It is simply untrue that Power Flushing is the only way to remove sludge. Power flushing has only been on the scene a few years, whereas CH has been around in volume use for over 40. Power flushing just happens to be a nice convenient solution that heating companies just loooooooove to sell you.
The alternative a chemical such as X400 from Sentinel (Advertising Stds Authority warning: other chemical cleaners are widely available). This is the generic website for this company and the chemcials are widely available from plumbers merchants (and even the DIY sheds these days).
http://www.sentinel-solutions.net/
The trouble with chemical solutions is that they take time to work - meaning multiple visits from a heating company - hence they don't want to use them because every visit 'costs' in travelling time for them.
Black colouration in the water is a sure sign that your radiators are being eaten alive from the inside - you won't see the colour when you try and drain from the top because the sludge is a heavy suspension of iron oxide in the water and it generally sinks to the bottom - where it sits, preventing water circulating.
Once cleaned and washed out, replacement inhibitor (normally X100) should be installed to prevent future sludge formation.
The cost for the whole lot? - less than £40 I guess, plus some time and a bit of mess. How many hundreds are you being quoted for power flushing? What rate per hour do you get paid? How many hours of work would you have to work to pay for a powerflush? It's a no-brainer.