Rent, service charges and how to pay - Plymouth Community Homes
Rent, service charges and how to pay - Plymouth Community Homes
Rent, service charges and how to pay - Plymouth Community Homes
Create successful ePaper yourself
Turn your PDF publications into a flip-book with our unique Google optimized e-Paper software.
<strong>Rent</strong>, <strong>service</strong> <strong>charges</strong> <strong>and</strong> <strong>how</strong> <strong>to</strong> <strong>pay</strong>
Contents<br />
How <strong>to</strong> <strong>pay</strong> 3<br />
The Direct Debit <strong>pay</strong>ment incentive scheme 4<br />
Your rent <strong>and</strong> <strong>how</strong> it is calculated 6<br />
The target rent calculation 7<br />
Frequently asked questions about your rent 8<br />
Service <strong>charges</strong> 11<br />
Frequently asked questions about your <strong>service</strong> <strong>charges</strong> 12<br />
Example of a <strong>service</strong> charge statement 18<br />
A guide <strong>to</strong> your statement 19<br />
Contact details 23
How <strong>to</strong> <strong>pay</strong><br />
How is my rent charged?<br />
Your rent is charged on a weekly<br />
basis <strong>and</strong> is due weekly in advance.<br />
You can <strong>pay</strong> weekly, fortnightly or<br />
monthly. If you choose <strong>to</strong> <strong>pay</strong><br />
fortnightly, your <strong>pay</strong>ment will need<br />
<strong>to</strong> be for the current week <strong>and</strong> week<br />
following. We check your account at<br />
the end of each week.<br />
Your account will need <strong>to</strong> be kept up<br />
<strong>to</strong> date <strong>how</strong>ever you choose <strong>to</strong> <strong>pay</strong>.<br />
How can I <strong>pay</strong> my rent?<br />
There are a number of ways you<br />
can <strong>pay</strong> your rent:<br />
• By Direct Debit<br />
Direct Debit is a safe <strong>and</strong> easy<br />
way <strong>to</strong> <strong>pay</strong>. If you set up a Direct<br />
Debit then you are protected by<br />
the Direct Debit Guarantee. You<br />
can <strong>pay</strong> weekly, fortnightly, four<br />
weekly or monthly on any date<br />
you choose. These <strong>pay</strong>ments<br />
should be made in advance in line<br />
with the terms of your tenancy<br />
agreement. (<strong>Plymouth</strong> <strong>Community</strong><br />
<strong>Homes</strong> is offering an incentive if<br />
you choose this option – see<br />
page 4.)<br />
• Using a debit or credit card<br />
You can <strong>pay</strong> over the telephone,<br />
24 hours a day, every day, by<br />
telephoning 0844 557 8321. This<br />
<strong>service</strong> is operated by “All<strong>pay</strong>” <strong>and</strong><br />
you will need <strong>to</strong> tell the opera<strong>to</strong>r<br />
the 19 digit number that appears<br />
across the middle of your <strong>pay</strong>ment<br />
card.<br />
• Online<br />
You can <strong>pay</strong> online at the<br />
<strong>Plymouth</strong> <strong>Community</strong> <strong>Homes</strong><br />
website. Just click on ʻ<strong>pay</strong> your<br />
rentʼ <strong>and</strong> you will be directed <strong>to</strong><br />
the ʻAll<strong>pay</strong>ʼ <strong>pay</strong>ment site<br />
https://www.all<strong>pay</strong>ments.net/<br />
all<strong>pay</strong>ments/. You will need <strong>to</strong><br />
enter the 19 digit number that<br />
appears across the middle of<br />
your <strong>pay</strong>ment card.<br />
• By text<br />
Once you have completed the<br />
simple 4 step registration process<br />
online at:<br />
https://www.all<strong>pay</strong>ments.net/<br />
text<strong>pay</strong>/logon.aspx then simply<br />
<strong>pay</strong> by texting “<strong>pay</strong>” <strong>and</strong> the text<br />
code, along with the amount you<br />
want <strong>to</strong> <strong>pay</strong> <strong>and</strong> your password <strong>to</strong><br />
81025. You will receive a<br />
confirmation text message that we<br />
recommend you keep. The only<br />
cost is the st<strong>and</strong>ard text message<br />
fee which may be charged by your<br />
phone provider.<br />
3
• In cash<br />
You can make a<br />
cash <strong>pay</strong>ment at<br />
any outlet<br />
displaying the<br />
PayPoint sign.<br />
• By cash or cheque<br />
You can <strong>pay</strong> by cash or cheque<br />
at any post office.<br />
How will I know you have<br />
received my <strong>pay</strong>ments?<br />
Statements are sent out four times<br />
a year s<strong>how</strong>ing your <strong>pay</strong>ments,<br />
<strong>charges</strong> <strong>and</strong> account balance;<br />
<strong>how</strong>ever an interim statement can be<br />
provided on request from your local<br />
housing office. You can also get an<br />
account balance over the phone by<br />
calling your local housing office.<br />
What if I lose my <strong>pay</strong>ment card?<br />
You can request a new <strong>pay</strong>ment<br />
card by contacting your local<br />
housing office (see page 23).<br />
How do I set up a Direct Debit?<br />
• We can set up your Direct Debit<br />
over the telephone – just contact<br />
your local housing office. Contact<br />
numbers are listed on page 23.<br />
• If you would like <strong>to</strong> set up your<br />
Direct Debit by completing a form<br />
rather than over the phone you<br />
can obtain a m<strong>and</strong>ate form from<br />
any local housing office.<br />
• You can set up your Direct Debit<br />
<strong>to</strong> <strong>pay</strong> your rent <strong>and</strong> <strong>service</strong><br />
<strong>charges</strong> – weekly, fortnightly, four<br />
weekly, <strong>and</strong> monthly on any<br />
date(s) you choose.<br />
• If you sign up <strong>to</strong> <strong>pay</strong> by Direct<br />
Debit you will receive a £10<br />
voucher <strong>and</strong> if you keep your<br />
Direct Debit <strong>pay</strong>ments going for<br />
12 months we will send you a £20<br />
voucher in April 2013.<br />
• Free Quarterly Prize Draw –<br />
everyone <strong>pay</strong>ing by Direct Debit<br />
for three months has a chance of<br />
winning £100 worth of vouchers.<br />
Iʼm an existing Direct Debit<br />
cus<strong>to</strong>mer. Will I get a voucher?<br />
Yes. We want <strong>to</strong> s<strong>how</strong> our<br />
appreciation so if you keep <strong>pay</strong>ing<br />
your rent by Direct Debit for the<br />
whole year we will send you a £30<br />
voucher in April 2013.<br />
Why are we offering an incentive<br />
<strong>to</strong> sign up <strong>to</strong> Direct Debit?<br />
Direct Debits are the most efficient<br />
way for you <strong>to</strong> <strong>pay</strong> your rent <strong>and</strong><br />
<strong>service</strong> <strong>charges</strong>. It is also the safest<br />
<strong>and</strong> most cost effective method for<br />
<strong>Plymouth</strong> <strong>Community</strong> <strong>Homes</strong> <strong>to</strong><br />
take <strong>pay</strong>ments. The efficiency gains<br />
from not h<strong>and</strong>ling cash can then be<br />
reinvested in<strong>to</strong> the <strong>service</strong>s we can<br />
offer <strong>to</strong> our tenants.<br />
4
<strong>Rent</strong><br />
5
How is my rent calculated?<br />
The rent you <strong>pay</strong> is a <strong>pay</strong>ment for<br />
your home.<br />
The amount of rent you <strong>pay</strong> is based<br />
on a government formula which will<br />
gradually move your rent <strong>to</strong>wards a<br />
ʻtarget rentʼ for your property. This<br />
means that by 2016 you will be<br />
<strong>pay</strong>ing broadly the same amount (for<br />
the same type of property, number<br />
of bedrooms, location) as other<br />
social housing properties in the area.<br />
The ʻtarget rentʼ for your property is<br />
s<strong>how</strong>n in the letter you received with<br />
this booklet.<br />
How do we work out the target<br />
rent?<br />
Every individual property that we<br />
rent out has a ʻtarget rentʼ, which is<br />
worked out using a formula. The<br />
rules say that all properties must<br />
reach this ʻtarget rentʼ by 2016.<br />
Some rents will have <strong>to</strong> go up <strong>to</strong><br />
reach this target, some will have <strong>to</strong><br />
go down.<br />
The formula fac<strong>to</strong>rs that we take in<strong>to</strong><br />
account in the calculation of target<br />
rents are s<strong>how</strong>n here:<br />
• The average wage in Devon<br />
(1999)<br />
We compare the average wage in<br />
Devon of £278 per week with the<br />
national average wage £316.40,<br />
using information given <strong>to</strong> us by<br />
the government (using wages for<br />
the year 1999).<br />
• How much your home is worth<br />
(1999)<br />
We compare the value of your<br />
home with the value of the<br />
average housing association<br />
property in the country. Property<br />
values were based on the value<br />
of the property, but at January<br />
1999 values <strong>to</strong> ensure<br />
consistency.<br />
• The national average rent<br />
for the housing association sec<strong>to</strong>r<br />
in 2011/12 is £86.58 per week<br />
based on a 50 week rent year.<br />
• The number of bedrooms in<br />
your home<br />
The more bedrooms in your home,<br />
the higher your rent will be.<br />
No of Bedrooms Weighting<br />
Bedsits 0.8<br />
1 0.9<br />
2 1<br />
3 1.1<br />
4 1.2<br />
5 1.3<br />
6+ 1.4<br />
6
The target rent calculation is as<br />
follows:<br />
Property element<br />
(30% of the average rent<br />
for the Housing Association<br />
Sec<strong>to</strong>r x relative property<br />
value)<br />
+ Earnings element<br />
(70% of the average rent<br />
for the Housing Association<br />
Sec<strong>to</strong>r x relative county<br />
earnings x bedroom weight)<br />
=<br />
Target rent<br />
Example<br />
For example, an associationʼs<br />
three-bedroom property in <strong>Plymouth</strong><br />
valued at £27,000 in 1999 would<br />
now have its target rent calculated<br />
as follows:<br />
Property element<br />
30% of sec<strong>to</strong>r-average rent:<br />
30% x £86.58 £25.97<br />
multiplied by relative property value<br />
£27,000 / £49,750 x 0.54<br />
Add <strong>to</strong>gether the two sub-<strong>to</strong>tals<br />
Property element £14.02<br />
Earnings element + £58.67<br />
Target rent 2012/13 £72.69<br />
This means that by 2016 you will be<br />
<strong>pay</strong>ing broadly the same amount for<br />
the same type of property, number<br />
of bedrooms <strong>and</strong> location as other<br />
social housing properties in the area.<br />
sub-<strong>to</strong>tal £14.02<br />
Earnings element<br />
70% of sec<strong>to</strong>r-average rent:<br />
70% x £86.58 £60.61<br />
multiplied by relative county earnings<br />
£278.00 / £316.40 x 0.88<br />
multiplied by bedroom<br />
weight for a 3 bed house x 1.1<br />
sub-<strong>to</strong>tal £58.67<br />
7
Will my rent go up suddenly by a<br />
large amount?<br />
Because the changes are being<br />
made over a period of at least 16<br />
years, any rent change (up or down)<br />
should be gradual. To make sure<br />
tenants donʼt face large increases,<br />
government policy states that, in<br />
any one year, a tenantʼs weekly rent<br />
cannot go up by more than the<br />
Retail Price Index (RPI) plus 0.5%,<br />
plus £2. After target rents have been<br />
reached in 2016, rents will then only<br />
increase by RPI + 0.5%, which<br />
follows current government policy.<br />
Will new tenants <strong>pay</strong> target rent<br />
from the start of the tenancy?<br />
New tenants <strong>pay</strong> the target rent for<br />
their home from the start of their<br />
tenancy plus any applicable <strong>service</strong><br />
charge. New tenants are those who<br />
became tenants of <strong>Plymouth</strong><br />
<strong>Community</strong> <strong>Homes</strong> after the transfer.<br />
(Note: this will exclude new<br />
properties developed as part of the<br />
future redevelopment of North<br />
Prospect where different<br />
arrangements are in place.)<br />
What if my rent needs <strong>to</strong> go<br />
down?<br />
If your rent is above the level it needs<br />
<strong>to</strong> be, it wonʼt drop <strong>to</strong> the new level<br />
immediately. Your rent will either fall<br />
slowly, or go up by less than the<br />
rate of inflation, so that <strong>Plymouth</strong><br />
<strong>Community</strong> <strong>Homes</strong> can keep<br />
providing a good level of <strong>service</strong>.<br />
What if my rent is at target rent?<br />
Where a property has been let at the<br />
target rent, annual increases will be<br />
limited <strong>to</strong> no more than the annual<br />
Retail Price Index plus 0.5%.<br />
How do <strong>Plymouth</strong> <strong>Community</strong><br />
<strong>Homes</strong>ʼ rents compare with other<br />
housing associations?<br />
On average, <strong>Plymouth</strong> <strong>Community</strong><br />
<strong>Homes</strong>ʼ rents are the 2nd lowest in<br />
the country, while, in <strong>Plymouth</strong>, our<br />
rents are, on average, £7 per week<br />
lower than the other housing<br />
associations.<br />
8
When are the rent free weeks?<br />
We ask you <strong>to</strong> <strong>pay</strong> your rent for the<br />
whole year over 50 weeks rather<br />
than 52. The ʻrent-free weeksʼ will be<br />
the weeks starting the 2 April <strong>and</strong> 24<br />
December 2012.<br />
If you are in arrears of rent, have a<br />
court order, or another arrangement<br />
<strong>to</strong> clear arrears, you will still be<br />
expected <strong>to</strong> make <strong>pay</strong>ments during<br />
these weeks.<br />
If you <strong>pay</strong> your rent by Direct Debit<br />
monthly then the rent for the year is<br />
paid in 12 equal instalments. The<br />
amount you <strong>pay</strong> for the full year will<br />
be the same as <strong>pay</strong>ing by other<br />
<strong>pay</strong>ment methods.<br />
9
How do I apply for Housing<br />
Benefit?<br />
If you have a low income <strong>and</strong> do not<br />
get any help <strong>to</strong> <strong>pay</strong> your rent at<br />
present, you may be entitled <strong>to</strong><br />
Housing Benefit. You can get an<br />
application form from any housing<br />
office, or from the city council<br />
Housing Benefit Office in the Civic<br />
Centre.<br />
Even if you have applied for help <strong>to</strong><br />
<strong>pay</strong> your rent before, but did not<br />
qualify for Housing Benefit, it is<br />
worthwhile applying again. If you<br />
wish <strong>to</strong> make a claim, you will need<br />
<strong>to</strong> provide proof of your identity,<br />
income <strong>and</strong> savings – you can bring<br />
this, with your application, <strong>to</strong> your<br />
local housing office for checking.<br />
I am receiving Housing Benefit.<br />
Do I need <strong>to</strong> reapply?<br />
IF YOU RECEIVE HOUSING<br />
BENEFIT NOW, YOU DO NOT<br />
NEED TO REAPPLY.<br />
You will receive a letter from the<br />
Housing Benefits office that will give<br />
details of your new benefit<br />
entitlement <strong>and</strong> the revised amount<br />
you should <strong>pay</strong> each week.<br />
What if I fall behind with my rent<br />
or <strong>service</strong> <strong>charges</strong>?<br />
If you are having difficulty in <strong>pay</strong>ing<br />
your rent, please contact your<br />
housing officer as soon as possible.<br />
Do not ignore it. The problem will<br />
only become worse. Our staff will do<br />
their best <strong>to</strong> help you <strong>and</strong> provide<br />
advice.<br />
IT IS VERY IMPORTANT NOT TO<br />
IGNORE LETTERS SENT TO YOU.<br />
10
Service <strong>charges</strong><br />
11
What is a <strong>service</strong> charge?<br />
A <strong>service</strong> charge is a charge we<br />
make for <strong>service</strong>s we provide <strong>to</strong><br />
your block or <strong>to</strong> your home that is<br />
not covered by the rent. It covers<br />
communal <strong>service</strong>s <strong>and</strong> in some<br />
cases individual <strong>service</strong>s such as<br />
heating <strong>and</strong> hot water.<br />
What is a support charge?<br />
A support charge is for anyone living<br />
in sheltered accommodation or a<br />
bungalow with an emergency call-out<br />
alarm fitted. This is a <strong>service</strong> <strong>to</strong> older<br />
<strong>and</strong> disabled tenants who may need<br />
support <strong>to</strong> maintain their tenancy. If<br />
you are eligible for Housing Benefit<br />
for your rent, the charge will be<br />
covered by the councilʼs Supporting<br />
People funding. Your rent letter will<br />
make this clear if this is the case. If<br />
not then you will need <strong>to</strong> <strong>pay</strong> the<br />
charge.<br />
12
What are variable <strong>service</strong> <strong>charges</strong><br />
<strong>and</strong> <strong>how</strong> do they work?<br />
<strong>Plymouth</strong> <strong>Community</strong> <strong>Homes</strong><br />
operates a variable <strong>service</strong> charge<br />
system. This means we will only<br />
charge you an amount <strong>to</strong> cover the<br />
full cost of <strong>service</strong>s you receive. For<br />
more information please refer <strong>to</strong> the<br />
<strong>service</strong> charge leaflet within your<br />
Tenantsʼ H<strong>and</strong>book.<br />
Why are you sending out a<br />
<strong>service</strong> charge statement?<br />
By law, if we charge you a variable<br />
<strong>service</strong> charge we have <strong>to</strong> make an<br />
adjustment when we know the actual<br />
cost of the <strong>service</strong>s. We want <strong>to</strong> be<br />
open <strong>and</strong> transparent with you about<br />
these costs <strong>and</strong> the adjustment.<br />
We have tried <strong>to</strong> keep this<br />
information as simple as possible<br />
but if you have questions then<br />
please contact us.<br />
I donʼt underst<strong>and</strong> the statement<br />
you have sent me. What does it<br />
mean?<br />
The <strong>service</strong> charge statement s<strong>how</strong>s<br />
you the difference between the<br />
actual cost of the <strong>service</strong>s compared<br />
<strong>to</strong> what we originally estimated for<br />
the period Oc<strong>to</strong>ber 2010 <strong>to</strong><br />
September 2011. We then either add<br />
<strong>to</strong>, or deduct from, the estimated cost<br />
of <strong>service</strong>s for the forthcoming year<br />
starting April 2012 <strong>to</strong> give you your<br />
new <strong>service</strong> charge. More details<br />
are explained on pages 18-22.<br />
When will I receive these <strong>charges</strong>?<br />
Together with your rent letter you<br />
will also receive a <strong>service</strong> charge<br />
statement. This covers the<br />
adjustments relating <strong>to</strong> the previous<br />
period (Oc<strong>to</strong>ber <strong>to</strong> the following<br />
September) <strong>to</strong>gether with the<br />
estimate from April for the<br />
forthcoming year.<br />
All annual <strong>charges</strong> will start in April<br />
unless a new <strong>service</strong> is introduced<br />
during the year.<br />
13
Service <strong>charges</strong> – flow chart for<br />
working out your <strong>service</strong> charge<br />
<strong>and</strong> any adjustments<br />
1<br />
Oct <strong>to</strong> Nov<br />
We ʻlook backʼ at the costs for the 12<br />
months until September <strong>and</strong> compare<br />
what was charged <strong>to</strong> what it actually<br />
cost <strong>to</strong> deliver the <strong>service</strong>s.<br />
Then we know if thereʼs any<br />
adjustment needed.<br />
2<br />
Dec <strong>to</strong> Jan<br />
We now work out next yearʼs<br />
estimate for the cost of the<br />
<strong>service</strong>s.<br />
3<br />
Feb <strong>to</strong> Mar this year<br />
We add the difference from 1 <strong>to</strong> the<br />
estimate at 2 <strong>to</strong> give a <strong>to</strong>tal charge.<br />
You should receive this by the 1st of<br />
April each year.<br />
14
How do I know what my Housing<br />
Benefit allowance will cover?<br />
Communal <strong>service</strong>s are covered by<br />
Housing Benefit so these are any<br />
<strong>service</strong>s that are available within the<br />
block once you step out of your front<br />
door. Individual <strong>service</strong>s not covered<br />
by Housing Benefit are water <strong>and</strong><br />
heating that you have within your<br />
home – once you shut your front<br />
door.<br />
My tenancy started in August<br />
2011. Why am I <strong>pay</strong>ing a higher<br />
<strong>service</strong> charge than my<br />
neighbours who have been<br />
tenants for a number of years?<br />
We reviewed all our <strong>service</strong> <strong>charges</strong><br />
last year. New tenants since then are<br />
charged for their share of the cost of<br />
the <strong>service</strong>s provided <strong>to</strong> their block<br />
<strong>and</strong> would have signed their tenancy<br />
agreement accepting the <strong>service</strong><br />
charge. Long-st<strong>and</strong>ing tenants, in<br />
some cases, would have been faced<br />
with significant increases following<br />
our review. It was agreed by the<br />
<strong>Plymouth</strong> <strong>Community</strong> <strong>Homes</strong> Board<br />
<strong>to</strong> phase in the increases for these<br />
tenants over a number of years.<br />
Eventually all tenants will <strong>pay</strong> the<br />
same <strong>and</strong> any new tenants in your<br />
block will au<strong>to</strong>matically <strong>pay</strong> the same<br />
as you.<br />
Communal <strong>charges</strong> can include:<br />
• Caretaking<br />
• Cleaning of communal areas<br />
• Laundries<br />
• Door entry<br />
• Lift maintenance<br />
• Fire alarms<br />
• Grounds <strong>and</strong> gardens<br />
• Maintenance in communal areas<br />
• Heating <strong>and</strong> lighting in communal<br />
areas<br />
• Communal TV aerials<br />
• Plant <strong>and</strong> specialist equipment<br />
• Others may apply<br />
We aim <strong>to</strong> provide <strong>service</strong>s in the<br />
most reasonable <strong>and</strong> cost-effective<br />
way <strong>and</strong> <strong>to</strong> a st<strong>and</strong>ard acceptable <strong>to</strong><br />
you, our residents. We are moving<br />
<strong>to</strong>wards a fairer charge, which would<br />
reflect the real costs of providing the<br />
<strong>service</strong>s.<br />
15
I have been a tenant for many<br />
years <strong>and</strong> can see the <strong>service</strong><br />
charge I have <strong>to</strong> <strong>pay</strong> has been<br />
reduced from what it should have<br />
been. Why has it been reduced<br />
<strong>and</strong> <strong>how</strong> long will this last?<br />
Last year we explained about the<br />
review of the <strong>charges</strong> we had<br />
undertaken. This meant in some<br />
cases the <strong>charges</strong> would have<br />
increased significantly. The Board<br />
recognised that any large increase<br />
would have been difficult for tenants<br />
<strong>and</strong> decided <strong>to</strong> phase in the increase<br />
over a number of years for residents<br />
whose tenancy started before April<br />
2011. This year we are continuing <strong>to</strong><br />
limit the increases <strong>and</strong> give a<br />
reduction on the overall <strong>service</strong><br />
<strong>charges</strong>. We call this the<br />
affordability cap.<br />
So <strong>how</strong> does the affordability cap<br />
work?<br />
We have worked out a charge <strong>to</strong><br />
make it affordable <strong>and</strong> have adjusted<br />
the <strong>to</strong>tal <strong>service</strong> charge so it does<br />
not exceed this amount. We have<br />
adjusted the charge so it does not<br />
rise annually by more than inflation<br />
(using the Retail Price Index + 0.5%<br />
+ 50p) compared <strong>to</strong> what you paid<br />
per week in March 2011.<br />
The cap does not apply <strong>to</strong> any new<br />
tenants of <strong>Plymouth</strong> <strong>Community</strong><br />
<strong>Homes</strong> who started their tenancy<br />
after March 2011, as they will <strong>pay</strong><br />
the full cost of the <strong>service</strong>.<br />
The charge for the lift in my block<br />
<strong>and</strong> the door entry system is<br />
much higher than last year. Why<br />
is this?<br />
We charge for repairs that have been<br />
carried out <strong>and</strong> itʼs difficult for us <strong>to</strong><br />
estimate in advance <strong>how</strong> much this<br />
might cost as breakdowns can<br />
happen at any time. Sometimes the<br />
costs are higher than we originally<br />
estimated.<br />
My laundry <strong>and</strong> lighting charge is<br />
higher than last year. Why is this?<br />
The cost of gas <strong>and</strong> electricity has<br />
increased significantly over the<br />
year. In recent years, energy costs<br />
have been difficult <strong>to</strong> predict <strong>and</strong><br />
utility prices have continued <strong>to</strong> rise<br />
above the rate of inflation.<br />
What is a management <strong>and</strong><br />
administration charge?<br />
There is a cost in running <strong>and</strong><br />
managing the <strong>service</strong>s provided <strong>to</strong><br />
your block. These costs need <strong>to</strong> be<br />
met by tenants <strong>and</strong> leaseholders<br />
who receive the <strong>service</strong>s.<br />
The charge covers the administration<br />
needed <strong>to</strong> manage all the <strong>service</strong>s,<br />
such as calculating the <strong>charges</strong> <strong>and</strong><br />
adjustments, managing the<br />
contracts, making <strong>pay</strong>ments <strong>to</strong> our<br />
providers, providing information <strong>and</strong><br />
consulting with residents. It is<br />
charged at 13p per week per <strong>service</strong>.<br />
It is based on the number of <strong>service</strong>s<br />
you receive but will not exceed 15%<br />
of the <strong>to</strong>tal cost of <strong>service</strong> <strong>charges</strong>.<br />
16
I am in a block but I know<br />
someone in another block who<br />
<strong>pay</strong>s a different amount for the<br />
same <strong>service</strong>, why is this?<br />
Each block, <strong>how</strong>ever similar, will<br />
have costs that can vary or have a<br />
different number of flats. For<br />
example, one block may have more<br />
flats than another so the costs are<br />
spread among more residents. This<br />
makes the cost per resident lower.<br />
Some <strong>service</strong>s may vary between<br />
blocks such as the area of grounds<br />
<strong>to</strong> be maintained or the time taken<br />
<strong>to</strong> clean the courtyard because of<br />
the size.<br />
I am on the ground floor. Why<br />
should I <strong>pay</strong> for a lift?<br />
The lift is one of the <strong>service</strong>s <strong>to</strong><br />
which everyone in the block has<br />
access. Whether you choose <strong>to</strong> use<br />
it or not, it is accepted that all<br />
residents should share the cost of<br />
communal <strong>service</strong>s.<br />
I donʼt use the laundry. Why<br />
should I <strong>pay</strong> for it?<br />
The laundry is available <strong>to</strong> all tenants<br />
in the block(s) as a communal<br />
<strong>service</strong> so whether you choose <strong>to</strong><br />
use it or not, it is a <strong>service</strong> you share<br />
<strong>and</strong> <strong>pay</strong> <strong>to</strong>wards.<br />
The door entry system on our<br />
block is v<strong>and</strong>alised a lot. Why<br />
should I <strong>pay</strong> <strong>to</strong>wards this?<br />
If it is out of action for long periods<br />
you will not be charged for these<br />
periods. You will need <strong>to</strong> report this<br />
<strong>to</strong> our repairs section so we can take<br />
action <strong>and</strong> record this. The repairs<br />
freephone number is 08082 306500.<br />
I cannot see that our windows<br />
are cleaned or our grounds are<br />
maintained. Why should I <strong>pay</strong>?<br />
The contrac<strong>to</strong>rs we use may come<br />
at times that you are away from<br />
your home so you may not see the<br />
<strong>service</strong> provided. We do require<br />
contrac<strong>to</strong>rs <strong>to</strong> inform the caretaker<br />
or a resident that the <strong>service</strong> has<br />
been provided so this can be<br />
checked. We will not charge you if<br />
the <strong>service</strong> has not been provided.<br />
If you still feel the <strong>service</strong> has not<br />
been provided but you have been<br />
charged, we will investigate <strong>and</strong> if<br />
this proves <strong>to</strong> be the case then we<br />
will reduce your charge.<br />
Will I get a refund if I am owed<br />
money for the period Oc<strong>to</strong>ber<br />
2010 <strong>to</strong> September 2011?<br />
Any money owed <strong>to</strong> you will be<br />
taken in<strong>to</strong> account by reducing your<br />
<strong>service</strong> charge starting in April 2012.<br />
17
An example of a <strong>Plymouth</strong> <strong>Community</strong><br />
<strong>Homes</strong> <strong>service</strong> charge statement<br />
The figures s<strong>how</strong>n are for illustration only.<br />
Address:<br />
Tenant Name:<br />
The table below is your statement s<strong>how</strong>ing what we estimated the cost of <strong>service</strong>s would be compared<br />
<strong>to</strong> the actual cost of those <strong>service</strong>s for the period Oc<strong>to</strong>ber 2010 <strong>to</strong> September 2011. The difference<br />
between these two figures is then either added <strong>to</strong>, or deducted from, the estimated cost of <strong>service</strong>s<br />
for the year starting in April <strong>to</strong> arrive at your new weekly charge. More information is contained in the<br />
enclosed booklet.<br />
Difference between actual cost <strong>and</strong> what you<br />
New Service Charge<br />
were charged between Oct 10 <strong>and</strong> Sept 11 April 2012 <strong>to</strong> March 2013<br />
A B C D E F<br />
What the What we Difference Estimated Annual Weekly charge<br />
<strong>service</strong>s estimated the (A - B) cost of charge <strong>pay</strong>able<br />
SERVICES actually cost <strong>service</strong>s Services (C + D) (E divided by<br />
would cost<br />
50 weeks)<br />
Communal Services<br />
Caretaking <strong>service</strong> £80.00 £100.00 -£20.00 £160.00 £140.00 £2.80<br />
Laundries £80.00 £60.00 £20.00 £160.00 £180.00 £3.60<br />
Communal Window Cleaning £10.00 £15.00 -£5.00 £20.00 £15.00 £0.30<br />
Refuse Bin Cleaning £7.00 £3.50 £3.50 £14.00 £17.50 £0.35<br />
Plant & Specialist Equipment £25.00 £17.00 £8.00 £50.00 £58.00 £1.16<br />
TV Aerials, satellite dishes £15.00 £24.00 -£9.00 £30.00 £21.00 £0.42<br />
Door Entry System £20.00 £10.00 £10.00 £40.00 £50.00 £1.00<br />
Communal Lighting £12.00 £10.00 £2.00 £24.00 £26.00 £0.52<br />
Grounds Maintenance £30.00 £40.00 -£10.00 £60.00 £50.00 £1.00<br />
Management Charge £41.85 £41.93 -£0.08 £71.00 £70.92 £1.42<br />
£320.85 £321.43 -£0.58 £629.00 £628.42 £12.57<br />
Individual Services<br />
Heating & Hot Water £30.00 £25.00 £5.00 £60.00 £65.00 £1.30<br />
Water Rates / Meter £10.00 £12.00 -£2.00 £20.00 £18.00 £0.36<br />
£40.00 £37.00 £3.00 £80.00 £83.00 £1.66<br />
Gr<strong>and</strong> Total £360.85 £358.43 £2.42 £709.00 £711.42 £14.23<br />
Affordability Cap - adjustment <strong>to</strong> your charge this year £0.00<br />
Your weekly <strong>service</strong> charge <strong>pay</strong>ble from April = £14.23<br />
18
A guide <strong>to</strong> your<br />
Service Charge statement<br />
Under the terms of your <strong>Plymouth</strong> <strong>Community</strong> <strong>Homes</strong> tenancy agreement, we<br />
will send you a statement each year that details the <strong>service</strong>s we provide <strong>to</strong><br />
you. Your <strong>service</strong> <strong>charges</strong> are variable <strong>and</strong> your tenancy agreement explains<br />
what this means.<br />
We hope the guide below will be of help when you look at your statement. We<br />
have listed the information by the column heading you will find at the <strong>to</strong>p of<br />
your statement.<br />
SERVICES<br />
These are the <strong>service</strong>s that you<br />
receive according <strong>to</strong> our records. If<br />
you want <strong>to</strong> know more about these<br />
<strong>service</strong>s then refer <strong>to</strong> the booklet<br />
ʻService Chargesʼ within your<br />
Tenants H<strong>and</strong>book. The <strong>service</strong>s<br />
are split in two types:<br />
ʻCommunal Servicesʼ are <strong>service</strong>s<br />
that are available within the shared<br />
areas of your block – the <strong>service</strong>s<br />
available <strong>to</strong> you once you step out<br />
of your front door.<br />
ʻIndividual Servicesʼ are those you<br />
receive once you shut your front<br />
door. For these <strong>service</strong>s we only<br />
pass on the actual cost <strong>to</strong> you, such<br />
as your share of the cost of gas if<br />
you have heating from a communal<br />
boiler.<br />
ʻManagement Chargeʼ<br />
This charge covers the cost of<br />
managing the <strong>service</strong>s provided <strong>to</strong><br />
you <strong>and</strong> administering <strong>service</strong><br />
charge accounts <strong>and</strong> records. This<br />
management charge is a flat fee of<br />
13p per <strong>service</strong> per week, but you<br />
will not be charged more than 15%<br />
of the <strong>to</strong>tal <strong>service</strong> charge.<br />
If you are being charged for a<br />
<strong>service</strong> you donʼt think you are<br />
receiving then please contact us on<br />
0800 012 1474.<br />
19
Column A<br />
What the <strong>service</strong>s actually cost<br />
This column tells you <strong>how</strong> much the<br />
<strong>service</strong>s actually cost between<br />
Oc<strong>to</strong>ber 2010 <strong>and</strong> September 2011.<br />
We have checked our accounts <strong>and</strong><br />
worked out your share of the cost for<br />
the block you live in. This is based<br />
on <strong>how</strong> many flats there are in your<br />
block – so the <strong>to</strong>tal cost is divided by<br />
the number of flats <strong>to</strong> give you your<br />
share of the cost. We also add any<br />
costs that are “individual <strong>service</strong>s” <strong>to</strong><br />
your flat, such as water or communal<br />
heating. We then add up all the costs<br />
<strong>to</strong> come up with a gr<strong>and</strong> <strong>to</strong>tal.<br />
Column B<br />
What we estimated the <strong>service</strong>s<br />
would cost<br />
This tells you <strong>how</strong> much we<br />
estimated the <strong>service</strong>s would cost<br />
between Oc<strong>to</strong>ber 2010 <strong>and</strong><br />
September 2011.<br />
Column C<br />
Difference<br />
We now take the amount in column<br />
A away from the amount in column<br />
B <strong>to</strong> s<strong>how</strong> the difference between<br />
what we estimated <strong>and</strong> what you<br />
should have paid.<br />
20
If the difference is a positive figure,<br />
displayed like this: £5.00, then this is<br />
the amount you owe us. If the figure<br />
is a negative figure, displayed like<br />
this: -£5.00, then this is the amount<br />
we owe you. The figures in the<br />
column are added up <strong>to</strong> come up<br />
with a <strong>to</strong>tal.<br />
Column D<br />
Estimated cost of Services<br />
This is our best estimate of what the<br />
<strong>service</strong>s will cost in the coming year,<br />
starting in April 2012.<br />
Column E<br />
Annual Charge<br />
This adds <strong>to</strong>gether the Estimated<br />
Cost of Services (Column D), plus<br />
or minus the difference from the last<br />
12 months (Column C), <strong>to</strong> give the<br />
annual <strong>service</strong> charge for the coming<br />
year.<br />
Column F<br />
Weekly charge <strong>pay</strong>able<br />
As you <strong>pay</strong> your rent <strong>and</strong> <strong>service</strong><br />
<strong>charges</strong> over 50 weeks we divide<br />
column E by 50 weeks <strong>to</strong> give a<br />
weekly charge. These figures are<br />
the same as the ones s<strong>how</strong>n on<br />
your main rent notification letter.<br />
21
At the bot<strong>to</strong>m of the statement<br />
Affordability Cap<br />
(adjustment <strong>to</strong> your <strong>to</strong>tal charge<br />
for this year)<br />
In March last year we explained that<br />
we had undertaken a review of all<br />
the <strong>service</strong> <strong>charges</strong>. This meant in<br />
some cases the <strong>charges</strong> would<br />
have increased significantly. The<br />
<strong>Plymouth</strong> <strong>Community</strong> <strong>Homes</strong> board<br />
recognised that any large increase<br />
would have been difficult for<br />
residents <strong>to</strong> <strong>pay</strong> <strong>and</strong> agreed <strong>to</strong> phase<br />
in the increase over a number of<br />
years for those tenancies that started<br />
before April 2011. Where residents<br />
currently <strong>pay</strong> less than the full cost<br />
of the <strong>service</strong>s provided <strong>to</strong> a block<br />
(see column A in your statement),<br />
we will continue <strong>to</strong> steadily phase in<br />
the increase whilst at the same time<br />
ensuring the charge does not<br />
exceed a certain level – we call this<br />
the affordability cap.<br />
The affordability cap is based on<br />
the weekly <strong>service</strong> charge you were<br />
<strong>pay</strong>ing back in March 2011. We<br />
steadily increase this cap each year<br />
<strong>and</strong> the charge you have <strong>to</strong> <strong>pay</strong> then<br />
follows this increase <strong>and</strong> keeps it<br />
affordable.<br />
Toward the bot<strong>to</strong>m of your statement<br />
you will see the affordability cap<br />
adjustment, for most residents this<br />
is s<strong>how</strong>n as a reduction <strong>to</strong> the<br />
<strong>service</strong> charge.<br />
For some other residents the<br />
adjustment is s<strong>how</strong>n as an additional<br />
amount. This is where we reduced<br />
your charge last year because we<br />
estimated that the cost of <strong>service</strong>s<br />
would have exceeded the<br />
affordability cap. But we now know<br />
the actual cost of those <strong>service</strong>s<br />
came in less than we estimated. In<br />
other words we reduced the charge<br />
you paid last year by <strong>to</strong>o much. For<br />
those residents affected by this,<br />
your charge this year (including the<br />
adjustment) will still not exceed the<br />
affordability cap so you are still<br />
protected.<br />
You will be able <strong>to</strong> see <strong>how</strong> this<br />
affects you by checking your <strong>service</strong><br />
charge statement. If you want <strong>to</strong><br />
know more information about the<br />
affordability cap <strong>and</strong> <strong>how</strong> it works<br />
then please contact us.<br />
The affordability cap does not apply<br />
<strong>to</strong> any new tenants of <strong>Plymouth</strong><br />
<strong>Community</strong> <strong>Homes</strong> who started their<br />
tenancy after March 2011, as those<br />
residents would have signed their<br />
tenancy agreement accepting the<br />
full cost of the <strong>service</strong>s listed.<br />
Queries about your statement<br />
If you have any other queries that<br />
are not covered in the content of<br />
this booklet, then please contact us<br />
on 0800 012 1474 <strong>and</strong> we will be<br />
pleased <strong>to</strong> help.<br />
22
Contacting Us<br />
<strong>Plymouth</strong> <strong>Community</strong> <strong>Homes</strong><br />
Head Office<br />
Princess Court<br />
23 Princess Street<br />
<strong>Plymouth</strong><br />
PL1 2EX Tel: 0800 012 1474<br />
Whitleigh Housing Office<br />
101 Whitleigh Green<br />
Whitleigh<br />
<strong>Plymouth</strong><br />
PL5 4DE Tel: 0800 917 9498<br />
North Prospect Housing Office<br />
91-93 North Prospect Road<br />
North Prospect<br />
<strong>Plymouth</strong><br />
PL2 2NA Tel: 0800 917 9499<br />
Es<strong>to</strong>ver Housing Office<br />
Leypark Walk<br />
Es<strong>to</strong>ver<br />
<strong>Plymouth</strong><br />
PL6 8UE Tel: 0800 917 9496<br />
Devonport Housing Office<br />
10-12 Granby Way<br />
Devonport<br />
<strong>Plymouth</strong><br />
PL1 4AB Tel: 0800 917 9497<br />
23
<strong>Plymouth</strong> <strong>Community</strong> <strong>Homes</strong><br />
Princess Court<br />
23 Princess Street<br />
<strong>Plymouth</strong> PL1 2EX<br />
Telephone: 0800 694 3101<br />
Email: info@plymouthcommunityhomes.co.uk<br />
Web: www.plymouthcommunityhomes.co.uk<br />
Registered Office: Ground Floor, Princess Court,<br />
23 Princess Street, <strong>Plymouth</strong>, PL1 2EX<br />
Charitable Industrial <strong>and</strong> Provident Society Registration No: 30637R