Resident guidance: All Housing residents - Last updated 21 July 2026
Service charges
This page gives an overview of how we calculate service charges across our rented and homeownership housing locations.
We are committed to ensuring service charges are:
- Fair, reasonable and transparent
- Clearly explained to you
- Based on the cost of providing services
- Regularly reviewed to ensure value for money
- Set in line with relevant legislation and good practice guidance.
We aim to keep costs affordable while maintaining high-quality services for everyone living with us.
In this guidance you’ll find:
- What is a service charge?
- Fixed or variable service charge?
- How charges are calculated
- Keeping residents informed
- Help and support with understanding your service charge
- Free advice on money matters
What is a service charge?
Service charges help cover the cost of services provided at your location in shared and communal areas. This charge is in addition to any rent payable, and other personal household costs like Council Tax.
Each location sets a service charge based on the items at the location; examples include (but are not limited to) things like:
- Cleaning
- Local manager service
- Gardening (grounds maintenance)
- Window cleaning
- Communal heating (electricity, water and gas),
- Communal repairs (at home ownership locations)
- Communal equipment maintenance (e.g. lifts, fire safety equipment, call systems, tv aerials, wifi)
- Housing management, Buildings Insurance and where applicable Sinking/Reserve Funds (at homeownership locations)
- Buildings maintenance and responsive repairs (at rented locations)
Please note this is a summary for explanation purposes, your individual location accounts provide a full breakdown of the items and charges.
Fixed or variable service charge?
If you rent your home and moved in after May 2024 you will most likely have a fixed service charge.
Fixed service charges are based on budgeted costs for the year ahead and do not change to reflect any surplus or deficit from previous years. This can provide greater certainty and stability around future charges.
If you are a Homeowner or rented your property before May 2024 you will have a variable service charge.
Variable service charges reflect the actual cost of providing services. If costs are higher or lower than expected during the year, any surplus or deficit may be carried forward and included in future charges.
How charges are calculated
Service charges are calculated for each location based on the services provided and are then apportioned between properties according to tenancy agreements, leases, or other legal arrangements.
Keeping residents informed
We believe you should have opportunities to understand and influence the services you receive. We do this through:
- Annual budget/review discussions
- Service reviews and local service agreements
- Consultation on significant changes to services
- Clear information about charges and budgets
Where required by Law, we will carry out formal consultation on major works or long-term contracts, this is called Section 20 consultation.
Residents also receive information explaining what they are paying for and how charges are calculated before they move into their property.
Year-end Information
For residents who pay variable service charges, we provide year-end statements showing the actual cost of services and any surplus or deficit that may affect future charges. Residents have rights to request further information about these costs.
For those paying a fixed service charge, where applicable we provide a year-end statement showing the actual costs for domestic utilities and catering costs.
Help and support with understanding your service charge
If you need extra support to understand your service charge, have questions or want something explained in a different way, please let us know; we want everyone to be clear on your charges. You can speak to your location manager or contact the Customer Experience Hub on 0800 731 2020.
Residents paying variable service charges may also have rights to challenge the reasonableness of charges through the First-tier Tribunal (Property Chamber).
Free advice on money matters
If you're concerned about affordability, our BeWise team can provide free confidential advice and support to help you maximise your income and identify any assistance that may be available. Call the Be Wise team on 0800 023 4477 or email [email protected].
You can read more about the support available with arrears and paying bills here.
More guidance on rent, fees and service charges
Related information for residents on charges and payments relating to your home.
