Changes to management fees from April 2020
We’re changing how we set the management fees you pay, to makes things fairer and clearer for you. The new charges come into effect in April 2020.
If you pay a service charge to us, we collect a management fee as part of that charge. This is a contribution towards our costs for managing the services that you receive, collecting payments and issuing you with information about your charges.
We’re going to change how we set the management fees you pay.
In the past few years, you’re likely to have seen two fees on your service charge breakdowns: a fixed administration fee and a management fee. The management fee would have been calculated as a percentage of the value of the services we would provide.
From April 2020, this will change: we’ll ask you to pay a single management fee as part of your service charges. This will be a fixed amount, not calculated as a percentage of other values.
Not all residents will pay the same management fee. We’ll charge you a fee that reflects how much time and effort it takes to manage the services we provide.
So, if you live in a block with a lift, CCTV, a caretaker and regular gardening services, your management fee is likely to be higher than that of someone who lives in a house.
We believe that moving to having a fixed management fee is much fairer and will make your future service charge statements clearer to understand.
We’ll write to you personally by the end of February at the latest to let you know how you will be affected and what your new management fee will be, if applicable.
Help and advice
When you get your letter, please get in touch if you have a query about it or if you think you’ll have difficulty paying. Just call our customer service centre on 0300 456 9996.
You can also get independent advice from places such as a Citizens Advice or a housing or benefits advice service.