London, UK, June 5th 2025 — Soaring rates have resulted in some UK leaseholders paying more in service charges than mortgage repayments. However, new data from Wilson Hawkins since our previous analysis, which analysed the opinions of 7,512 UK residents living in flats managed by block management companies, reveals that many residents still perceive the cost as fair, based on the level of service received.
Over half the audience, of which 58% were older than 35, 54% female, and 46% male, stated that their charges are fair, even if above average, when compared to similar properties. A further 39% said their charges are fair when compared to typical rates across comparable developments. In contrast, just 4% classify their charges as fair vs. average, while another 4% describe them as fair vs. excessive.
Considering that the majority of the respondents (76%) were based in London, with 13% in Birmingham, 7% in Manchester, and 5% in Liverpool, it’s understandable that costs are generally on the higher side. These cities are major population centres and serve as hubs for flats and multi-unit buildings, where professional block management is often essential. London’s cost of living is also the highest in the country, which correlates with the higher rates.
Director of Wilson Hawkins, Andreas Gkerazis, commented on the findings, saying: “While service charges remain a significant financial burden for many, the data suggests a broad recognition among leaseholders—particularly in densely populated urban areas—that professional block management delivers value commensurate with the cost, especially in cities like London where expectations, complexity, and service standards are highest.”
However, opinions differed somewhat on whether current service charges were justified, with 23% saying they were unjustified, 19% saying they were not average, and 18% saying they were high. Another 14% described the charges as not reasonable, while 5% said they were not low. Just 4% said the charges were reasonable, another 4% said they were not high, 3% said they were not unjustified, and only 2% considered the charges average. This shows that while a majority are willing to accept higher-than-average costs in return for service quality, there remains notable unease among a significant minority regarding how fair or justified those charges really are.
Although there are discrepancies in cost justification, the transparency in service charge statements is largely good. 50% of those living in block management agent flats said that their service charge statements are transparent, with a summary, while 37% said their statements were transparent despite confusion. For 13%, statements are transparent with no access, indicating that although the costs are transparent, it’s impossible to check their validity.
The study also clearly shows the benefits of block management companies, especially regarding safety.
100% of the 7,000+ audience reported their block had fire alarms, which, following the tragic 2017 Grenfell Tower fire, has become a major priority for both residents and regulators. Additionally, 57% of residents rated their communal indoor areas as safe, while 43% described them as clean, indicating general satisfaction and a need for consistent upkeep. Additionally, building security measures also received positive responses, with 50% saying their security was good due to periodic patrols, and the other 50% citing good basic locks as a major contributor to their satisfaction.
As a resident in a flat managed by a block management company, David Milton understands first-hand the value of security: “People sometimes complain about service charges, but honestly, the security alone is worth every penny. We’ve got working fire alarms throughout the building, secure entry systems, and regular patrols that make a huge difference. I feel safe in my flat and when coming home late at night, and that peace of mind is something you can’t really put a price on.”
Although block management companies are largely or wholly responsible for building maintenance, the lack of communication regarding scheduling was evident as a major pain point. 100% of the audience agreed that maintenance activities were unclearly scheduled, revealing a significant communication gap between management companies and residents.
Yet, when it came to describing the overall property management experience, 50% of those living in flats managed by a block management agent agreed their property management experience was responsive and reliable, while the other 50% said they experienced a proactive and thorough approach. This indicates that although general maintenance communication is lacking, the consensus on the quality and speed of service remains positive.
While there are noted areas for improvement, notably around maintenance scheduling, 100% of the audience indicated they would still likely recommend their block management company, though with reservations.Gkerazis says: “It’s evident that while service charges can be a contentious issue, the majority of leaseholders recognise the value that professional block management brings, especially when it comes to safety, cleanliness, and overall responsiveness. There is clear room for improvement in communication and scheduling, but the fact that 100% of respondents would still recommend their block management company, albeit with reservations, speaks volumes about the baseline trust and appreciation residents have for these services.”
