Understanding Service Charges (again)…
Service charges enable the maintenance and management of shared spaces within residential developments—in theory, at least. However, there is a growing concern regarding service charge abuse, leaving many residents questioning the fairness and transparency of these fees. Service charges should reflect the services provided, from cleaning and maintenance to utility costs and repairs. Yet when these agreements are mismanaged, residents bear the burden of rising costs for inadequate services. When services aren’t delivered, leaving residents to pay for something they don’t receive, one could call it fraud. With little oversight, these charges are increasing to levels that are making affordable housing quickly become unaffordable.
The Service Charge: Understanding the What, Why, and How.
In this blog post, we will delve into the issue of service charges from a housing association tenant's perspective. We will explore ways in which housing associations can reduce costs, examine the impact of service charge increases on tenants, and discuss why tenants may feel they are not receiving value for money.