We are continuously getting feedback from our customers and fixing things that are identified. This report explores service charges. Below are some things we have identified and our actions to improve.
What you said
- I do not really understand my service charge and how it works.
- I am unhappy about the increase to my service charge and want to know what I can do.
- I am being charged for services that I do not receive.
- I do not know why I am being charged so much when I know a contractor who can do the work for less money.
- I do not understand why I am paying more than my neighbour.
- The quality of the service that I am receiving is poor and not what I was expecting.
What we found
- The requirement to pay a service charge is confirmed within your tenancy agreement, or lease or transfer document for homeowners, but you do not always understand how and why your charge might change each year.
- We recognise that service charges can be a complex area and our information could be clearer about your situation.
- The majority of your service charge queries relate to variable service charges.
- Sometimes you make a formal complaint about your annual increase when a consultation process applies instead.
- When you contact us to make a complaint about your service charge your concerns can instead be about the standard of services you are receiving from a different area, such as grounds maintenance or cleaning of communal areas.
- It is not always clear which services are being provided by LiveWest and which services are being provided through a management company.
- We could be clearer about what ‘value for money’ means within our contract management process.
What have we done?
- Produced a ‘Your service charges explained’ guide
- Updated information about service charges on our website, which includes answers to all of your frequently asked questions. Information for shared owners is also available here.
- Restructured our Service Charge team and established a project team to identify key areas of improvement and improve the way we support and manage service charges.
- Identified that we can improve the way that we provide you with information about your service charge at the beginning of your tenancy, which is one of the areas being addressed by the project team.
- Established an External Agent Manager in the Homeownership team to improve our contract management arrangements and resolve issues with the management companies involved.
- Insourced fire safety services and we will be considering other opportunities to improve the services you receive and contract management to deliver better value for money.
We will:
Respond to any queries about your service charge:
- You can email the team directly at service.charge.team@livewest.co.uk or you can call the Service Charge team directly on 01392 302138 if you would prefer to speak to someone. Please include your name, property address and contact details in your email.
If you are covered by a fixed service charge we will:
- Set your charge at the beginning of the year
- Confirm your service charge for the following year in your annual review letter
If you are covered by a variable service charge we will:
- Send you a statement within six months of the year end, showing how much has been spent on the services provided compared to how much the budget was set for, and identifying any over or underspend being carried forward.
- Send you an annual consultation letter with the proposed service charge you will pay from the beginning of your account year – this will include a forecast budget of what we are proposing to charge for your following financial year, including any overspend or credit being carried over.
- Provide you with a consultation period of 28 days for you to let us know your comments and queries about the proposed service charge.
- Review your comments and queries and make any agreed changes.
If you make a complaint about your service charge we will:
- Assess whether your concerns relate instead to feedback that has been invited through a consultation process.
- Let you know if your complaint relates to another area within your acknowledgement letter and provide you with the details of the colleague who will be investigating your complaint.
- Signpost you to the First Tier Property Tribunal if you believe your service charge is unreasonable.