Property Service Charges

Gagan Mohindra Excerpts

Thursday 30th October 2025 Commons Chamber

[Mr Gagan Mohindra (South West Hertfordshire) (Con)]

As a member of the Housing, Communities and Local Government Committee, I want to bring the House’s attention to the work we did in the summer looking into property management companies. The Chair of the Committee, the hon. Member for Vauxhall and Camberwell Green (Florence Eshalomi), would have been here if she was not already committed to a Westminster Hall debate at the same time, so I send her apologies.

I thank my hon. Friend the Member for Reigate (Rebecca Paul) for securing this important debate. Like many in this House, my constituents have been affected by property charges and the lack of transparency from certain companies. We have already heard about FirstPort, and I wish to expand on what has been said about it. In Penn Place in Rickmansworth in my constituency, FirstPort looks after about 140 apartments on an estate. Many of my constituents who live there have contacted me regarding the ever-increasing service charges that they face. Their monthly payments have more than doubled, on occasion. They receive no communication as to why an increase is needed, and that places extortionate pressure, both financial and emotional, on those living there.

We all are aware of the cost of living in our communities at the moment, given the cost of council tax, energy prices, and licence fees for renting properties in certain London boroughs. Many of my constituents have been unable to sell or move, as people do not want to purchase properties that come with ever-increasing service charges, and we have already heard about that.

This is not just an issue in my constituency. I have worked with many of my fellow Conservative MPs on this, and indeed, I know it to be a proper cross-party issue. I have a huge amount of respect for the Minister, who I know will continue to ensure that this issue is addressed, build on the legacy of my Government, and continue to push the matter forward, hopefully at speed. I look forward to him giving that commitment when he responds to this debate.

Despite its expensive charges, FirstPort does not even provide an adequate property management service. One of my constituents made me aware that carpets were not being replaced and walls were not being repainted. There is also a high turnover of property managers, which is ineffective for maintaining the estate and symptomatic of a poorly run company. When we were in government, we brought in the Leasehold and Freehold Reform Act 2024, which required transparency about leasehold service charges. It would have allowed leaseholders, such as those in Penn Place in my constituency, to scrutinise and challenge increases if they are unreasonable. The Act has received Royal Assent, but it is yet to be brought fully into force. I understand some of the reasons behind that, but I urge the Minister to get moving on this. I am sure he will give us that reassurance a bit later. In closing, what assurances will the Minister provide to my constituents and many across the country, who constantly face service charge increases but no increase in service, and how we can better protect those residents?