Increase in Service Charge

Angela30_2

I have recieved today a letter from my lease holder increasing the Service and Management Charge by almost 50%. This is for the garage area of my property. I bought the property almost 10 years ago and in all that time the only service the company will agree to provide is to replace the lightbulbs in the garage area and I have only known this to happen once.

My question is can they just increase the charge as it is stated in the lease what the cost is and what I can do about it, if they cannot.

Thanks
Angela

What really gets to me is the majority of people who live in these properties are elderly and cannot afford another bill increase! Rant over

Angela30_2

The lease states a fixed figure and mentions nothing about variable increases. They also don't contribute to any insurance, I have to pay this myself.

I have emailed them asking for a breakdown of what the Service charge includes and the last 12 months accounts with regard to the services they have provided.

Hopefully they will send me the info not holding my breath

dimbo61

If you and the other residents get together you can form your own managment company !

glottalstop

If I were you I would put in writing that you dispute the amount, and why, but you are happy to/have paid the amount you consider reasonable according to the lease. You agent should have published complaints procedures, which you should follow to the letter in the first instance.

If you don't, you may find the agent starts adding penalty "admin fees" and setting a debt collector on you. However, if you have established a proper complaint and clearly demonstrated you are in dispute and your willingness to be reasonable, the agent and any debt collector will fall foul of the law of harassment and code of conduct regarding such matters - the law, and the OFT etc will be on your side.

It may be that the agent has started collecting funds towards refurbishment, which may be valid. Or they have just realised they have failed to charge for things in the past, which would not be valid. Asking for the explanation and for historic underlying accounts is a good start.

If you are in a retirement development you will find many people out there already dealing with unscrupulous behaviour by agents, and they will be only to willing to advise and help you. Have a look at Age UK and Carlex (www.carlex.org.uk) for starters.