section 20 Notice?

A Section 20 notice is a statutory consultation notice that your freeholder or managing agent must serve on you before committing to qualifying works above the threshold. There are two stages:

Stage 1 — Notice of Intention: The freeholder writes to you describing the intention to carry out works, inviting your observations and your suggestions for contractors to be considered.

Stage 2 — Notice of Proposals: After obtaining at least two estimates, the freeholder writes to you again with the estimates obtained, allowing you to make observations and challenge the estimates or scope.

If the freeholder fails to follow the Section 20 process correctly, they may be limited to recovering only £250 per leaseholder from the works — regardless of the actual cost.

What Are Your Rights?

As a leaseholder:

• You have the right to inspect the estimates and supporting documents
• You can make observations — in writing — which the freeholder must consider
• You can nominate contractors during the Stage 1 process
• You can challenge the reasonableness of costs at the First-tier Tribunal (Property Chamber)

Challenging Unreasonable Service Charges

If you believe the works are unnecessary, overpriced, or poorly specified, you can apply to the First-tier Tribunal (Property Chamber) to challenge the reasonableness of the service charge. The Tribunal can reduce or disallow charges it finds unreasonable.

When Section 20 Does Not Apply

Section 20 applies to works above the £250 per leaseholder threshold. Emergency works that must be carried out immediately for safety reasons may be exempt from the full consultation process, though the freeholder must still notify leaseholders and explain why the emergency dispensation applies.

Practical Advice

• Keep copies of all Section 20 notices served on you
• Respond in writing within the observation periods (typically 30 days for Stage 1, 30 days for Stage 2)
• If you have concerns about the works or costs, consult a solicitor specialising in leasehold property before the observation period expires
• Consider forming or joining a Residents' Management Company if multiple leaseholders share the same concerns

RCB Design & Build

RCB Design & Build does not advise on leasehold law, but we work with managing agents and residents' companies on building refurbishment projects — providing clear scope, competitive pricing, and transparent delivery.