Lettings industry regulation consultation response released

by Readers Question

3 months ago

Lettings industry regulation consultation response released

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Lettings industry regulation consultation response released

The Government announced its response to consultations for letting industry regulation and Client Money Protection (CMP) in a crack down announced over Easter.

Client Money Protection will now be compulsory and privately-led schemes will be introduced alongside civil penalties of up to £30,000 for agents who do not comply with the scheme.

Regulation changes include:

  • An independent regulator and code of practice for letting and managing agents
  • Possible prosecution for agents breaking the code, with criminal sanction
  • Letting and managing agents will be required to obtain a nationally recognised qualification in order to practise
  • At least one person in every organisation will be required to have a higher qualification
  • All letting and managing agents must undertake continuing professional development
  • Agents who fail to comply will not be allowed to trade

ARLA Propertymark Chief Executive, David Cox, said: “We are hugely supportive of these proposals. After 20 years of campaigning, the Government has finally listened to our call for proper regulation of the industry.

“For the last two decades, successive Governments have passed significant amounts of complex legislation on landlords; none of which have been properly policed or adequately enforced. These announcements demonstrate a very sensible shift towards focusing on the root cause of the issues affecting the sector rather than trying to find legislative solutions to individual problems.

“For landlords, their rental property is usually their biggest asset after the home in which they live and for tenants it’s their home. It must be the right of every landlord and every tenant to have a letting agent who knows what they are doing, is professionally qualified and the money they entrust to their agent is protected. This is a huge step towards creating a level playing field across the industry, and we look forward to working with the Government on this.”



Comments

moneymanager

2 months ago

How about compulsory Landlord Money Protection (LMP), having just had a tenant on periodic leave prior to the expiry of a S21 with seven weeks rent owned, damage in excess of the month and a half deposit and owing the electricity supplier for some 18 months of use, and we got off lightly.

Gary Dully

2 months ago

On the face of it, it looks like a good idea, one the mafia would be proud of, but let’s delve into this a little further and you soon uncover the real reason that Mr Cox and others support this legislation.

It’s called a “Closed Shop”.

For those that remember the 1980’s it a term used to describe an industry that you cannot be part of, unless you are a fully paid up union member.

And it’s back, with a sexier phrase to describe it.

It was made illegal by Margeret Thatcher, but it’s on the rise again with battles against Uber, unqualified teachers and many others.
It is a discriminatory power that always gets abused and is anti free market.

It’s called restrictive choice or a “club”, for the privileged and you will need a lot of wealth to get you at a reasonable place of starting.

Alright then, if this gets in, just exactly what qualifications will you need to become a Lettings agent or an Estate Agent?

Maybe a degree?, well I’ve just failed at that fence.
Maybe a City Guilds?
Just how will your kids get started?
What if your blind?
Can you pass your business on?

The beauty of this business, is that it’s open to ANYBODY and that’s the real reason for this proposal.

The sheer hypocrisy of this bunch of idiots is astonishing.

I am a bloody professional in my job already thank you, I do more via the courts and admin for the government than most people I know, so don’t lecture me about your battle to restrict the market.

They are too wrapped up in their own little empires, to see what they are doing.

A bit like the Mafia.


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