For too many residents in the borough, the dream of home ownership is not as it first seems. The experience of owning a brand-new house in a pristine development is often marred by high service charges and management fees that are payable indefinitely.
These charges often start at a reasonable level and then increase exponentially with little or no recourse for the owners of these homes who understandably are concerned that they are expected to pay indefinitely a private company to undertake maintenance such as grass and hedgerow cutting that is traditionally considered the job of the council. Councils, meanwhile are obliged by long-standing government policy to allow these managing agents a role.
The issue of management companies and their involvement with the maintenance of housing developments is complex and requires a coordinated approach from both national government and local authorities.
One of the biggest immediate concerns is the lack of transparency surrounding many of these charges, along with the perception that freeholders on new estates are forced to “pay twice” for common areas—once through council tax and again through management fees. Residents need clarity about the reasons for these fees, as well as a sense of security—understanding how long the fees will be payable and when they are likely to increase. At present, both of these areas are lacking. Freehold property owners lack even the basic protections accorded to leaseholders of a system to appeal unreasonable charges or inadequate maintenance of common areas.
The bureaucratic minefield of estate adoption can also cause significant confusion and anxiety for residents. Far too often, residents have requested aspects of their street to be fixed, only to be passed between the council, management companies, and developers—all denying responsibility. This results in a huge amount of time and effort wasted simply to get a patch of grass cut.
There is also too much inconsistency in how charges are levied. Many residents face charges for the “Suitable Alternative Natural Greenspace” (SANG) areas near their homes, but neighbouring estates may face different amounts—some for fixed terms and others indefinitely—creating confusion and frustration among residents.
Labour councillors are on the side of residents and are committed to making living in these new communities easier and more affordable. Locally, we aim to introduce better transparency on all these issues, informing residents of timescales for street adoption and providing greater clarity about who is responsible for each part of their road.
A crucial consideration at the early stages of planning must be the ongoing charges required of those moving in. We want to keep these charges to a minimum and encourage the swift adoption of SANGs and other communal spaces to reduce the financial burden on residents.
Nationally, the new Labour government’s manifesto pledge to overhaul the leasehold system will shift power back to homeowners. This must be accompanied by more stringent regulation of management fees for freeholders to protect residents from being overcharged.
These issues, both locally and nationally, are a priority for Labour councillors and Yuan Yang, the new Labour MP for Earley and Woodley. The housing system is broken after years of Conservative neglect. Only Labour has a plan that works in the interest of ordinary people, ensuring they can live in affordable and well-maintained communities.
Andrew Gray is a Labour councillor for Shinfield North and candidate for Shinfield
