Our Service Charge Policy outlines the service charge structure for our residents. It aims to provide clarity on how service charges are calculated, the types of charges involved, and the processes for billing and queries.
Here's what you need to know:
What is a service charge?
Why do we charge this?
Residents only pay for what they receive.
There’s no cross-subsidy between homes.
It helps keep rents focused on providing quality homes and community services.
Types of service charges:
Fixed charges: A set amount for the year. It doesn’t change even if costs go up or down.
Variable charges: Based on actual costs. These can change each year depending on what services cost.
After the year ends, we compare estimated costs to actual costs and adjust if needed.
How are charges shared?
Equal shares for all homes in a block or estate.
Equal shares for homes that use the service.
Or as stated in your occupancy agreement.
Extra costs
Sinking fund: Some leases include a fund for big future repairs (like roof replacement).
Management fees: A small fee to cover running costs like admin and payment collection.
Value for money
Using competitive procurement.
Reviewing managing agent costs.
Consulting residents when big works are planned.
Communication and notices
You’ll get written notice of any changes at least one month before they start.
Each year, we send a breakdown of estimated charges and, later, a summary of actual costs.
If we plan major works or long-term contracts, we’ll consult you first.