In recent years, the topic of service charges has come under increasing scrutiny from both leaseholders and regulatory bodies. With the cost of living still impacting many households and growing expectations around transparency and value for money, there’s a clear demand across the industry: make service charges more understandable, more predictable, and more accountable.
What Are Service Charges?
Service charges are fees paid by leaseholders towards the upkeep of the communal areas and services of their building — such as cleaning, lighting, maintenance, insurance, and management. These costs can vary depending on the size, age, and complexity of the development.
The challenge arises when leaseholders are unclear on what they’re paying for, why costs have changed, or how they’re calculated. This lack of clarity can erode trust and lead to disputes, particularly in blocks without strong communication between managing agents, resident directors, and leaseholders.
Why Is This an Ongoing Issue?
While many managing agents operate with integrity and professionalism, the service charge landscape is still largely unregulated. Terms can differ from lease to lease, and the format of service charge statements is inconsistent across the industry.
In 2024, the government reaffirmed its intention to increase transparency through potential reforms. These may include:
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Standardised service charge statements
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Clearer itemisation of costs
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Increased powers for leaseholders to challenge unreasonable charges
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Greater accountability for managing agents
The introduction of the Building Safety Act has also added new obligations — particularly around high-rise buildings — which in turn affect service charge levels and require clear communication about why these increases are necessary.
How We’re Responding
At Oakfield, we believe transparency isn’t just a regulatory requirement — it’s a key part of building strong, long-term relationships with our clients and leaseholders. That’s why we:
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Provide fully itemised service charge budgets and year-end accounts
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Offer regular updates to resident directors on cost changes and upcoming works
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Make ourselves available to explain any line items or queries in plain language
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Collaborate with trusted contractors to ensure value for money across all services
We’re also keeping a close eye on upcoming legislative changes, ready to adapt our practices in line with new requirements.
Looking Ahead
Clear, honest communication around service charges is no longer optional — it’s essential. As the sector continues to evolve, leaseholders expect more transparency and involvement in how their developments are run and maintained.
At Oakfield, we’re committed to leading by example: putting people first, explaining the “why” behind the numbers, and ensuring our clients always feel informed, empowered, and respected.
If you’re a resident director or leaseholder looking for clearer service charge support, get in touch with our Block Management team — we’re here to help, check out our contact details here.