Section 20 of the Landlord and Tenant Act 1985 limits what a landlord can recover from a leaseholder’s service charge for qualifying works unless the statutory consultation requirements have been followed, or dispensed with by the appropriate tribunal, and the regulations set the threshold at any leaseholder’s contribution exceeding £250.

When section 20 applies

Section 20 of the Landlord and Tenant Act 1985 restricts the amount a landlord can recover from a tenant’s service charge contribution toward qualifying works, unless the consultation requirements have either been complied with, or been dispensed with by the appropriate tribunal. A communal boiler or shared heating plant replacement, serving a whole block rather than an individual flat, is a clear example of the kind of major works this section is aimed at, because the cost is typically split across every leaseholder’s service charge rather than falling on one individual.

The £250 threshold

The consultation requirement is not triggered by every repair; it applies where the relevant costs of the works exceed what the regulations describe as an appropriate amount. Regulation 6 of the Service Charges (Consultation Requirements) (England) Regulations 2003 sets this appropriate amount at a level resulting in any individual tenant’s contribution being more than £250. Because a boiler replacement serving an entire block is usually a substantial cost divided among many flats, it is common for at least one leaseholder’s individual share to cross this £250 figure, which is what brings the statutory consultation requirement into play.

What consultation involves

Where the threshold is crossed, the landlord has to follow the prescribed consultation process before the excess above the threshold can be recovered through the service charge. This generally means giving leaseholders formal notice of the intention to carry out the works, an opportunity to comment and, in many cases, to nominate contractors to be invited to quote, along with a further notice once the landlord has decided which contractor to use, so leaseholders are consulted at more than one stage of the process rather than only informed once the work is finished and billed.

Dispensation by the tribunal

Section 20 allows the appropriate tribunal to dispense with all or some of the consultation requirements where it considers this reasonable, for example where works are genuinely urgent, such as an emergency boiler failure leaving a block without heat or hot water in circumstances that make full consultation impractical before starting the work. A landlord relying on dispensation still generally has to apply to the tribunal, which will consider whether leaseholders have been prejudiced by the lack of consultation, rather than simply asserting urgency without oversight.

Why a shared boiler often triggers it

A shared boiler or plant room replacement tends to be exactly the kind of significant, infrequent capital cost section 20 is designed around, as distinct from routine annual servicing, which is unlikely on its own to push any individual leaseholder’s contribution over the threshold. Because the total project cost for a full plant replacement is often tens of thousands of pounds across a block, the per-leaseholder share, even split many ways, frequently exceeds £250, meaning consultation is the norm for this type of project rather than the exception.

What leaseholders can do

Where a landlord has not followed the consultation process and no dispensation has been granted by the tribunal, a leaseholder’s liability for the relevant service charge costs above the threshold amount can be limited by the Act itself, which is the statutory consequence built into section 20 for a landlord’s failure to consult properly. A leaseholder concerned about a proposed boiler replacement, or a service charge demand connected to one, can raise the consultation point directly with the landlord or managing agent, and where necessary seek advice on an application to the First-tier Tribunal (Property Chamber).

FAQs

Does every boiler repair in a block of flats require section 20 consultation?

No. Consultation is only required where the relevant costs mean an individual leaseholder’s contribution would exceed £250, the threshold set by the 2003 Regulations.

What is the £250 figure based on?

Regulation 6 of the Service Charges (Consultation Requirements) (England) Regulations 2003 sets the appropriate amount at a level resulting in any tenant’s contribution being more than that figure.

Can a landlord skip consultation for an emergency boiler failure?

The appropriate tribunal can dispense with the requirements where reasonable, but a landlord generally still needs to apply for that dispensation rather than assume urgency removes the requirement automatically.

What happens if a landlord doesn’t consult and no dispensation is granted?

The Act limits what can be recovered from leaseholders above the relevant threshold where the consultation requirements have not been met.

Bottom line

A shared boiler or heating plant replacement in a block of flats is exactly the kind of major, infrequent cost that section 20 of the Landlord and Tenant Act 1985 is built around, and consultation becomes a legal requirement once an individual leaseholder’s share of the cost would exceed £250, the threshold set in the 2003 Regulations. Failing to consult, without a tribunal dispensation, can limit what a landlord is able to recover through the service charge. This is general information, not legal advice on a specific service charge dispute; a solicitor or the First-tier Tribunal (Property Chamber) can advise on an individual case.

Sources

This guide draws on the following primary sources, current as of 22 September 2026:

• legislation.gov.uk, “Landlord and Tenant Act 1985, section 20: Limitation of service charges: consultation requirements”
• legislation.gov.uk, “Service Charges (Consultation Requirements) (England) Regulations 2003, regulation 6”

Related guides

Best Boiler Deals is an independent guide. We may earn a fee from some links; this never affects what we write. This article is general information, not regulated advice on any specific installation — always confirm the details with a Gas Safe registered engineer.