Service costs
Is the rent inclusive of service costs?
What do the service costs include?
The gross rental amount you pay every month includes both the net (basic) rent and the service costs. Net rent is for the use of the accommodation. The service costs are for utilities and amenities such as electricity, heating, the lift and cleaning of communal areas. Exactly what you pay for and how much you pay depends on the building you live in. Your tenancy agreement includes an appendix which shows all the details.
To find out more about advances and funds within the service costs, go to Costs of living.
How are the service costs billed?
Most service costs are charged as advance estimates. Once a year, we calculate the actual costs incurred and balance these against the advance you paid. We then settle the difference with you. If you paid too much, you will receive a refund, which we transfer directly to the bank account we have for you in our records. If you paid too little, you have to make up the difference by paying some more. In this case, we send you a bill at the end of the financial year.
The contribution amounts into any funds are fixed and are not balanced at the end of the year. See Costs of living for more information about advances and funds.
