Understanding your service charges
It is important that we are transparent about what we charge for our services. We want you to fully understand the charges and whether they are eligible for assistance, which is why we have improved how we manage service charges.
If there is anything you don’t understand, or needs further explaining, please speak to your Income Officer.
The charges are now split into 3 categories:
Eligible Service charges
Eligible Service Charges relate to the costs of services received in connection with your home. They are eligible for both Housing Benefit and Universal Credit and have been renamed to make this clear. If you receive Universal Credit, these charges need to be reported to the DWP, along with your basic rent.
Ineligible Service Charges
Ineligible Service Charges will now be incorporated into your rent account, rather than in a separate account. This will enable you to see exactly what you need to pay in one rent account.
These charges are also for services that are specific to your home and are not eligible for Housing Benefit or Universal Credit and must be paid directly by yourself.
Personal Charges
These charges are for optional additional services that do not form part of your rent account. As such, you can choose whether you wish to receive these services or not. These charges are not eligible for either Housing Benefit or Universal Credit and must be paid directly by yourself.
How they are calculated
Annual service charges vary depending on the type of home you live in, as well as whether you rent or lease your home from MHA.
They’re generally estimated by looking at how much services have cost for a property in previous years and then working out a projected cost for the coming financial year. (Not to worry, we will adjust your service charge to reflect any differences in the projected costs).
Below is a list of Eligible Service charges that could appear on your rent statement:
- Bin collection (onsite) – the provision of large wheelie bins and their collection from bin stores.
- Boiler maintenance (communal) – the cost of maintaining and servicing communal boilers, heating plant and associated equipment.
- Cleaning (communal) – this service can include the cleaning of communal hallways, corridors, stairwells and associated staff time.
- Electricity (communal) – this covers the cost of providing electricity in communal areas. This is normally in stairwells and entrances in flats, and can include lighting, pump stations, lifts, door entry and communal appliances etc.
- Gas (communal) – this covers the cost of supplying heat and hot water to communal areas.
- Grounds maintenance – this includes the cost of the general upkeep of communal grounds including grassed areas, hedge cutting and maintenance of shrubs and annual bedding.
- Health and safety – this covers checks and maintenance to communal areas including water hygiene testing (legionella), fire safety, servicing or fire safety equipment, emergency lighting and servicing and PAT testing of electrical items.
- Laundry – the cost of provision and maintenance of laundry equipment.
- Lift maintenance – this maintenance contract covers the servicing and repairs and provision for major repairs or replacement of communal lift.
- Management Charge – we charge a management fee as part of your service charge. Fees are based on the number of services you get.
- Service charge adjustment – this adjustment is made when the ‘actual cost’ is different to the ‘estimated charge’ that you have paid. It might be more or less than the initial amount you have paid.
- Window cleaning (communal) – the cost of cleaning all communal windows to flats, older persons accommodation, communal hallways and associated materials, equipment and contractors.
Ineligible Service Charges
This is a charge paid for services specific to your home. Please be aware personal charges are not eligible for either Housing Benefit or Universal Credit assistance.
Below is a list of Ineligible Service charges that might apply to your home:
- Mesh Wi-Fi – provision of Wi-Fi within your building for your personal use
- Careline Alarms – the cost of maintaining and monitoring the personal alarm system in your home.
- Personal adjustment charge – this adjustment is made when the ‘actual cost’ is different to the ‘estimated charge’ that you have paid. It might be more or less than the initial amount you have paid.
- Personal window cleaning – cleaning of the windows of your home below the first floor.
- Sewerage – if your home is not connected to mains sewerage, it will instead be connected to a plant owned and maintained by MHA. This charge, based on Welsh Water’s mains sewerage charge, covers the cost of the maintenance of the sewerage plant.
Personal Charges
- Grass cutting
- Hedge cutting
- Scooter store electricity