Challenging an administration charge

You can challenge an administration charge if:

• you do not think you’re required to pay under the terms of your lease
• you do not think the amount is reasonable – for example if it’s excessive compared to the amount of work involved

If the administration charge is fixed in the lease, you can apply to a tribunal to vary the lease so that the charge is reasonable.

It’s best to try to resolve the issue with your landlord or managing agent first.

Set out your concerns to them in writing as soon as possible. Keep a record of all communications, as they could be useful later if you need to take legal action.

Check whether your landlord or managing agent has a complaints process that you can use.

If you’re unable to resolve the problem by contacting your landlord, you could: 

• try mediation, where a trained professional (mediator) helps both sides work out an agreement
• speak to a solicitor for advice
• apply to the tribunal

If you and your landlord cannot reach an agreement and you have evidence that the charge is not reasonable, you can apply to a tribunal. In England you need to apply to the First-tier Tribunal (Property Chamber), and in Wales to the Leasehold Valuation Tribunal.

You apply by submitting a form:

• in England – Application Form Leasehold 1
• in Wales – Application Form LVT2

You need to provide:

• a copy of your lease
• a copy of the demand for the administration charge
• an application fee – you can apply for help with paying the fee if you’re getting certain benefits or on a low income

When you apply, you should also apply for an order that stops the landlord from recharging their costs for the tribunal proceedings through the service charge, or charging you for their legal costs through an administration charge. You can do this using the same form.

The tribunal will either:

• make a decision by looking at your application and the documents you’ve provided
• invite you to a hearing to discuss your case

If they find that you need to pay an administration charge, they can decide the amount and when it must be paid.

Find out more about applying to the tribunal.