Why have I received a balancing invoice?

understanding your end of year service charge balancing invoice

The following FAQs explain why you may have received a balancing invoice, how the accounts are prepared, and what steps to take if you recently purchased your property or are awaiting solicitor involvement.

why have i received a balancing invoice?

Under the terms of your lease/TP1 document, service charges are paid in advance based on an estimate. At the end of the development year, certified accounts are prepared showing the actual expenditure. The difference between your advance payments and the actual costs results in either a balancing invoice (if costs were higher) or a credit note (if costs were lower).

when are the accounts prepared and issued?

The lease/TP1 specifies the development’s year-end date. Certified accounts are prepared to that date and distributed to owners within six months of year-end.

I purchased my property recently. why am i being asked to pay a balancing invoice?

If you purchased the property during or after the invoice period, your solicitors should have taken a retention for any anticipated balancing charges. You should forward the balancing invoice to your solicitor so they can release the retention they are holding.

Can you contact my solicitor directly about this?

Unfortunately, we are unable to contact your solicitor on your behalf due to data protection regulations.

What happens while I’m waiting for my solicitor to release the retention?

Please contact our Accounts Team, they will place your account on hold for 14 days to give your solicitor time to arrange payment.

Need more information?

For further help or details about your service charges please see our related FAQs:

What happens if you don’t pay your service charges?

Struggling to pay your service charge?

If you believe you have been charged in error or need help understanding your account, please contact our accounts team on 0345 491 8898 or speak to your Estates Coordinator.