Additional gas, elec & water meter

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  • Additional gas, elec & water meter

    We are shortly to commence splitting our house into a small basement flat, and a larger maisonette above it. Currently there is just 1 meter each for gas & elec, and the water is not metered, but it is just 1 supply.

    We've got a quote from the builder for all internal works which we're happy with, but they've advised we'd need to sort out the external supplies ourselves.

    Currently debating whether to just retain everything as 1 house with a granny annexe that we do informally, and let out bills included, or whether to split everything off more formally.

    Can anyone give us an idea of how easy/expensive it is to get all the various boards to do the above? Also whether it will have a knock on effect on things like it being a separate dwelling for council tax purposes etc.

    Thanks in advance.

  • #2
    Can't help on the cost aspects but please bear in mind that if you decide to sell the flats in the future, then it is always better to have separate supplies.Also, if there are problems and the supplies need to be shut/switched off then there can be additional problems-i.e the tenants/owners may not be in at the time.

    I take it that you have obtained planning permission and Building Regulations for the conversion?

    Insofar as the Council Tax is concerned, both the flats will be separately assessed and the total tax payable will be higher than as a single dwelling. Even if you create a granny annex, it will be separately assessed. There are a number of case laws covering this situation which you can google for yourself.

    Finally, if you intend to occupy one flat and let the other, then don't forget Capital Gains Tax that you may be liable for in the future.


    • #3
      Sorry, should have clarified intention is to let out basement flat for, probably around 3 years whilst we live in top bit. Will then consider either keeping both and renting both, or selling both independently.

      If the latter, we would then definitely get separate supplies, sort leases out etc, but for the time being, we don't have too much money, and basically want to be able to get some rent in for as little work as possible.

      Even if we just keep 1 supply, the builder is going to install separate fuse boards, stop cocks etc internally.

      PP & Build regs will be fully obtained before work commences.

      Bit of a bummer re: council tax.

      Not concerned about CGT but thanks for the heads up.


      • #4
        Anyone got any thoughts re: cost of this?


        • #5
          You need to realise this is not something people do regularly. Suggest that you telephone your existing gas, electricity and water suppliers and ask them to give you contact details of a person/company/supplier who is qualified to actually fit a meter.

          Get a price for all three before deciding what to do. You may find the cost prohibitive and decide it's not a goer.

          To begin with, suggest simply bringing in a lodger for the basement flat. They'll be a lodger because you are a resident landlord. Suggest including all bills in their rent. If their gas/electricity/water usage becomes unmanageable, that's when you decide if splitting utilities is necessary. Alternatively (more complicated) bring in a lodger on the agreement that they pay a contribution towards the bills when received. Again, if that becomes unmanageable, review the situation and take necessary action.


          • #6
            I recently had the electricity supply split from one supply to 5. It cost about £1600 ish. £1500 odd was the standard cost from the supply company and the rest my own electricians costs It is quite major work as the front garden and pavement had to be excavated.

            I can't comment on gas. I did explore having the water split as well due to a water pressure issue and that was costly (but I can't remember how much) so I didn't bother and went about the problem a different way.


            • #7
              Thank you very much for your helpful comments.

              I appreciate this isn't the kind of thing normal people do regularly, however this site has loads of people converting 1 house into 2+ flats, so I figure there must be a few people who peruse these forums who have done what I'm suggesting.

              Cheers again, I think I'll stick without splitting for the time being.


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