Section 20 major works: what the notice means and how to respond

A letter mentioning major works can be unsettling, particularly when it arrives with an unfamiliar legal heading and a large estimated contribution. You may be wondering whether the work is necessary, whether the price is fair or whether anyone has considered the effect on your finances.

Section 20 consultation is intended to give leaseholders information and a meaningful chance to comment. The useful response is neither to ignore the notice nor to assume the entire proposal is already beyond discussion. Start by finding out which stage you are looking at.

What is Section 20, and when does it apply?

Section 20 of the Landlord and Tenant Act 1985, together with the consultation regulations, places requirements on landlords proposing certain expenditure recoverable through service charges. An RTM company or residents’ management company can also have consultation obligations. Resident control does not remove leaseholders’ protections.

The trigger concerns an individual contribution, not simply whether the contractor’s total invoice exceeds £250. A roof project and a continuing maintenance agreement may therefore engage different consultation requirements. Read LEASE’s overview of the thresholds and procedures.

Being below a consultation threshold does not give someone unrestricted permission to spend. The lease, authority to instruct work and the rules on reasonable service charges still matter. Equally, following consultation does not establish that every pound is properly recoverable.

First, identify which notice you have received

For a common private-sector major-works project outside an existing qualifying long-term agreement, the sequence usually includes:

1. A notice of intention

   This explains the proposed work and why it is considered necessary. It invites observations and, where the procedure provides for it, contractor nominations.

2. A statement of estimates

   This presents estimates and gives a further opportunity to comment on price, scope and the proposed contractors. It should address observations from the earlier stage.

3. Reasons for awarding the contract, where required

   A notice explaining the selection may be required after the contract is awarded. This is not another standard opportunity to vote on whether the project should proceed.

Do not assume every Section 20 exercise has exactly that sequence. Works under an existing qualifying long-term agreement have a different consultation route, and public procurement can affect both the notices and nomination rights.

If the notice is unclear, ask which procedure is being followed and which stage it represents. That is more useful than comparing it with a template intended for another type of contract.

Responding to a notice of intention

At this stage, concentrate on the need for the work and its proposed scope. Ask for the description or specification if you cannot tell what is included. A heading such as “roof works” may cover anything from local repairs to a much larger renewal.

For the wider decision-making process, read our guide to how repairs and major works are decided in a block of flats.

The usual observation period is 30 days. Check the actual notice, how it was given and where responses must be sent. Avoid relying on a deadline calculated casually from the day you opened the envelope. Raise any concern about the stated period promptly and take advice if timing is disputed. Read about notices of intention and contractor nominations.

Useful observations could include:

• Which inspection or report identified the defect, and when was it prepared?
• What will happen if the work is deferred, and what makes the proposed timing appropriate?
• Have repair and replacement options been considered?
• Does the scope include access, making good and associated professional work?
• Could related work be coordinated to avoid paying twice for access equipment?

Give the reason for your question. If you believe a repair was recently completed, identify the approximate date and the relevant location. If an alternative approach may be possible, explain what you would like investigated. A specific observation is easier to evaluate than a general objection to spending.

Can I nominate a contractor?

In the usual private-sector procedure, the notice of intention provides an opportunity to nominate a contractor from whom an estimate should be sought. The detailed obligations depend on the procedure and nominations received. A nomination is not a guarantee that the contractor will be appointed.

Provide a clear business name and contact details, check that the contractor is interested and explain the type of work they can price. If a nomination is rejected or no estimate is obtained, ask for the explanation rather than assuming a nominated contractor automatically wins the contract.

Responding to the statement of estimates

The common procedure requires at least two estimates, including an estimate from someone unconnected with the landlord. The statement should explain where estimates can be inspected, summarise earlier observations and the response, and allow a further 30-day observation period. Read about statements of estimates.

Compare the work being offered, not just the bottom line. A lower quotation can exclude scaffolding, electrical isolation, disposal, decoration or investigation of concealed defects. A higher figure might include those items, or it might simply need challenging. You need a like-for-like explanation to distinguish the two.

If the proposed cost has increased, ask what changed between the initial outline and the detailed specification. An increase may follow investigation, but it should be explained. Request clarification in time to submit observations rather than waiting until the works have finished.

A practical way to write your observations

Use a separate paragraph for each issue. State the point, the evidence you have and the answer or change you are requesting. Keep a copy of the notice, your response and any delivery acknowledgement.

An observation structure you can adapt

Subject: Section 20 observations, [building], [notice date]

I am the leaseholder of [flat]. These are my observations on the proposed [work].

1. Need and scope: [identify the specific question]. Please provide or identify [report/specification] and explain [point requiring clarification].

2. Options and estimates: [describe the alternative, exclusion or price difference]. Please explain how this has been assessed.

3. Costs and funding: Please show how my estimated contribution has been calculated, including VAT, relevant fees and any proposed use of reserves.

Please consider these observations as part of the consultation and confirm how the response will be provided.

[Name, flat and contact details]

This is a discussion aid, not a prescribed notice or a substitute for advice about a disputed consultation.

You do not need to draft a legal argument to ask a sensible question. If several leaseholders share a concern, coordinated observations can make the point clearer. Make sure each person understands what is being submitted on their behalf.

Must the cheapest contractor be chosen?

Not necessarily. Competence, the specification, programme, exclusions and delivery risks can affect the decision. A preference for another contractor should have a clear explanation, rather than relying on a vague statement that they are “better”.

Under the usual applicable procedure, reasons must be notified within 21 days of awarding the contract unless an exception applies, such as selecting the lowest estimate or a nominated contractor. The precise requirement depends on the consultation route. Read about notices of award.

Ask how your observations affected the decision. The duty is to consider relevant observations, not to agree with every suggestion. Consultation is valuable when it produces a reasoned decision that residents can understand, even where views differ.

What if there is a reserve fund, or I cannot afford the bill?

A reserve fund does not automatically remove consultation requirements. Where qualifying works exceed the threshold, consultation can still be required even if the cost will be met from money already collected. The reserve’s existence also does not establish that it can be used for every proposed item. Read about reserve funds and consultation.

Ask for the expected total expenditure, the proposed reserve contribution and your remaining share to be shown separately. Check whether the figure is provisional, what contingency is included and how a final adjustment will be handled.

If affordability is a concern, raise it early and ask whether a payment arrangement or alternative programme is available. There is no universal entitlement to the instalment plan you prefer. Any arrangement should be confirmed in writing, alongside the payment provisions in your lease.

What if the work is urgent, or consultation did not happen?

Urgent safety work may need to progress before an ordinary consultation timetable can finish. That does not make “emergency” an automatic exemption. The landlord can apply to the tribunal for dispensation from consultation requirements, including after events where appropriate.

Dispensation is different from deciding that the charges are reasonable and payable. A tribunal may impose conditions. If you object, explain what opportunity you lost and what you would have said or investigated with proper consultation. Read about missing consultation and dispensation.

Without compliant consultation or dispensation, recovery can be limited to £250 per leaseholder for qualifying works, or £100 per accounting year under a qualifying long-term agreement. Do not treat that as a reason to decide your own liability without checking the actual process, any tribunal order and the lease. GOV.UK explains the consultation protections.

Does silence mean I have agreed to the final bill?

A consultation response is not the same thing as a final determination of service-charge liability. Silence also does not give the project unlimited authority. However, failing to raise a concern while options are being considered can mean losing a useful opportunity to influence the decision. Respond within the relevant period and obtain advice if liability is disputed.

Before you send your response

For the wider rules on budgets and charges, see our service-charge overview. If your concern is the bill as a whole, read why your service charge may have increased and what to check. Your observations should help clarify the project, not replace advice on a live deadline or dispute.

When you want to talk it through

Trying to make sense of a major-works proposal?

Tell us which notice you have received, the response deadline and the part of the proposal you do not understand. We can discuss whether practical management or consultancy support may help.

Discuss your major-works question↗

Keep exploring

Put this question in context

For the wider picture, explore Service charges explained.

• How are repairs and major works decided in a block of flats?↗See how inspections, fire risk assessments, lease duties, budgets and specialist advice shape repairs and major works in a residential block of flats.
• Reserve funds: is your block planning enough for future repairs?↗Learn how a leasehold reserve fund should relate to future repairs, existing commitments, contributions and consultation, with a simple funding-gap example.