I'm trapped in a retirement flat with a £20k service charge. I fear I'll never sell

Key developments are emerging from the global stage. I'm trapped in a retirement flat with a £20k service charge. I fear I'll never sell13 minutes ago Share Save Add as preferred on GoogleAngus CrawfordBBC InvestigationsBBCMichael Fraser, 88, says he's trapped in what now feels like a "golden cage"When Michael Fraser moved into his retirement flat, he could hardly believe his luck. A stable conversion nestled in the landscaped gardens of a Grade I listed country house in Devon.

But six years after moving in, Fraser says he's trapped in what now feels like a "golden cage". "I feel stuck here because I can't see myself selling and probably I'm very unlikely to get a fair value for it," he says. Fraser is one of more than 400 people who contacted News after families told us they were being left with hefty bills when inheriting retirement properties.

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In February, they said they were spending thousands of pounds per year on service charges for empty homes and were unable to sell up. That report highlighted the problem of high service charges and low resale prices affecting thousands of properties across England and Wales. In 2020, the 88-year-old was finding his cottage increasingly difficult to cope with and moved to Audley Group's Flete House to be closer to his daughter.

Audley Group builds and manages retirement villages across England. Fraser moved to Audley Group's Flete House in Devon to be closer to his daughterThe former school teacher paid £140,000 for a two-bed flat with a service charge of about £12,000, less than 50% of his annual pension. However, from 1 January 2026, the charge has risen to £20,000 a year, an increase of 66% in six years.

"It's like something squeezing, it's getting tighter and tighter year on year," he adds. Despite his love for the flat and its "pretty splendid" grounds, he thinks the service charge could put off any future buyers. For Fraser, the fees aren't good value as he says there are "hardly any" services on offer.

What Experts Say

He fears that if he should need to go into a care home, he and his relatives simply wouldn't have the money for both if his flat sat empty and unsold. "I'd still be paying £1,600 a month for this, plus the care, and all of that would be way over 100% of my pension income. So I seriously feel I'm stuck," he says.

Audley Group told us that the individual flat owners decide what services they want, and while accepting costs at Flete House have increased significantly, it's not representative of its other developments. "We recognise that some owners have concerns and we remain committed to supporting them," Audley Group said. Sarah Woods with a picture of her late parents on their wedding dayOur earlier reporting found thousands of retirement flats across England and Wales were vacant.

Families blamed high service charges for making the properties unattractive and complained of a collapse in the value of the flats.

The development has drawn wide international attention, with diplomatic circles watching closely.