Skip to main content

Your service charges explained

Making sense of service charges

We have introduced some changes to our service charge system and processes, making them clearer, easier to understand and the costs more transparent. These changes were introduced from February 2018. Read more about what is covered by service charges in our FAQs below.

Remember, payment of your rent and service charge is a priority - please read more on our Paying on time page.

What is changing? | The service charge annual cycle | Your questions answered |

What is changing? 

  • The way we group our estates, buildings and homes has changed. These new groupings will ensure we have a consistent approach to asset and financial management across all our properties.
  • Service charge statements now provide greater visibility on the charges and costs residents have to pay. The statements will continue to be itemised but are now separated under the new groupings, making it clearer and easier to understand.
  • Our new Property Managers are the eyes and ears on our estates making sure services are delivered and keeping accurate records. They monitor service standards in communal areas, (cleaning, gardening, communal repairs, health and safety) and report back to our Service Charge Team. You can learn more about Property Managers by watching our short film.

Property groupings

 

Return to top 

The service charge annual cycle 

Service charge estimates are sent out between January to March each year, statements for the previous year are sent out by the end of September and estimated charges for the following year are prepared between October and December.

 

Your statement explained

 

Return to top 

Your questions answered

 Read on for answers to some of the most frequently asked questions about service charges. 

 

  • What is a service charge?

    A service charge is a payment made by a tenant or homeowner towards the cost of services and repairs beyond those specifically for their house or flat. For example, if you live in a block of flats with a communal garden, the cost of maintaining that garden is covered by a service charge because it is available to all residents as a communal service and it is outside of their flats.

  • What services are covered by a service charge?

    As a landlord, we are obliged to provide you with certain services and repairs, which we then charge on to the residents who received the service.

    The exact services you pay for will be set out in your tenancy agreement or lease, but could include:

      • Employing a caretaker
      • Cleaning communal areas, including cleaning windows and removing dumped rubbish
      • Gardening and grounds maintenance
      • Repairs to communal facilities such as door entry systems, television aerials and lighting
      • Lift maintenance and repairs
      • Providing fire-fighting equipment, including repairing and testing emergency lighting and smoke alarms
      • Providing water, electricity and gas supplies to communal areas
      • Insurance for blocks of flats and houses (usually homeowners)
      • Health and safety such as fire safety, legionella, asbestos and electrical testing in communal areas.
  • Am I tenant or a homeowner?

    Tenants are residents, who rent their homes from Hyde under a tenancy agreement. Types of tenure include secure and assured tenancies, starter tenancies, market rent and affordable rent tenures.

    Homeowners are residents, who wholly or partly own their own homes, under a lease. These can include leaseholders, freeholders and shared owners as well as residents who have bought under the Right to Buy, Right to Acquire and Shared Ownership schemes.

  • What is a deficit / surplus?

    An estimated service charge is prepared before the start of each financial year and the amount you pay during the year is based on this estimated charge. At the end of the financial year we check the amount residents have paid and the actual cost of providing services and repairs to your block / estate to calculate if there has been a deficit or surplus.

    A deficit / overspend on your service charge statement is where we have spent more on providing the services than we charged you.

    A surplus / underspend on your service charge statement is where we have spent less on providing the services than we have charged you.

 

If you have a specific query, please fill in our online service charge enquiry form or take a look at our Service Charge booklets.

 

Return to top