From time to time we will need to carry out major work to the building or estate, which includes your flat or maisonette.
As a leaseholder you are, in most cases, legally obliged to contribute towards the cost of this work.
These charges are in addition to your usual service and routine repair charges. If they are more than £250, we will need to consult with you (known as a section 20 consultation).
Consultation on major works
If we need to choose a contractor by asking different companies to return estimates of their costs, we must first send you a ‘notice of intention’.
The notice will describe the work we are planning to do and why it is needed. You will have 30 days to send us your comments on the works.
If you want to, you can nominate a contractor who you think we should ask to provide an estimate. We must take account of any comments and try to get an estimate from contractors suggested by leaseholders and Residents' Association.
We will then send a second written notice (notice of estimates), setting out the estimated cost from at least 2 of the estimates.
This letter will include a summary of the comments we received and our responses to them. All the estimates will be available to see.
We will invite you to send us written comments on the estimates within 30 days. We must take account of these written comments.
We will then award the contract.
We do not have to write to you again if the chosen contractor has been nominated by a leaseholder, or has sent in the lowest estimate.
If we do not choose the nominated contractor, within 21 days we will write to you again to let you know who will be doing the work and why we have chosen them. We will also let you know about any comments we have received and what our response is to them.
Once the works are complete we would welcome your feedback on how the Home Ownership Team managed the process, as well as how the contractor performed whilst the works were being carried out.
You can give us your views through our online feedback forms. We have one feedback form for major works such as full external refurbishment of your block and a separate feedback form for minor works such as communal redecoration.
Qualifying long term agreements
If we want to enter into an agreement with a contractor that is more than 12 months and the cost to any one leaseholder will be more than £100, we need to consult you.
A long term agreement can cover things like:
- buildings insurance
- lift maintenance
- programmed works to your block
The consultation for long term agreements follows a similar process as that for major works.
Major works under long term agreements
If we need to carry out work under a long term agreement and the cost to any one leaseholder will be more than £250, we need to consult you.
We must first send you a ‘notice of intention’ which will describe the work we are planning to do, why it is needed and an estimate of costs. You will have 30 days to send us your comments on the works.
You will not be able to nominate a contractor as we would have already entered into an agreement with a contractor to carry out the proposed works and you would have already been consulted on the agreement.
Before the works start, you will have the option to request a one-to-one meeting at the Civic Centre between 9am and 4:30pm to discuss any concerns you may still have regarding the works.
When the contractor is on site, we will give you reasonable notice for access to individual properties and provide you with updates the programme of works is longer than 3 months.
With most work, the council or the contractor will ask the residents to complete a satisfaction questionnaire. Only sign the form if you are satisfied. If you are not, please put your comments in writing immediately and we will investigate them.
You should not feel pressurised into signing something when you are not happy with the work.
Challenge major works
You have the right to challenge either the cost (including fees) or the scope of the works.
You need to contact us first to challenge any charges. However, a formal challenge can be made at any time during the major works process using the First-tier Tribunal (Property Chamber).
You can get more information about making a formal challenge and the application form on GOV.UK
Payment for major works
We will send you a separate invoice after the work is completed.
We offer a 2.5% prompt payment discount if we receive payment for the invoice within 30 days.
We have different payment options for leaseholders depending on whether or not you live in the property, as well as companies.
Ten months interest free payments
We offer 10 month interest free payments if you’re unable to pay your invoice immediately.
You will need to complete the Direct Debit form and return it to our Home Ownership team.
Interest free loan
You can apply for an interest free loan for up to a maximum term of 10 years, which will be secured on the property by mortgage.
There is an administration fee of £300, added to the loan and paid over the term. You will also have to pay the redemption fee of £87.50 once the final repayment has been made.
Mandatory council loan
You could be eligible for a mandatory council loan, which will be secured on the property by mortgage.
You may have a right to a loan if both the following apply to you:
- the lease of the property was purchased under the Right to Buy (it does not matter whether you are the original buyer of the property)
- the lease was purchased less than 10 years before the date of the major works invoice for which you require a loan
Legally we must provide you with a loan where your charges are over £1,044.00 but less than £40,740.00. We cannot lend more than the amount due for the major works invoice.
Depending on the amount of the loan, you can spread your repayments over 1 to 10 years. The law requires that if you borrow:
- less than £1,500.00, you must repay within 3 years
- £1,500.01 to £4,999.99 you must repay within 5 years
- £5,000.00 or more, you must repay within 10 years
You can pay back your loan in less time if you want to.
The current interest rate is 3.56% variable.
There is an administration fee of £176.08, added to the loan. You will have to pay a redemption fee of £87.50 once the final loan repayment has been made.
Discretionary loan
We offer discretionary loans, secured on the property by mortgage, where the major works invoice is over £500, and you do not meet the mandatory loan criteria.
You must repay loan amounts of:
- up to £1,500.00 within 3 years
- £1,500.01 to £4,999.99 within 5 years
- £5,000 to £40,740.00 within 10 years
- £40,741.00 to £80,000 within 12 years
The current interest rate is 3.56% variable.
There is an administration fee of £176.08, added to the loan. You will have to pay a redemption fee of £87.50 once the final loan repayment has been made.
Voluntary charge
If you are on a low income, in financial hardship and other repayment options are not possible, a charge for the value of the invoice can be secured against the property.
You will need to complete a financial assessment form and supply evidence of income and identity to support your application. You will also need to pay an administration fee of £300 when you apply.
If agreed, you will not have to make any repayments towards the debt but interest will accrue until the debt is repaid. The current interest rate is 3.56% variable.
Flexible option
If you can only afford to pay part of your invoice in 30 days, you can still receive 2.5% discount on the part you have paid. We must receive the part payment within 30 days.
You will then need to contact the Home Ownership team to make arrangements for payment of the outstanding amount.
Ten months interest free payments
We offer 10 month interest free payments if you’re unable to pay your invoice immediately.
You will need to complete the Direct Debit form and return it to our Home Ownership team.
Mandatory council loan
You could be eligible for a mandatory council loan, which will be secured on the property by mortgage.
You may have a right to a loan if both the following apply to you:
- the lease of the property was purchased under the Right to Buy (it doesn’t matter whether you are the original buyer of the property)
- the lease was purchased less than 10 years before the date of the major works invoice for which you require a loan
Legally we must provide you with a loan where your charges are over £1,044.00 but less than £40,740.00. We cannot lend more than the amount due for the major works invoice.
Depending on the amount of the loan, you can spread your repayments over 1 to 10 years. The law requires that if you borrow:
- less than £1,500.00, you must repay within 3 years
- £1,500.01 to £4,999.99 you must repay within 5 years
- £5,000.00 or more, you must repay within 10 years
You can pay back your loan in less time if you want to.
The current interest rate is 3.56% variable.
There is an administration fee of £176.08, added to the loan. You will have to pay a redemption fee of £87.50 once the final loan repayment has been made.
Discretionary loan
We offer discretionary loans, secured on the property by mortgage, where the major works invoice is over £500, and you do not meet the mandatory loan criteria.
You must repay loan amounts of:
- up to £1,500.00 within 3 years
- £1,500.01 to £4,999.99 within 5 years
- £5,000 to £40,740.00 within 10 years
- £40,741.00 to £80,000 within 12 years
The current interest rate is 3.56% variable.
There is an administration fee of £176.08, added to the loan. You will have to pay a redemption fee of £87.50 once the final loan repayment has been made.
Flexible option
If you can only afford to pay part of your invoice in 30 days, you can still receive 2.5% discount on the part you have paid. We must receive the part payment within 30 days.
You will then need to contact the Home Ownership team to make arrangements for payment of the outstanding amount.
Ten months interest free payments
We offer 10 month interest free payments if you’re unable to pay your invoice immediately.
You will need to complete the Direct Debit form and return it to our Home Ownership team.
You can make payment:
- online
- by phone on 01279 446655 (Monday to Friday 9am to 4.45pm)
- by phone on 01279 446600 (24 hour automated bill payment service)
- bank transfer – Harlow Council’s bank account details will be on your letter
You can view your current balance and payment details by signing up for a MyHome account.
Contact information
Harlow Council
Civic Centre
The Water Gardens
College Square
Harlow CM20 1WG