Helping council leaseholders with the rising costs of essential works

Sutton Council’s leaseholders will be able to choose from six ways to help pay their bills for major works to their homes in the future, giving greater flexibility in light of the growing cost of maintaining national housing standards.

The Council’s housing management provider, Sutton Housing Partnership (SHP), is about to start a programme of major improvements to blocks and estates around the borough. Both tenants and leaseholders will benefit from these improvements to ensure all Sutton’s council homes meet the latest quality and safety standards, and make homes more energy-efficient.

Leaseholders, who own homes purchased from the Council, need to pay their fair share of any major building maintenance and improvement costs, as all residents of blocks benefit from these works. They can by law be charged a part of the costs for these works as they will improve their homes and increase their value too in the long-term. Rising construction costs mean that bills will increase though and councillors on Sutton’s Housing, Economy & Business Committee have now agreed a package of financial support for Sutton’s 1,350 leaseholders.

These include: an extended repayment period; interest-free repayment periods; new support for non-resident leaseholders; discounts for those leaseholders paying their bills within 90 days; deferred payment scheme; a new equity share scheme.

Sutton Council and SHP now offer some of the most favourable terms for leaseholders when compared to the majority of local authorities and housing management organisations.

Councillor Jake Short, Chair of the Housing, Economy & Business Committee, said:
“These six payment options will give Sutton’s council leaseholders far greater flexibility to pay their major works bills in a way that suits their financial situation. 

“It will also reduce the risk of leaseholders being forced to sell their homes as they become unaffordable. This will also mean less pressure on the Council’s limited rented housing stock if leaseholders become homeless.

“Helping our leaseholders who are struggling is the right thing to do as many Sutton residents battle with the cost of living, while undertaking essential works to give our tenants and leaseholders the highest quality buildings we can.”