http://www.legislation.gov.uk/ukpga/2024/22/section/75Leasehold and Freehold Reform Act 2024Statute Law Database2025-03-03Expert Participation2025-03-03
Part 5Regulation of estate managementLimitation of estate management chargesLimitation of estate management charges: consultation requirements
75
1
This section applies to works if costs incurred by an estate manager in carrying out those works exceed an appropriate amount.
2
An “appropriate amount” is an amount set by regulations made by the Secretary of State.
3
Regulations under subsection (2) may make provision for either or both of the following to be an appropriate amount—
a
an amount specified in, or determined in accordance with, the regulations;
b
an amount which results in the relevant contribution of any one or more persons being an amount specified in, or determined in accordance with, the regulations.
4
The “relevant contribution” is the amount which an owner of a managed dwelling may be required to contribute by the payment of an estate management charge to the relevant costs incurred in carrying out the works.
5
Where this section applies to works, the relevant contribution is limited in accordance with subsection (9) or (10) (or both) unless the consultation requirements have, in relation to the works, been either—
a
complied with, or
b
dispensed with by (or on appeal from) the appropriate tribunal.
6
The “consultation requirements” are requirements specified in regulations made by the Secretary of State.
7
Regulations under subsection (6) may, among other things, include provision requiring an estate manager to—
a
provide details of proposed works to owners of managed dwellings;
b
obtain estimates for proposed works;
c
invite owners of managed dwellings to propose the names of persons from which the estate manager should try to obtain other estimates;
d
have regard to observations made by owners of managed dwellings in relation to proposed works and estimates;
e
give reasons in specified circumstances for carrying out works.
8
The appropriate tribunal may make a determination under subsection (5)(b) that all or any of the consultation requirements are to be dispensed with only if the tribunal is satisfied that it is reasonable to dispense with the requirements.
9
Where an appropriate amount is set by virtue of subsection (3)(a), the relevant contribution of an owner of a managed dwelling is limited to the appropriate amount.
10
Where an appropriate amount is set by virtue of subsection (3)(b), the relevant contribution of an owner of a managed dwelling whose relevant contribution would otherwise exceed the amount specified or determined in accordance with the regulations is limited to that amount.
11
A statutory instrument containing regulations under this section is subject to the negative procedure.
S. 75 not in force at Royal Assent, see s. 124(3)