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RDSE Property Managements' guide to understanding the Section 20 process
- davidmetcalfe3
- Nov 3
- 3 min read
If you own a leasehold flat in a managed block, you’ll almost certainly come across the term “Section 20 notice.” It sounds technical, but it’s simply a legal process designed to protect leaseholders and ensure transparency when major works or long-term service contracts are planned.
At RDSE Property Management, we guide clients through the Section 20 process from start to finish, keeping communication open, costs under control, and compliance watertight.
What Is a Section 20 Notice?
A Section 20 notice refers to Section 20 of the Landlord and Tenant Act 1985.It requires landlords or managing agents to consult leaseholders before carrying out:
Major works that will cost any one leaseholder more than £250, or
Long-term agreements (contracts lasting more than 12 months) that will cost any one leaseholder more than £100 a year.
This consultation ensures leaseholders have a say before large sums are committed.
When Is a Section 20 Notice Required?
Common examples include:
External redecoration or roof repairs
Lift or fire alarm replacement
Cleaning, maintenance, or insurance contracts lasting more than 12 months
Upgrades to communal areas or lighting
If the estimated cost per leaseholder is below the £250 (for works) or £100 (for long-term agreements) thresholds, a Section 20 consultation isn’t required... though good managing agents still keep residents informed.
The 3 Stages of the Section 20 Process
The law sets out three clear stages of consultation:
1. Notice of Intention
Leaseholders receive a formal letter explaining:
The nature and reason for the proposed works or contract
How to submit comments within 30 days
The right to nominate contractors (for certain works)
This stage ensures everyone understands what’s being proposed and why.
2. Notice of Estimates
After obtaining quotes, the landlord or managing agent must:
Send leaseholders a summary of at least two estimates
Highlight any differences between them
Invite written observations within another 30 days
Arrange a meeting if leaseholders request one
This keeps the process fair, transparent, and open to scrutiny.
3. Notice of Reasons
Finally, leaseholders receive a Notice of Reasons, explaining:
Which contractor was chosen
The total cost and how it will be apportioned between leaseholders
A summary of the comments received and responses
Only once this final notice is served can the works or contract formally proceed.
What Happens If the Process Isn’t Followed?
If a landlord or agent doesn’t follow the Section 20 process correctly, they risk being unable to recover the full cost from leaseholders. In other words, they might be limited to collecting only £250 per flat, even if the real cost is much higher.
That’s why careful management and clear documentation are so important, both for legal compliance and resident trust.
How RDSE Block & Property Management Makes It Simple
At RDSE Block & Property Management, we handle every stage of Section 20 consultations in-house, ensuring:
Early communication with residents before formal notices are served
Transparent cost estimates and side-by-side quote comparisons
Coordination with reputable, accredited contractors
Full compliance with statutory timelines and notice requirements
Clear post-works reporting so leaseholders can see how their money has been used
Our approach turns a complex process into a clear, managed pathway — protecting both landlords and residents from costly disputes.
In Summary
A Section 20 consultation might sound daunting, but it’s really about openness, fairness, and collaboration. Handled properly, it gives everyone confidence that works are necessary, priced fairly, and completed to a high standard.
If you’d like help with a current or upcoming Section 20 consultation, our team is happy to review your plans and guide you through each step.
📞 Contact RDSE Property Management
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