Alistair Strathern

I know my hon. Friend is a tireless champion of his constituents who are impacted by this issue. He is spot on: this fleecehold stealth tax—because it is in essence a stealth tax our constituents are being asked to pay—is not just unfair to residents, but means they are all too often ultimately reliant on management companies to provide a service that they rarely receive. Not only are they having to pay more than those in adopted estates, but they often get a worse service, because there is no transparency or accountability around the management companies taking on those practices. It is not just a cost issue for my constituents or many like them. There are other big non-financial costs associated with fleecehold. Far too many estates have had to band together and sink countless hours into holding management companies to account to get transparency over works, to ensure that very basic works and maintenance are carried out, and to make sure that things we all take for granted—such as safety inspections on play parks—actually take place. My constituents have had to sink days and days of their time into fighting for the bare minimum. Alongside the very fragmented legal nature of those entities, they can also put my constituents at risk at crucial moments. I spoke to constituents whose house sales have nearly fallen through—one actually did—because the management company in question failed to provide the management pack in a timely fashion. That meant that during conveyancing they were unable to complete the sale and move to the dream property they had been looking forward to and needed to move to for their jobs. I spoke to another constituent whose credit score was decimated when, after missing a payment by just a couple of weeks, their management company enacted some of its powers under the contract to go straight to the mortgage company, add the balance to the mortgage and extract the fee that way, with all the impact one would expect that to have on the homeowner’s credit score and sense of security.