Right to Manage or Change Agent? When RTM Makes Sense

Most leaseholders do not think about Right to Manage until something starts going wrong.

Service charges may feel unclear. Repairs may take too long. Communication may become frustrating. Residents may feel as though they have little say in how their own building is being run.

Over time, that lack of control can become one of the biggest frustrations of living in a leasehold block.

Right to Manage gives qualifying leaseholders a legal route to take over the management responsibilities for their building without having to prove that the landlord or current managing agent has done anything wrong.

For many leaseholders, it can be a powerful way to regain control, improve standards, and make sure their building is managed with greater care and accountability.

Is Right to Manage the Same as Changing Managing Agent?

No. Changing managing agent replaces the company carrying out the management, while Right to Manage moves the legal right to control it to an RTM company set up by the leaseholders. Where leaseholders already appoint the agent, changing agent may be enough. Where the landlord or freeholder controls the management, Right to Manage may be the route to consider.

In some buildings, leaseholders may already have a residents’ management company or some existing control over appointing the managing agent. In those cases, changing managing agent may be relatively straightforward.

In other buildings, the landlord or freeholder may currently control the management. If leaseholders want to take that control away from the landlord, Right to Manage may be the route they need to consider.

The key difference is control.

Changing managing agent replaces the company carrying out the management. Right to Manage changes who has the legal right to control the management.

Once an RTM company is in place, leaseholders can appoint a managing agent that better reflects the needs of the building and its residents.

What Is Right to Manage?

Right to Manage, often shortened to RTM, lets the leaseholders of qualifying flats take over the management of their building through an RTM company while the landlord keeps the freehold, and our Right to Manage guide explains how it works and what it costs.

Why Do Leaseholders Choose Right to Manage?

Leaseholders usually consider Right to Manage because they want more control over how their building is looked after. The trigger may be poor communication, delayed repairs, rising costs, weak contractor oversight or a general feeling that the building is not being managed proactively.

Common reasons leaseholders explore RTM include:

• slow responses to maintenance issues
• unclear service charge spending
• poor communication from the current managing agent
• repeated delays with repairs
• concerns over contractor quality
• lack of preventative maintenance
• frustration with building standards
• wanting more say over long-term decisions

RTM can be an option even where the building is being managed reasonably well, but leaseholders simply want more influence over decisions and future standards.

How Can You Tell Your Managing Agent Is Not Working?

The signs that a managing agent is not working tend to be practical and repeated: residents chasing for updates, repairs reported but not resolved, unexplained service charge increases, poor record keeping and communal areas declining in condition. Problems like these are common reasons leaseholders explore Right to Manage. The full list:

• residents constantly chasing for updates
• repairs being reported but not resolved
• unclear or unexplained service charge increases
• poor record keeping
• contractors attending without proper follow-up
• communal areas declining in condition
• health and safety matters being overlooked
• residents feeling ignored or dismissed

What Responsibilities Come with Right to Manage?

An RTM company takes on the work of running the building, which can include arranging repairs and communal maintenance, setting and collecting service charges, handling accounts and budgets, managing insurance, health and safety compliance, leaseholder queries, major works planning, contractor oversight and keeping proper company records. Right to Manage gives leaseholders more control, but it comes with that responsibility.

Once management transfers to the RTM company, the building still needs to be managed properly. Maintenance must be arranged, budgets must be handled, service charges must be collected, contractors must be supervised, and legal obligations must be met.

This can include:

• arranging building repairs
• managing communal cleaning and maintenance
• setting and collecting service charges
• handling accounts and budgets
• managing insurance
• ensuring health and safety compliance
• dealing with leaseholder queries
• planning major works
• overseeing contractors
• keeping proper company records

This is why many RTM companies choose to appoint a professional managing agent.

The leaseholders remain in control, but the practical day-to-day management is handled by people who understand residential block management, compliance, maintenance planning and leasehold responsibilities.

When Should Leaseholders Get Advice Before Right to Manage?

Before serving any notice, wherever the building is not straightforward. A leasehold advisor can help leaseholders understand eligibility, responsibilities, process requirements and whether RTM is the right route for their building. Independent advice is worth taking where the building has any of the following:

• multiple leaseholders
• mixed-use buildings
• commercial units
• difficult service charge histories
• existing disputes
• unclear lease terms
• major works concerns
• questions over eligibility

What Does a Managing Agent Do After Right to Manage?

After Right to Manage, a managing agent appointed by the RTM company carries out the practical day-to-day management while the leaseholders stay in control through the company. It brings people who understand residential block management, compliance, maintenance planning and leasehold responsibilities, and typically takes on:

• service charge budgeting
• maintenance planning
• contractor sourcing
• resident communication
• compliance checks
• major works coordination
• financial reporting
• leaseholder queries
• long-term building care

How Right to Manage Can Improve a Building

Where it works well, leaseholders tend to see:

• clearer communication
• better maintenance standards
• more transparent service charge decisions
• stronger contractor accountability
• improved long-term planning
• greater leaseholder involvement
• better resident confidence

Questions to Answer Before Choosing Right to Manage

Before serving any notice, leaseholders should be able to answer these:

• Does the building qualify? It must be a self-contained building or part containing at least two flats, at least two-thirds of the flats must be held on long leases, and in England no more than 50 per cent of the internal floor area can be non-residential.
• Are enough leaseholders willing to participate?
• Who will become directors of the RTM company?
• What are the current management problems?
• What would improve after RTM?
• Would a professional managing agent be appointed?
• Are leaseholders ready for the responsibility?

How Plymouth Block Management Can Help

For leaseholders considering Right to Manage, professional guidance can make the process feel far less daunting.

Plymouth Block Management supports leaseholders, RTM companies, freeholders and residents’ management companies with practical, proactive block management services across Plymouth and the wider South West.

From communication and maintenance planning to contractor oversight and long-term property care, having an experienced managing agent in place can help leaseholders take control without becoming overwhelmed by the day-to-day responsibilities.

For RTM companies, the aim is simple: give leaseholders a stronger voice while ensuring the building continues to be managed professionally, responsibly and transparently.

Right to Manage: Common Questions

Summary

Right to Manage can be a valuable option for leaseholders who want greater control over how their building is run.

It can help improve communication, transparency, maintenance standards and long-term planning, especially where residents feel disconnected from the current management arrangements.

However, it is also a serious responsibility.

If you have decided Right to Manage is the route for your building, our Right to Manage claim service sets out how we take a claim from the first notice to handover.

Sources

Everything above is taken from these, not from a summary of them:

1. Commonhold and Leasehold Reform Act 2002, Part 2 Chapter 1 (Right to Manage) legislation.gov.uk
2. Commonhold and Leasehold Reform Act 2002, section 96 (management functions) legislation.gov.uk

Spotted something wrong, or something that has moved on? Email move@plymouthblockmanagement.com and we will correct the page.

Unfamiliar with a term? Our leasehold and block management glossary defines it.