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West End Extra - by TOM FOOT
Published:20 June 2008
 
Leaseholder facing £58,000 repair bill for
tower block flat

MP warns hundreds could lose their homes

KAREN Buck has rounded on a government scheme to bring social housing up to reasonable standards, saying it could leave some people homeless.

The Labour MP for Regent’s Park and Kensington North said hundreds of leaseholders are unable to pay repair bills for thousands of pounds and will be forced to leave their homes.
The current works are being carried out as part of the Decent Homes initiative, aimed at bringing all homes up to a reasonable standard by 2010.
Ms Buck said: “As many leaseholders in Westminster and elsewhere will be aware, many are being charged for the major works carried out to their buildings as part of the government’s Decent Homes programme.
The Decent Homes programme is the biggest spend on council housing for over a generation, bringing all council properties up to a standard expected in the 21st century. But while tenants do not have to pay any of the costs, those who have purchased their homes from the council are liable to cover the bills.
“As some properties have not seen any modernisation in decades, these costs have built up. We’ve got hundreds of people whose bills are £20,000, £30,000, £40,000, £50,000 and the consequences are they will lose their homes.
In one case, highlighted on the BBC Radio 4 programme Money Box, a CityWest Homes leaseholder, was revealed to be facing a bill of around £58,000.
Agim Sekiraqa bought his flat in the Polesworth House tower block in the Brindley estate, Paddington, in 2003 for about £40,000.
The 21-floor high-rise is being extensively renovated, and he is now liable for his share of the £6 million cost.
That is now estimated at about three times Mr Sekiraqa’s annual household income. He has been given three years to pay.
He said: “We did not think that after a year or two they would come for a massive amount of money. We don’t really know how we’re going to afford to pay this much.”
Leaseholders have always been liable for repairs but it is the scale of improvements triggered by the Decent Homes initiative which appears to have caught many by surprise.
CityWest Homes which manages Westminster’s homes concedes some of their leaseholders face serious difficulties.
They say that they offer a range of payment options and specific help to some, but admit they do not have the funds to help everyone.
Chief executive Brian Johnson said: “The funding we get from government is for us to provide a service for tenants. There is no affordable way to square the circle at the moment.”
The Department for Communities and Local Government said the government has spent £23 billion on improving social housing in England over the last 11 years.
They added owning a home carried responsibilities for its maintenance and said they were working with councils to offer a range of flexible payment options. Homeowners could also refer disputes to the Leasehold Valuation Tribunal.
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