Social Rented Housing: Service Charges

(asked on 19th December 2019) - View Source

Question to the Department for Levelling Up, Housing & Communities:

To ask the Secretary of State for Housing, Communities and Local Government, what plans the Government has to protect social housing tenants from unreasonable service charges levied by social landlords.


Answered by
Esther McVey Portrait
Esther McVey
Minister without Portfolio (Cabinet Office)
This question was answered on 13th January 2020

There is no maximum limit on service charges that can be passed on to social rented tenants but they must be set in line with the Landlord and Tenant Act 1985 with service charges payable only to the extent that the costs have been reasonably incurred. The reasonableness of the service charge a social housing landlord is seeking will depend on the nature of the works required and other contributing factors.

Social housing tenants have the ability to apply to the Property Chamber of the First-tier Tribunal for a determination where they do not believe the charges are reasonable, and must be consulted when major works are being proposed.

For those in Affordable Rent properties the calculation of their gross rent includes service charges. Gross rent for these properties is capped at 80 per cent of market rent.

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