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Written question asked by Iqbal Mohamed (Independent (affiliation)) on Thursday, 11 June 2026, in the House of Commons. It was due for an answer on Monday, 15 June 2026. It was answered by Matthew Pennycook (Labour) on Monday, 22 June 2026 on behalf of the Ministry of Housing, Communities and Local Government.

Service Charges: Overcharging

Question

To ask the Secretary of State for Housing, Communities and Local Government, what assessment his Department has made of the SHAC 2025 review of First Tier Tribunal decisions which identified an overcharging rate of 63% in service charge accounts; and what steps he is taking to protect the public purse from systemic overcharging by social landlords.

Answer

My Department has made no specific assessment of the review in question.

The government recognises the considerable financial strain that rising services charges place on leaseholders and tenants. The level of service charge that leaseholders pay depends on a range of factors, including the terms of a lease or tenancy agreement and the age and condition of a building.

By law, variable service charges must be reasonable. Overcharging through service charges is completely unacceptable. Should leaseholders wish to contest the reasonableness of their service charges they may make an application to the appropriate tribunal.

On 4 July 2025, the government published a consultation on strengthening leaseholder protections over charges and services. It can be found on gov.uk here. We continue to analyse the feedback received and will set out next steps in due course.

Secondary information

Type
Written question
Reference
9256
Session
2026-27
Grouped for answer
Yes
Subjects
Overcharging Social rented housing Service charges
Link
View this Written question on www.parliament.uk