There have been many initiatives by government and banks to cushion the economic effects of the Covid 19 epidemic, with mortgage holidays amongst them. However, in the property management sector it seems that with or without a reduction in services, property managers both in the Leasehold and Estate Management sector (very often the same companies) continue to charge the same fees. We have reports from the National Leasehold Campaign that leaseholders are struggling with unreduced charges.
A quick poll on our Facebook group showed out of the 89 respondents, 48 reported no change in service or fees, and 41 reduced service but no reduction in fees. No one reported a reduction in fees. Where there has been a reduction in services, but no corresponding reduction in fees, we recommend people to report the practice to the Competition and Markets Authority here https://www.coronavirus-business-complaint.service.gov.uk/?fbclid=IwAR3pwK5TduX1ZOi1_qxma9C01B-CSiaZXi_jeoy3e5SKftGziYvwcsW3WMU
The human cost is portrayed in this heartbreaking story recently aired on the BBC:
The comments are made by Paula Higgins of the Home Owners Alliance.
We note the management company quotes the contract signed by the purchaser – how often have we heard that? It is worth remembering that the initial contracts are drawn up by (or for) the original house builder.