Debt Collection Costs

Debt collection work is carried out by Russell Leckstein. Russell is an experienced dispute resolution lawyer who has been part of the legal profession for 35 years and is a Fellow of the Chartered Institute of Legal Executives. He has handled many types of civil and commercial disputes. Russell has spent much of his time resolving Real Estate disputes and has handled all matters connected with residential and commercial landlord and tenant relationships, including: 

  • Residential rights of first refusal 
  • Breaches of lease covenants
  • Possession claims (including the removal of squatters)
  • Dilapidations
  • Landlord’s consent
  • Rent arrears
  • Service charge disputes
  • Contested lease extension and Collective Enfranchisement claims
  • Commercial lease renewals
  • Forfeiture of commercial leases
  • Boundary disputes

Russell has acted for a broad range of clients, ranging from Management Companies, individuals with large property portfolios, to those with single dwellings or commercial premises. 

Russell encourages clients to resolve their disputes before they engage in court proceedings and firmly believes in alternative forms of dispute resolution, such as mediation.  

Basis of costs

We offer an initial consultation of 30 minutes to discuss your debt recovery requirements. We charge £125 plus 20% VAT for this service

If you decide to proceed with a claim, we charge an hourly rate of £250 plus 20% VAT

Every item of work undertaken is based on a time spent basis.

Scenario 1

Once you have instructed us to proceed, we will prepare a letter before action. This may involve the consideration of documents and meeting with you. If the debtor responds to the letter and agrees to pay the debt, we estimate that our costs will be between £450 plus 20% VAT and £700 plus 20% VAT.

Scenario 2

If there is no response to the letter or the debtor disputes the debt, it may be necessary to issue court proceedings. We will draft the required paperwork and then arrange to issue it. If the debtor agrees to pay the debt on receipt of the court papers, we will charge between £250 plus 20% VAT and £350 plus 20% VAT for the drafting and any disbursements.

Scenario 3

If the debtor fails to respond to the claim, we will ask the court to enter judgment against the debtor. We will charge between £50 plus 20% VAT  and £100 plus 20% VAT. The costs of enforcing the judgment vary depending on the method used. We will provide you with a detailed estimate of the proposed fees and disbursements based on the chosen enforcement method.

Disbursements and associated VAT

In order to issue proceedings, a fee is payable to the court (no VAT is payable on the court fee). This fee is based on the value of the claim. Fees can range from £35 to £455 for matters up to £10,000 in value. Fees with a value above £10,000 are calculated at 5% of the claim’s value. Details of all court fees may be found in form EX50 at If we are required to take steps to enforce a judgment, further Court fees will apply (these also appear in form EX50).

Other disbursements such as Counsel, expert fees, barrister fees will attract VAT at 20%.


Debt recovery cases can take from 2 months for simple cases and can range to up to two years with complex cases and where there is a dispute. 

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Contact us today for further information