Service Charges explained
How are Service Charge Actuals calculated?
Service Charge Actuals are calculated using the costs of running and maintaining the property and building for the financial year. These costs are divided among the residents, usually in proportion to the size of their unit or according to the terms of their lease or agreement.
Why is there a surplus/deficit in the service charges?
A surplus happens when we estimated more than we actually spent, and this will show up as a credit in your account. A deficit occurs when we spent more than we estimated, and in that case, you would be charged the extra amount.
How can I review the detailed breakdown of service charge expenditures?
Your service charge statement letter details a full breakdown of all costs and adjustments related to your property and building. If you'd like to discuss the charges, please get in touch with our Customer Services team.
Can I get a copy of the invoices?
Yes, leaseholders can request a summary of the service charge costs. Once we’ve received your request, we aim to provide the information within 30 days.
What measures are taken to ensure the accurate management of service charges?
We follow a rigorous process that includes budgeting, regular financial reviews, and audits to ensure that service charges are managed accurately and effectively. We are committed to transparency and accountability in how these funds are handled.
Will the service charges increase next year?
The service charges for the next year are determined based on projected costs, which considers your actuals charges and contractor costs. You should have received your estimate for 2024-25 in February 2024. Your estimate for 2025-26 will be sent in February 2025.
Why has my Actuals account been capped?
If your 23/24 estimate was capped, and your actual expenditure is above the capped estimate, we will not recover the difference and have capped the Actuals to match the estimate.
If the cost that appears in your Section 20B notice (sent in September) is below the Actuals Account, your account has been capped at the level in the notice.
In both scenarios, these only apply to 23/24 Actuals and will not be repeated in future estimates or actuals.
Why is it showing a part payment at the end of the Accounts?
In line with the requirements of your lease, you have received the Actual Accounts for your building and your apportionment. However, the part payment appears only if you became an Origin leaseholder or shared owner during the year and ifs for the period when you took ownership of your property to 31 March 2024.
I own my house. Why should I pay service charges?
Some houses pay service charges as they form part of an estate and receive a range of services. (for example, tree pruning or gardening, bulk refuse, estate cleaning).
Why do I pay for managing agent costs?
These are for costs that are provided by the managing agent.eg. cleaning, repairs. The costs are based on their actual costs which they have invoiced Origin for.
What happens if I am having problems paying my service charges?
Get in touch with our income team, they are here to help. They can
- Help you to manage your money
- Arrange a payment plan with you
- Help you prioritise your debts
- Help you access any Benefits you might be entitled to
- Refer you to our Employment and Training advice service if you are looking for work
What do the different service charge categories mean?
A full explanation of our service charge categories is available here.