Biodiversity Net Gain (BNG) is UK government policy, mandated under the Environment Act 2021. It requires new developments to deliver at least a 10% net gain in biodiversity compared to the pre-development baseline. The aim of BNG is to enhance the natural environment, ensuring that development leaves biodiversity in a measurably better state than before.
Resident Management Companies (RMC’s) are often the legal landowners of shared open spaces within new developments. As such, responsibility for maintaining BNG commitments is typically handed over to them. Given that BNG is a legal requirement, it is crucial that RMC’s understand their obligations. If they appoint a Managing Agent, they must be confident that the Agent is capable of fulfilling these responsibilities to avoid potential penalties.
Charles Lucas, Group New Business Director at Centrick, commented:
“Most developers, particularly with future legislative changes, will be seeking more than ever to effect prompt and effective handovers to RMC’s. This will include increasingly rigorous BNG requirements placed on developers and housebuilders as part of the planning process. Therefore, RMC’s must be reassured that their managing agent is fully up to speed as their partner to ensure BNG criteria are effectively managed and adhered to.”
Managing Agents’ Responsibilities for Maintaining BNG
1. Implementation of the BNG Plan
- Ensure all biodiversity enhancements (e.g. wildflower meadows, hedgerow planting, ponds) are installed in accordance with the approved BNG plan.
- Work closely with ecologists and developers during the handover process to confirm that all measures have been delivered correctly.
2. Ongoing Maintenance
- Carry out or oversee regular ecological management activities, such as:
- Selective mowing or grazing
- Control of invasive species
- Maintenance of habitat features like bat boxes and deadwood piles
- Monitor habitat conditions in line with Biodiversity Metric requirements.
3. Monitoring and Reporting
- Submit regular monitoring reports (every five years or as required) to the Local Planning Authority (LPA) to demonstrate continued compliance.
- Take corrective actions to address any identified shortfalls or declines in habitat quality.
4. Legal and Financial Accountability
- Comply with legal agreements (e.g. Section 106 agreements or conservation covenants) that bind the land to maintain the biodiversity gain.
- Ensure service charge budgets include appropriate provisions for BNG maintenance over the 30-year period.
Risks of Non-Compliance
Failure to meet BNG obligations can have significant consequences for RMCs, including:
- Long-Term Liability – Non-compliance may result in enforcement action from the LPA.
- Financial Implications – Potential fines and increased service charges to cover remedial works.
- Resident Satisfaction & Reputation – Poor ecological management can lead to resident dissatisfaction and reputational damage.
- Legal Consequences – Breach of legal agreements can expose RMCs to legal risk.
How Centrick Can Help
Centrick has over 20 years’ experience working successfully with RMCs to deliver high-quality management, consultancy and support services. We understand the legal, environmental and operational aspects of BNG and are committed to helping you meet your obligations with confidence.
RMC Training Sessions
Centrick offers training and roundtable discussions specifically for RMC members, those who are thinking about joining or starting an RMC, and RMC directors. An RMC memeber who recently attended one of our events said:
“By the end of the session, I felt confident and well-equipped with the knowledge needed to take on the responsibilities ahead.”
Our next training for RMC Directors session will take place on 2nd July 2025, virtually. To learn more about this event and register your space on the session, click below.
Learn more about our RMC services via the for RMC’s page on our website or submit an enquiry below.
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