Steep hike in service charges troubling Crystal Palace residents

By Harrison Galliven, Local Democracy Reporter

Homeowners in a housing block built by Croydon council’s controversial house building company have said that increases in service charges and poor repair services have led them to consider moving.

Residents of Auckland Rise in Crystal Palace have urgently requested a meeting with Croydon Mayor Jason Perry after discovering their charges have almost doubled this year for many residents. The average bill has increased by 35 per cent.

Auckland Rise, built by Brick by Brick, is a shared ownership property where rents are strictly regulated but service charges are uncapped.

A number of residents moved into the property with the promise that shared ownership would make the cost of living in a newly-built property affordable.

Brick by Brick was set up in 2016 by the then Labour-led Croydon council as a company in its own right to build affordable housing in the borough. However, after years of overspending and mismanagement, Croydon council agreed to wind the company down in 2021.

Maria Garcia, a producer who moved into Auckland Rise in October 2021, said: “I love Crystal Palace but it’s getting ridiculous. Considering the service charge is going up I’m not sure it’s affordable anymore.

“It’s making me question my decision to move here because when I first bought the property I was told it would be £86 for the service charge and now I am paying £154. I understand inflation means everything goes up but it’s nearly double.”

Fellow Auckland Rise resident and financial software engineer Nick Toduran said: “Getting in touch with them is easy, getting information from them is the problem. Whenever we ask them for details about what they’re basing their projections on they never respond. It’s just impossible to get anything out of them.”

Lib Dem councillor Claire Bonham said: “These charges are a scandal and make a mockery of Brick by Brick’s promise of ‘affordable housing’ to residents in our borough. ”

A Croydon council spokesman said: “Service charges for shared ownership and private homes on the development at Auckland Rise are determined by the estate management company.

“There has been a recent increase, largely due to insurance costs rising significantly over the last two years. We have listened to the concerns raised by Auckland Rise residents and will investigate further.”

Pictured top: Councillor Claire Bonham (left) with Auckland Rise resident Sinead Harmey – discussing the service charges at the estate (Picture: Claire Bonham)