Posted by Mike on July 31, 2007, 12:44 pm, in reply to "Re: Response to Charles"

Dave is right. It is difficult for us to make meaningful suggestions without knowing the T&Cs and costs surrounding the plumbing checks and the insurance renewal premiums. However, it seems to me that a good volume discount could have been obtained from the plumbers, even if the agreement had been based on the number of checks actually carried out. If, as seems likely, the take-up of plumbing checks is ultimately only 50%-60%, that’s still 200 plus flats that have the checks. That is still a good basis for a volume discount. The key point is that any such agreement is likely to be commercially more beneficial to BWFL (and hence the service charge payers) than the existing agreement. Therefore, I suggest that BWFL tries to negotiate that type of volume discount agreement for any future plumbing check years. Of course, that’s unless someone can figure out a way of getting a take-up that is much closer to 100%, in which case my reasoning is redundant.

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