Award of Council Leasehold Buildings Insurance Contract
Right To Buy (RTB) and residential leaseholders (not council tenants) living in council owned buildings, will have recently been contacted by Havering Council regarding the renewal of the insurance for their buildings.
Unfortunately, for reasons outside of the council’s control, the annual fee will rise dramatically, as the council are unable to obtain a suitable quote at a lower rate.
If you are a RTB or residential leaseholder and have not received notification of what is happening, or would like to see full details, these are available via the Award of Leasehold Buildings Insurance Contract webpage.
For advice on available financial help and advice, see the Havering Helps webpages.
The new contract which comes into effect on 31 March 2023, at 12 noon is invalid as Home Ownership at Havering Council contravened the consultation requirements in not giving the full name and address of the preferred bidders, only giving the names ‘Protector’ and ‘Lloyds’ :-
Schedule 2, Regulation 5 (2) CONSULTATION REQUIREMENTS FOR QUALIFYING LONG TERM AGREEMENTS FOR WHICH PUBLIC NOTICE IS REQUIRED 4.-(2) :-
‘The proposal shall contain a statement –
(a) of the name and address of every party to the proposed agreement (other than the landlord);
In addition, in sending the Section 20 Notices by Second Class mail rather than First Class mail, leaseholders were given less than 30-days in which to make an observation – another contravention.
Havering Council can now charge leaseholders no more than £100 in any accounting period for the duration of the contract (QLTA) as this procurement is rendered invalid.