FirstPort, which has more than 400,000 leasehold homes under management and a portfolio of “fleecehold” private managed housing estates, has been suspended for a period of three months from its trade body the Property Institute for three months.

The Property Institute (TPI) has issued a statement: “Following independent adjudication, ‘FirstPort Property Services Limited (FirstPort)’ has been suspended from TPI Company membership due to a breach of membership rules”.

The decision to suspend FirstPort was made before company representatives met Labour MPs last month to discuss repeated concerns expressed by their constituents.

FirstPort was summoned on 9 January to address widespread complaints about its alleged substandard performance.

Constituents and MPs have accused the company of excessive service charge hikes, failure to complete critical building maintenance, and poor responsiveness to resident concerns.

The meeting, chaired by David Pinto-Duschinsky MP and attended by Basingstoke MP Luke Murphy, followed a letter to FirstPort from the group demanding an explanation for ongoing issues.

MPs presented testimonials from constituents nationwide, describing service charge increases of over 50% in some cases and detailing frustrations with unaddressed maintenance and a lack of transparency in service charges.

The group also raised complaints about FirstPort’s management of retirement complexes, including Kendal Gardens in Basingstoke and Mulberry Mead in Whitchurch.

MPs argued that the company is treating leaseholders as “cash cows,” prioritizing profit over service quality.

David Pinto-Duschinsky MP, who co-chaired the meeting with FirstPort, said: “I’ve had dozens and dozens of complaints about FirstPort’s unacceptable service charge hikes, poor service and lack of responsiveness and transparency. All too often they are using leaseholders as little more than cash cows to be milked for every penny. People are paying more and more, and getting less and less.

“Enough is enough. This group of Labour MPs has come together to do everything we can to hold these unscrupulous managing agents to account. We strongly support everything the government intends to do to reform the leasehold system, and are determined to do all we can alongside that to hold failing managing agents to account. Today’s meeting is just the start of that.”

FirstPort managing director Martin King attended the meeting.

A spokesperson from The FirstPort Group said: “One of our TPI memberships has been temporarily put on hold until the beginning of March whilst we review and improve an internal process. This does not relate to core business-wide practices, but to a specific issue in our handover process to a new managing agent, which commenced in 2023. We have responded positively to the issue raised and we will continue to make improvements to our ways of working. We remain committed to continuing our work with TPI to improve standards across the industry.”