MP John Slinger is calling for more power for residents suffering poor service and soaring service charges from housing management companies.
Speaking in Parliament, the Rugby MP suggested the threshold of residents required to form a Right to Manage company and effectively take over from a housing management company be reduced from 50 per cent to 30 per cent.
And he proposed a deemed consent process be brought in, meaning absentee landlords could no longer block the process.
Mr Slinger also used the opportunity to raise concerns on behalf of constituents, highlighting several cases involving extreme service charge increases.
In one case a constituent’s service charge increased from £980 in 2023 to £3,800 in 2026, causing them financial hardship because they had to take out a loan in order to pay the bill. Now they say that their property is unsellable.
Another constituent reported service charges increased from around £1,000 in 2021 to £3,400 in 2026 for broadly unchanged services. They again allege a lack of transparency regarding the basis for the increased charges.
Residents ultimately exercised their right to manage and appointed a new managing agent, which estimates comparable services at around £1,600 per year.
They alleged a lack of transparency as to why service charge costs had soared – higher than inflation rates for the same period.
The Labour MP has previously raised the issue both locally and nationally, supporting constituents who face excessive charges and poor service from private estate management firms.
Speaking in Parliament, Mr Slinger said: “These housing management companies are pushing the limits of decency and possibly legality, because there is no accountability. Residents feel trapped without a way out, with some taking on extra shifts at work just to pay for the high service charges.
“It is incredible that one resident’s service charge could increase from £1,000 in 2021 to £3,400 in 2026, yet when residents took control through a Right to Manage company, the estimated cost fell to £1,600 for comparable services. Had that charge risen broadly in line with inflation, it would be around £1,300 today.
“That is why I am proposing measures to help protect residents and make it easier for them to take control through right-to-manage companies, this would involve lowering the threshold required to form a Right to Manage company and introducing a deemed consent process.
“Lets protect and empower the people who really count – the leaseholder. We owe it to them; they deserve dignity in the housing that they have purchased.”
