What is a service charge?
We are responsible for maintaining buildings and looking after the shared areas in and around our homes. Residents are required to contribute to the actual cost of providing these services through a service charge.
Residents are charged only for the services provided. We do not make a profit on these services and we work hard to ensure that the charges are reasonable and represent value for money.
How do we set the service charge?
Some tenancies involve a charge for services. This is for services in schemes or estates which are not covered by the rent and include:
Gardening in communal areas.
Lighting in communal areas.
Communal TV aerials. We review service charges once a year, with changes taking place in April when rents are reviewed. The information used to calculate the charge is taken from the statement of actual accounts and is based on the actual costs incurred in the previous 12 months January to December. In February/March time each year we send you a letter advising you of your rent increase from 1 April and this includes details of your Service Charge for the forthcoming year.
For those receiving Housing Benefit, their payments will usually include the charges for communal services. However, Housing Benefit will not cover charges for services to individual homes such as heating, hot water, lighting and water charges. Payments for these services will need to be paid separately to the utility company.