Management Agent Overcharging from 2019?

Reply to the comment left by Suresh Parikh at 22/12/2021 – 13:32
Service charge invoices and “all related documentation”.

Didn’t realise we could request to have copies of bank statements for the service charge account.

I agree with Bernice that u hv the right to examine financial docs at the agent’s office.
It might b a first step to satisfy yourself whether the agent is suitable for what u want. A good agent will make it easy for u (n for them) if u ask politely.

Be ware that an agent is a business n needs to make a profit for their service – in the form of Management Fee or some sort of formula may b stipulated in your lease. It is not an easy business n requires a very wide range of knowledge/experience to do a proper job of it. Agents r in effect selling their time in exchange for money. Most agents only make a profit when nothing happens (read: may b do nothing) or when they can charge for S20. It is fraudulent to get a kickback but not unheard of – there r worse. Tradesmen sometimes take advantage of lethargic agents who r after an easy life esp when it’s a case of saving them time or saving u money. Sometimes u just hv to pay a bit more to get a job done – tradesmen also hv priorities.
U need to understand that it is for the freeholder to appoint the agent who manages in his interest. Ie whilst it may b your money the agent is spending u r not his client. U n 50% of your fellow lessees (in your case a min of 4 units) hv the right to enfranchise n form an RTM (Right To Manage) Co which assumes the right to appoint the agent (but not the insurance which remains the prerogative of the frreholder).
A 6 unit block is a small site to manage. Often doesn’t pay for the agent as no economy of scale – the service u get will depend on how much u pay.

If u r not happy with the service or cost or whatever, u may complain to the Property Ombudsman or FTT or even take the agent to court. There is a cost associated with whatever u do – at least in terms of time if not money. Most lessees take the path of least effort n just pay until n unless it becomes really outrageous. If u r so inclined, why not form an RTM n b master of your own destiny n move on? Doesn’t solve the problem of finding a decent agent but then u hv the power to decide n to direct.

S20 procedure is required when a specific job requires more than £250 per unit within the same accounting period. Or £100/unit for a continual contract like weekly cleaning or gardening.
It means 2 x 30 days consultation period n a min of 2 quotes.

Try to find somebody u can trust n leave him alone to do the job.

Thank you once again for your input. Much appreciated. Have a great New Year!