Letting fee ban – A better plan?

I run a small letting agency and am almost certain to exit the market when the fee ban comes in as it is income we cannot in all good conscience replace. I plan to go into commercial property and sales instead, run my own portfolio and get a life!

It occurred to me that since Landlords will take the brunt of the fee ban and in consequence need to charge higher rents to offset this, there may be a better way of dealing with the issue.

We charge inbound tenants for the referencing at cost plus an admin fee per property. This usually equates to around £250 – £300 per letting.

If we let a property at £695 PCM initially with an option to continue at £650 PCM after six months of good behaviour, rent paid on time and a favourable inspection, would this be seen as a ‘fee by the back door’ or simply recognition and reward for good behaviour?

Some of the items where charges are now being outlawed are crazy in my view.

Many thanks

Jon