Section 20 Consultations: What Leaseholders and Directors Need to Know

When a residential block needs major works — a new roof, replacement windows, a big redecoration — the law requires the freeholder or management company to consult leaseholders first. This is the Section 20 process, and getting it right protects everyone.

When does Section 20 apply?

A formal consultation is generally required where the works will cost any single leaseholder more than £250, or where a long-term agreement will cost any leaseholder more than £100 a year. If you skip it, the amount you can recover from leaseholders is capped at those limits — so it really matters.

The stages of consultation

1. 1Notice of intention: explain what is proposed and why, and invite observations.
2. 2Obtaining estimates: get quotes, including one from any nominated contractor.
3. 3Notice of estimates: share the quotes and invite further observations.
4. 4Award and notification: explain your choice, especially if not the cheapest.

Why it so often goes wrong

• Notices get emailed once and missed by half the residents.
• Observations come back across dozens of separate messages.
• No one keeps a clean record of who was told what, and when.

Running a calm consultation

A Section 20 consultation is fundamentally about clear communication and good records — exactly what a block tends to lack. Posting each notice as a single announcement that every resident receives, collecting feedback in one thread, and storing the quotes in a shared document library turns a stressful legal process into a manageable one.