A group of MPs, led by Labour’s Mohammad Yasin, claims private landlords – along with social housing councils and housing associations – are overcharging service charges.
A report in Inside Housing, a trade publication which has reported on this issue in recent years, suggests that the letter has been signed by an all-party group of MPs and sent to Gareth Davies, comptroller and auditor general at the National Audit Office.
The MPs want the NAO to scrutinise councils, housing associations and private landlords for their service charges, citing inaccurate bills, overcharging and a failure to provide residents with evidence for costs.
Yasin writes in the letter: “This makes it impossible for tenants in receipt of housing benefit to report inaccuracies even if they become aware of them. It is clear that the benefits system is being defrauded by millions of pounds annually through service charge abuse. This is not an issue that can be addressed by individuals, or simply by cutting housing benefit. This would penalise the victims of service charge abuse rather than the perpetrators.
“This issue demands a major inquiry into service charge abuse perpetrated by councils, housing associations and private landlords.”
Inside Housing also quotes a spokesperson for the Social Housing Action Campaign saying: “We have seen landlords charge for services provided by local councils, which tenants and residents pay twice for because they are covered by their council tax. We have seen charges for lift maintenance in buildings where no lifts exist. We rarely see service charges that are 100% accurate, even though the amounts total thousands of pounds in some cases. It seems that landlords are incapable of putting their own house in order and it now needs enforcement by a public body,.”
You can see the full article here: https://www.insidehousing.co.uk/news/mps-call-for-spending-watchdog-to-investigate-alleged-service-charge-abuse-by-landlords-90825
This article is taken from Landlord Today