Written question asked by Lord Pickles (Conservative) on Tuesday, 15 December 2009, in the House of Commons. It was due for an answer on Tuesday, 5 January 2010. It was answered by Lord Austin of Dudley (Labour) on Tuesday, 12 January 2010 on behalf of the Department for Communities and Local Government.

Leasehold: Service Charges

Question: To ask the Secretary of State for Communities and Local Government what guidance his Department has issued to (a) local authorities and (b) arms length management organisations on the level of service charges levied by them on their leaseholders.

Answer: In February 1997, the Department issued guidance to social landlords on how to comply with two sets of directions issued at that time.The Social Landlords Discretionary Reduction of Service Charges (England) Directions 1997 give social landlords discretion to reduce or waive leaseholders' bills in specified circumstances.The Social Landlords Mandatory Reduction of Service Charges (England) Directions 1997 require them to reduce bills in certain cases when special Government assistance is applied for from specified programmes.The Department's 2006-07 Housing Revenue Account (HRA) Manual also provides guidance to local authorities on appropriate accounting treatment of mixed leaseholder and tenanted blocks, including general advice on how to account for income and expenditure on works to common parts.The above guidance does not distinguish between local authorities and their Arms Length Management Organisations.

Secondary information