How we calculate service charges
We calculate your service charge contribution by using the rateable values of:
- your property
- the block and estate
- the total cost of the service
About the rateable value
The rateable value (RV) is the floor space of the property, which was set by the government. This means a 3 bedroom property will have a higher RV than a 2 bedroom property as it's expected to be bigger.
Example calculation
An example of how the service charge would be calculated based on the following RVs:
- Flat RV: 213
- Block RV: 3384
- Estate RV: 121318
Estate charge
If the estate caretaking charge to your estate was £13,595.71, your contribution would be calculated like this:
213 (flat RV) / 121318 (estate RV) x £13,595.71 cost = £23.87 (your contribution)
Block charge
If the block repair charge to your block was £813.62, your contribution would be calculated like this:
213 (flat RV) / 3384 (block RV) x £813.62 cost = £51.21 (your contribution)
There may be some exceptions. Contact the Home Ownership Service if you have any queries about the calculations.
Fourth floor, The Woolwich Centre
35 Wellington Street
London, SE18 6HQ