Help guides

Shared owner - Rent and service charge Q&As

5 min read

Rent increase

How much is my rent increasing by?

Each year, shared ownership rents usually rise in line with the Retail Price Index which is published in September. Some leases allow for an increase of Retail Price Index only (8.9%) and others allow an additional 0.5% to be added (9.4%). 

We’ll send you full details of the increase in your rent and service charge booklet by post in February each year.  

When will my rent increase?

The rent increases in April of each year when the new financial year begins. 

I’m finding it difficult to pay my rent. What should I do?

If you’re finding it difficult to pay your rent, please contact your Income Officer as soon as possible on 0800 432 0077. There are many ways we can support you to get – and keep – your finances under control, including:

  • Help applying for Universal Credit

  • Advice on how to manage your money and avoid debt

  • Help to find additional support that might be available to you.

It’s always better to contact us sooner rather than later.

Service charge increase

What are service charges?

Service charges cover the cost to provide services and repairs to shared areas in your building and outside spaces. 

Calculating service charges

We’ve changed the way we calculate your service charge for some specific services to increase accuracy. This is because the costs for delivering them can vary significantly each year, depending on the need for them where you live.

We’re now basing our estimates on the average costs for your development over the last 3 years for the following services: 

1.    Bin contamination 
2.    Pest control
3.    Bulk refuse 

We want to reassure you that as a not-for-profit housing association, we do not make any profit from service charges and always seek best value for money on behalf of our customers. 

Each year we will provide you with information relevant to your building about any increases and the reasons why.

When will I receive information about my service charge?

You’ll receive a booklet with the detailed amount of your estimated service charge in February each year. This will be a calculation of how much we expect it to cost to provide services and repairs to shared areas in your building and outside spaces. 

Why are there estimated service charges?

We will not know the actual cost of all services over the period until these services have been used and realised. Until that time has passed, and the costs incurred, we can only provide an estimate.

At the end of each financial year we compare the actual costs and the estimate. If the estimate was lower, you'll need to pay the difference. If the estimate was higher than the actual cost, we'll credit your customer account. We'll send you an income & expenditure account to explain all the actual costs.

When will I start to pay for the service charge increase?

This will start from April each year.

Do I have to update my direct debit?

No, Direct Debits will be updated automatically to reflect the new amount. If you pay by direct debit, you will receive a subsequent letter confirming the new amount you will have to pay. This letter will also set out when your direct debit will change.

Do I need to update my standing order or bank transfer?

Yes, you will need to make changes to your standing order or bank transfer once you know what the service charge will be.

Will you let Universal Credit know my new charges?

No. You will need to let the Department for Work and Pensions (DWP)/Universal Credit know, but only do this after the date the new charge takes effect.

What if I am on Housing Benefit?

You will need to advise your local council of the new amount.

How are you making sure that you are getting value for money for services?

We are committed to providing high quality services that offer our residents value for money. We take great care in making sure we select high quality service providers that offer a fair price. We have in place strict procurement procedures and our contractors are selected following a rigorous tender process. Our top priority is to ensure we are getting the best value for money, without compromising on service quality.

Can I query my service charge?

Please note, your service charge will remain an estimate until it is confirmed when you receive your actual service charge in Autumn each year.

If you'd like to query your service charge, please complete the form in My Account.

Where can I go for advice or support?

  • Visit our dedicated Money Matters page for more information on how we can support you with increases to the cost of living.

  • Cost of living information: Take a look at our Cost of Living information 

  • Financial support: Our Tenancy Sustainment Team is here to support with benefit advice, money management and budgeting. Find out more about help available if you are worried about money. You can also fill in our online form.

  • If you want independent advice you can contact the Money Advice Service. Its website has helpful information about money-related topics. Or call them for free on 0300 500 5000.

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