2026: A Defining Year for Property Management

"Service charge scrutiny will intensify, with transparent templates, more tribunal challenges and a much sharper focus on agents to demonstrate clear value for money. Larger structural change will continue, as established multi-brand supergroups push beyond 300,000 units, and consolidation reshapes the competitive landscape.

"We also expect employment costs to rise once again. Retaining high-quality property managers is becoming harder every year, and as regulation increases, so does the premium on experienced staff. Commonhold reform will add another layer of transition, with a mandated move for new blocks and a predicted 10% portfolio churn as some freeholders exit a world of zero ground rents. This shift will place greater responsibility in the hands of leaseholder-controlled entities. Agents with proven experience supporting Resident Management Companies, guiding directors and delivering compliant governance will be best placed to take on these buildings.

"All of this comes against a backdrop of growing day-to-day pressures. Property managers will need to be fully conversant with leasehold reform, building safety legislation, new SLAs, more site inspections, contractor oversight and project delivery. Add to that the ongoing challenge of legally recovering funds to maintain good building cash flow, especially with possible changes to forfeiture, and the job will only get more complex.

"2026 will be a demanding year, but it is also an opportunity. Those that invest early, raise standards and adapt quickly will be the ones that lead the next phase of the sector."