'I felt trapped by rising flat service charges'

A flat owner who helped change her building's management company and halve her service charge is urging others to consider doing the same.
Paralegal Amber Needham first moved into her home in Unicorn Walk in Greenhithe, Kent, three-and-a-half years ago and said she was hit with "unjustified" hikes by property management company FirstPort.
After struggling to sell her flat due to the service charge, Ms Needham and other owners used the right to manage legal mechanism to take control of the management of the building.
FirstPort said comparing charges was not straightforward and fees collected contributed to "long-term maintenance reserves" to reduce the risk of unexpected charges later.
Ms Needham said when she first moved in her service charge was £1,800 a year, but after six months she was told it would be increasing to about £2,500, reported the Local Democracy Reporting Service.
She said she was also told she owed an additional £600 for two Section 20 notices, which are issued when there are major works which leaseholders are required to contribute to.
However, when such notices are for an amount greater than £250 landlords are supposed to inform their leaseholders and ask whether they want the work to be done.
Ms Needham said: "It was just scary and you feel trapped as well, because you can't sell the flat and get out of the situation, but then you can't afford to pay the charges."
'Don't be afraid'
She then looked at how to replace the managing agent and set up a residence management company (RMC) which took responsibility for choosing new contractors to manage the repairs and maintenance.
The process of setting it up and finding an alternative took about six months.
Ms Needham said although it might sound overwhelming, she would urge others to do the same if they had concerns.
She added: "Just look into your legal rights, don't be afraid to look at right to manage, don't be afraid to look at your lease and find out if there's a RMC."
FirstPort said comparing charges like-for-like was not always easy and it did its best to advise customers.
A spokesperson for the management firm added: "It's disappointing to part ways with a development, but we do everything we can to make this process as smooth as possible."
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