Schedule 8: Remediation costs under qualifying leases Paragraph 4: No service charge payable where lease below a certain value Effect
Paragraph 4 provides that no service charge is payable under a qualifying lease where the value of the lease is below a certain amount.
	Sub-paragraph (1) sets out that this paragraph applies in respect of a qualifying lease (to which see section 119) in respect of a relevant measure (to which see paragraph 1) relating to a relevant defect (to which see section 120).
	Sub-paragraph (1) sets out that no service charge is payable under a qualifying lease if, at the qualifying time, the value of the lease was less than £325,000 if the premises is in Greater London, or £175,000 if the premises was anywhere else in England. Greater London means the 32 London Boroughs, the City of London, and the Temples (Inner and Middle Temple – which are treated separately as local authorities for most legal purposes), as set out in the London Government Act 1963.
	Sub-paragraph (1) sets out that the value of the qualifying lease is taken at the qualifying time. Sub-paragraph (2) sets out how the value of the qualifying lease at the qualifying time is to be determined and provides that it should be determined in accordance with paragraph 6 of Schedule 8, and the regulations made under it. Paragraph 6(7) sets out how the value of the qualifying lease is to be determined; for further information, see the explanatory note to paragraph 6.