Block Management Fees
Block management is priced per unit per year. That sounds simple until you compare two quotes and find one includes company secretarial, section 20 and accounts certification while the other charges each separately. Here is how the pricing actually works.
Figures below are indicative UK market bands to help you compare quotes. Your quote will be a written per-unit fee for your specific block.
Get a written per-unit fee
Send the address, unit count, lifts/plant, and whether there is a commercial element. We'll quote a per-unit fee with the scope attached.
What drives the per-unit rate
| Factor | Effect |
|---|---|
| Number of units | The fixed work — accounts, insurance, compliance, consultation — is similar for 6 flats and 60, so small blocks cost more per unit |
| Lifts, plant and communal systems | Adds statutory inspection management, contracts and out-of-hours exposure |
| Building height and Building Safety Act status | Higher-risk buildings carry registration, safety case and engagement duties |
| Mixed use | Separate commercial and residential schedules and apportionments |
| Site staffing | Porters, cleaners or gardeners bring employment administration and payroll |
| Condition and arrears position | A block in poor condition or with heavy arrears is more work in year one |
| Self-management support only | Accounting and compliance only, without full management, is priced lower |
Indicative UK market bands
These are the ranges typically seen in the market for standard residential blocks. They are a comparison aid, not a quote.
| Block size | Typical range per unit per year | Comment |
|---|---|---|
| Under 10 units | £250–£400 | Fixed costs spread across few units; some agents apply a minimum block fee instead |
| 10–30 units | £180–£300 | The most common band for conversions and small purpose-built blocks |
| 30–100 units | £140–£240 | Economies begin; plant and lifts push toward the top of the range |
| 100+ units / estates | £110–£200 | Lower per unit, but site staffing and estate infrastructure add cost |
| Central London prime | Higher end of each band | Listed consent, porterage and specification levels drive it up |
What is inside our fee
- Service charge budgeting, demands, collection and client accounting
- Year-end accounts preparation and liaison with the certifying accountant
- Compliance programme management and the action tracker
- Insurance placement, renewal and claims handling
- Contractor procurement, tendering and routine supervision
- Company secretarial for the RMC or RTM: AGM, minutes, filings
- Site inspections at an agreed frequency and a named manager
- 24/7 emergency line
What normally sits outside any agent's fee
These are legitimate additional costs, but they should be disclosed up front rather than appearing on the year-end accounts as a surprise. Ask any agent to list theirs before you compare.
- Section 20 consultation for major works — often a fixed fee or a percentage of the works
- Major works project supervision — typically a percentage of contract value
- Certification of the year-end accounts by the accountant
- Legal costs and debt recovery beyond routine reminders
- Company formation, restoration or late filing penalties
- Sales enquiry packs (usually charged to the selling leaseholder)
- Reinstatement cost assessments and specialist surveys
Five questions that separate quotes
- What is the per-unit fee, and what is your list of additional charges?
- Do you take insurance commission, and will you disclose it in writing every year?
- How many units does the manager assigned to us hold?
- When were your last three blocks' year-end accounts issued against the lease deadline?
- Do you own, or have any interest in, the contractors you appoint?
Frequently asked questions
How much does block management cost per flat?
Typically between roughly £110 and £400 per unit per year in the UK, with small blocks at the top of that range and large estates at the bottom. The rate is meaningless without the scope, because the additional charges list varies enormously between agents.
Is the block management fee part of the service charge?
Yes. The management fee is a service charge cost recoverable from leaseholders under the lease, and like any other service charge cost it must be reasonably incurred.
Can leaseholders challenge the management fee?
Yes, on the grounds of reasonableness, through the First-tier Tribunal. In practice fees are rarely challenged in isolation; they are challenged alongside poor service, late accounts or undisclosed commission.
Are section 20 major works charged on top?
The consultation and project supervision are usually charged separately by most agents, commonly as a fixed fee or a percentage of contract value. We state ours in the proposal so it is not a surprise later.