Social Housing Service Charges 2024-12-02

2024-12-02

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Questions & Answers

Q1 Partial Answer
Paul Kohler Lib Dem
Wimbledon
Context
Residents in Wimbledon's social housing face significant financial strain due to rising service charges. For example, Clarion Housing Association tenants are seeing a 50% increase this year.
What assessment has the government made regarding the impact of service charges on residents in social housing? The Minister acknowledges that variable service charges can be challenged at tribunals and by the housing ombudsman, but what additional measures will provide leaseholders with better protection from unaffordable charge increases?
The Government recognise the financial strain on leaseholders and are exploring additional measures. The Leasehold and Freehold Reform Act 2024 aims to enhance transparency of service charges, making them easier to challenge if deemed unreasonable.
Assessment & feedback
Specific powers for the housing ombudsman to demand compensation payments were not addressed.
Response accuracy
Q2 Partial Answer
Paul Kohler Lib Dem
Wimbledon
Context
Clarion Housing Association tenants are facing a significant increase in service charges, with some seeing an additional £1,000 or more this year.
Does the Minister agree that leaseholders deserve transparency regarding their service charges rather than unexpected increases? What actions will be taken to give the housing ombudsman the authority to demand compensation for unreasonable service charge hikes?
The Minister acknowledges concern over rising charges and highlights measures in the Leasehold and Freehold Reform Act 2024 designed to enhance transparency. Further details on implementing these provisions are available from a written ministerial statement.
Assessment & feedback
Specific authority for the housing ombudsman to mandate compensation payments was not addressed.
Response accuracy
Q3 Partial Answer
Emily Darlington Lab
Milton Keynes Central
Context
Social housing providers and councils operate within a regulated service charge regime that forbids profit-making. The Housing Ombudsman Service handles complaints.
Given the regulated service charge regime for social housing, will the Minister consider implementing similar regulations to prevent profiteering in the private sector?
The Minister is willing to discuss further with the hon. Member on what additional protection leaseholders in the private sector might need.
Assessment & feedback
No clear commitment was given regarding regulatory measures for the private sector service charges.
Willing To Have A Conversation
Response accuracy