Update on the FirstPort Service Charge Invoice

By Nige on July 15, 2021 at 8:31 am
Type: News Category: Service Charges
Tags: FirstPort

We will provide more detail in due course, but thought it was worthwhile providing some clarification about the invoice that you have either already received and/or will be receiving in the next few days. This is based on an initial exchange with FirstPort:

• The “Balance on Account” is based on the amount each property owner paid (to Bloor) at the time of completion. This amount is calculated based on the full year Service Charge on a prorata basis. Note the year runs from 01/02 to 31/01. A further £30 is then deducted from each property owner’s account as a FirstPort admin fee. [We will be disputing this fee separately]

[insert-clear-float]

• That means those completing in (for example) Dec and Jan paid a small amount of Service Charge, with those completing in (for example) Feb and Mar paying a large amount. So, as the date of completion moved from Feb through to Jan the following year, the property owner would have paid less and less of the Service Charge.
• The “New Invoice” is £22.64 for every property owner, so this has been consistently applied.
• That means that if property owners paid more than £30 + £22.64 = £52.64 in Service Charge at the point of completion, they would have a negative (in credit) balance. Those property owners that paid less than £52.64, they would have a positive (in debt) balance.
• FirstPort confirmed that those property owners in credit (with a negative balance) did NOT need to pay the invoice. It’s important though that property owners should contact FirstPort by email (ceoxfordandberkshire@firstport.co.uk) or by phone/mail etc to confirm this position.
• Typically, the Service Charge has been rated at about £220-£230 or so each year, so that means (assuming there’s an even spread of completions throughout the year), that only 25% of residents have a liability to pay this invoice – everyone else should be in credit.

The RAEC met last night and we had a good discussion on this subject. We have a clear action plan which we will communicate once the minutes have been reviewed/agreed etc.