Property Service Charges

Daniel Francis Excerpts

Thursday 30th October 2025 Commons Chamber

[Daniel Francis (Bexleyheath and Crayford) (Lab)]

I pay tribute to the hon. Member for Reigate (Rebecca Paul) for securing today’s debate and setting out the deep concerns about property service charges that many of us hear about from our constituents.

Since being elected, I have received countless emails from constituents across Bexleyheath, Crayford and Slade Green who are struggling with rising service charges, lack of transparency and poor communication from managing agents. In the words of a constituent who lives in a development where the service charge has increased from £1,800 a year to £3,200 a year:

“We honestly don’t have a clue what we are paying for.”

Others describe themselves as “cash cows” and speak of

“financial hardship to those trapped in their clutches”.

One constituent, a pensioner, had to borrow money from her adult children, and she is now considering selling her car if another unexpected bill arrives. Another, who asked to spread an additional bill over monthly payments, was told that she would be charged £60 for the trouble.

I have been holding public meetings with residents across my constituency this year to discuss these issues. The meetings have seen large turnouts and residents understandably at the end of their tether. I accept that some increases in service charges can be explained by rising insurance costs, building safety costs and other economic factors, but other items on service charge bills beggar belief: £1,000 a year for CCTV, when there is no CCTV; service charges for a gym that had not been built; service charges for a 24/7 concierge service that operates from 7 am to 7 pm; and £5,000 a year to empty one dog bin that members of the public, living outside of the estate, are using on a communal open space. Despite those costs, maintenance oftens remains poor.

I will focus on one example: the Eastside Quarter development in Bexleyheath, on the site of our former council or civic offices built a few years ago. The development was originally managed by DJC, which was then bought by FirstPort, which has been relieved of its duties and replaced by a new managing agent. The directors of the management company took action to remove FirstPort in 2024 due to concerns about performance levels and a lack of financial transparency, which was raised by residents.

FirstPort was responsible for producing audited accounts for the years 2022, 2023 and 2024, but in the most recent correspondence I have received it failed to do so. As a result, the developer is legally pursuing those accounts at their cost. FirstPort was unable to provide any funds on account to the new managing agent. In correspondence to me, the new managing agent stated that the service charge bank account was empty and that many suppliers were owed substantial sums, with many of them having withdrawn services as a result. Continuing management on the estate was possible only because the developer provided substantial funding to the new managing agent to enable it to pay suppliers.

I have seen similar issues on Talehangers Close in Bexleyheath. At Vickers Green in Crayford, where FirstPort has attended a public meeting and where I believe we are making some progress, I have seen that some of the fault lies—in my view—with the local authority, which agreed a planning development back in 2009 in which residents took on responsibility for the roads, the lighting and the public space, which is then costed back to the residents.

I welcome the Government’s consultation on plans to strengthen protections over charges and services and hope that they will bring forward measures to support my constituents. I was proud to sponsor the Managing Agents (Regulation) Bill of my hon. Friend the Member for Uxbridge and South Ruislip (Danny Beales), and I support calls from across the Chamber for the need for clear managing agent standards and regulation. I welcome the Minister’s comments on these matters and the measures to be brought forward in secondary legislation. I support the Government’s work in this area, but I will continue to press for further action to empower residents and deal with service charges to protect residents across the Bexleyheath and Crayford constituency.