Property Service Charges

Jim Dickson Excerpts

Thursday 30th October 2025 Commons Chamber

[Jim Dickson (Dartford) (Lab)]

I welcome this debate warmly. I pay tribute to the hon. Member for Reigate (Rebecca Paul) for securing it, and for her excellent speech introducing it, and to other Members for their great contributions.

Property service charges, whether for freeholders who have purchased homes on unadopted new build estates or for leaseholders living in flats, are a huge concern to residents across Dartford. It is no exaggeration to say that the charges are causing misery to my constituents. Home to Ebbsfleet Garden City, Ingress Park in Greenhithe and the Bridge estate near Dartford, the constituency that I am proud to represent has among the highest number of leaseholders and freeholders paying property service charges of any in the country.

As others have, I have surveyed my residents on managing agents and costs, and it is fair to say in summary that residents are bemused by what seems to be the lack of a framework for assessing what reasonable service charges should cover. Long-term trends in rising building insurance costs and energy prices and opaque charging practices by managing agents have created a toxic mix for residents. As if that was not enough, long after buying their new properties, residents have been shocked to receive demands for three to five years-worth of backdated service charges. In some cases, they even predate their ownership of the property, or apply soon after they bought the property, and the bills often contain immediate demands for repayment, despite coming years after people started occupying their home.

Another incredibly frustrating issue for residents, which the Minister might be able to pick up directly with developers, is lack of transparency for buyers regarding the service charges they should expect to pay. One constituent ended up £4,000 in debt, as he was being charged for the maintenance of the estate around his house—on which construction had not even been completed.

Much of the area around new build estates in my constituency remains unadopted by the local authority, an issue that we discussed earlier this year in a Westminster Hall debate secured by my hon. Friend the Member for Hitchin (Alistair Strathern). There is a huge sense of unease and unfairness among residents living on those unadopted estates. They are paying full council tax in addition to hefty service charges. They are paying for the local authority to maintain roads and parks in other parts of the area, but not those on the estate on which they live. I warmly welcomed the Minister’s response in that debate, in which he confirmed that it remained a commitment to end the injustice of so-called fleecehold estates, and I hope we can have an update on that at the end of this debate.

I am grateful to have been among more than 100 Government Members who have, since November 2024, banded together to hold to account managing agents, including FirstPort and RMG. We will not let managing agents off the hook for the extremely poor service that they deliver to our residents. We need a road map from the Government on how unadopted roads and estates will be taken on by the local authority.

Finally, perhaps the Minister might could remind house builders that their choices of managing agents for new developments will cause them long-term reputational damage if they continue to select companies that simply are not up to the job. Let us get this right on behalf of freeholders and leaseholders across the country.