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The Section 20 consultation process

Your landlord must follow a strict 3-stage process before charging you for major works or entering a long-term agreement. Here is exactly what they must do — and what you can do at each stage.

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TL;DR

There are 3 stages: notice of intention, statement of estimates, and award of contract
You have 30 days to respond at stages 1 and 2
You can nominate your own contractor at stage 1
The landlord must obtain at least 2 estimates — one must be independent
If they choose a contractor who is not the cheapest or your nominee, they must explain why in writing within 21 days
The whole process typically takes 2 to 3 months minimum

Why the process exists

The Section 20 consultation process exists to stop freeholders and managing agents from awarding contracts to connected or overpriced contractors without leaseholders having any say. Before the Commonhold and Leasehold Reform Act 2002 introduced these rules, landlords could charge leaseholders for major works with little transparency and no obligation to seek competitive estimates. The 3-stage process gives leaseholders the right to be informed, to comment, and to suggest their own contractor.

When does the process apply?

Two thresholds trigger the consultation requirement:

Qualifying works: any works where the cost to any single leaseholder will exceed £250 (including VAT). This covers repairs, maintenance, improvements, roof works, redecoration, window replacement, lift repairs, and so on.
Qualifying long-term agreements: any contract for services lasting more than 12 months where the annual cost to any single leaseholder will exceed £100 (including VAT).

Stage 1: Notice of intention to carry out works

The landlord must serve a formal notice on each qualifying leaseholder and on any recognised tenants' association. The notice should describe the proposed works or agreement, why they are needed, and where the work will happen if relevant.

Leaseholders must be invited to make written observations within a set period (usually 30 days from the date of the notice).
They must also be invited to nominate a contractor from whom the landlord should try to obtain an estimate.
You should reply in writing within that window if you want your comments or nomination on record. Keep copies of everything you send.

When you are ready to respond, use our free Section 20 observation letter template — it covers observations, contractor nomination, and document requests in one letter.

Stage 2: Statement of estimates

The landlord must obtain at least two estimates for the work (or for the proposed long-term agreement). At least one estimate must be from a contractor who has no connection with the landlord. If you nominated a contractor at stage 1, the landlord must seek an estimate from them unless there is a good reason not to.

A summary of the estimates, and often more detail, must be sent to leaseholders so they can compare costs and scope.
You usually have another 30 days to send written observations on the estimates.
You normally have a right to inspect underlying documents at the landlord's address without charge.

For a full guide to responding at each stage, see how to respond to a Section 20 notice.

Stage 3: Award of contract

If the landlord chooses the contractor with the lowest estimate, or a contractor you nominated at stage 1, they can usually move to appoint that contractor without extra explanation. If they pick someone else, they must serve a notice on leaseholders within 21 days explaining why that choice is reasonable.

After a lawful appointment, the works or agreement can go ahead under the consulted terms.
If stages are skipped or handled badly, your liability for the cost can be capped and you may have routes to challenge the charge. Take advice before refusing to pay.

If your landlord has not followed the process correctly, see what to do if your landlord fails to consult for your options.

Frequently asked questions

How long does the Section 20 process take?

At minimum the process takes around 2 to 3 months — 30 days for Stage 1 observations, time to obtain estimates, and 30 days for Stage 2 observations. In practice most processes take longer once contractor availability and landlord response times are factored in.

Does the landlord have to accept my nominated contractor?

No — but they must try to obtain an estimate from them. If they cannot, they must be able to explain why. If they simply ignore your nomination, this may invalidate the consultation process.

Can the landlord start the works before the process is complete?

No. The consultation process must be completed before the works begin or the contract is entered into, unless the landlord has obtained dispensation from the First-tier Tribunal.

What if I disagree with the landlord's reasons for the works?

You can make written observations at Stage 1 questioning whether the works are necessary or the scope is appropriate. The landlord must have regard to your observations, though they do not have to follow them.

Do I have to pay while I am challenging the charges?

You should seek legal advice before withholding payment. Unpaid service charges can lead to lease forfeiture proceedings even if you are disputing them. In many cases it is safer to pay under protest and then challenge the charge at the tribunal.

What is dispensation and when does it apply?

Dispensation is when a landlord applies to the First-tier Tribunal to be excused from the consultation requirements — for example in a genuine emergency where delay would cause further damage. The tribunal will consider whether it is just and equitable to grant dispensation in the circumstances.

This guide is for general information only and does not constitute legal advice. If you are unsure about your rights or obligations, seek independent legal advice. Read our full disclaimer. Return to the Section 20 hub for the full overview.