Residential Landlords Association (RLA)
Letting agents urged to check redress scheme covers FULL remit of work
Letting agents in England are being urged to check that they are signed up to an approved redress scheme that covers the full remit of their work.
The warning comes after a letting agents was recently fined £3000 for belonging to an approved redress scheme for its letting agency work but not for its property management work.
In one of the first cases of its kind, the agent in question was fined because while their redress scheme membership covered it for sales and lettings, commercial sales and lettings and some property management, the residential leasehold management part of the business was not covered.
Since 1st October 2014 it has been a requirement for letting and managing agents to be a member of a redress scheme. The purpose of these schemes is to deal with complaints made by tenants or landlords about agents. There are some exemptions for this requirement. You can read more about this in our guidance.
The two approved redress schemes are Property Redress Scheme and The Property Ombudsman. It is a legal requirement for letting agents to belong to a redress scheme, and failure to do so could result in a penalty notice being issued.
Sean Hooker, Head of Redress at the Property Redress Scheme said:
“Whilst PRS membership covers most agents for all the work they do, they must tell us from the outset the areas they undertake work in so we can record this under their membership”
Katrine Sporle of the Property Ombudsman said:
“TPOs online membership and website provides detailed information about the categories of work TPO provides redress for, the options available and clarity around the need to be registered for each category”.
- The requirement to belong to a redress scheme came into force a few years ago, and earlier in 2019 it also became a requirement for letting agents in England to an approved client money protection scheme. Learn more about this in the RLA’s guidance for letting agents here.
- The RLA runs a number of useful courses for letting agents. We are running an Agents Update classroom course in September, which is designed to give both new letting agents and experienced agents an update of the legislation changes they need to know about.
Latest News from
Residential Landlords Association (RLA)
RLA and Appraisers UK develop HMO course for property surveyors26/02/2020 11:25:00
Property surveyors will be able to broaden their knowledge of Houses in Multiple Occupation (HMOs) to conduct valuation surveys in such properties, in a new training course.
Liverpool plans ‘alternative’ licensing scheme25/02/2020 14:25:00
Liverpool City Council has confirmed it will NOT seek a Judicial Review on plans by the Secretary of State to block its plans to renew its controversial selective licensing scheme.
Fitness for Human Habitation Act extension-one month to go24/02/2020 16:25:00
On 20th March 2020 the Homes (Fitness for Human Habitation) Act will be extended to apply to existing tenancies in England.
Electrical safety rules will leave tenants at risk24/02/2020 14:05:00
New electrical safety rules could leave tenants in high-risk rental homes vulnerable.
Coal and wet wood ban announced24/02/2020 11:25:00
Coal and wet wood, used in wood burners, stoves and opened fires will be banned from next year in a bid to tackle air pollution.
Tenants hurt by growth in short term lets24/02/2020 09:05:00
Tenants, including many with children, are finding it harder to access long term homes to rent as Government policy is driving landlords to move into the holiday lettings market, says the leading landlords’ organisation.
Daily politics update-rents, Universal Credit guidance, deposits21/02/2020 16:25:00
In our politics update today we take a look at new guidance for landlords on Universal Credit, research on rents and research on deposits.
Today in politics: renters paying more, DWP update and deposits21/02/2020 14:15:00
We look at Halifax figures showing how much more renters are paying out per month v homeowners, we link to the DWPs new Universal Credit guide and data on deposit levels in the UK.
Labour MP presses government on timetable for Renters’ Reform Bill introduction21/02/2020 08:05:00
Rosie Cooper, Labour MP for West Lancashire has received her response to a written question on the timetable for the introduction of the Renters Reform Bill.
Consultation launched on extending minimum notice period for Section 21 in Wales20/02/2020 17:05:00
The Equality, Local Government and Communities Committee has launched a consultation on plans announced by the Welsh Government last week to extend the minimum notice period for serving a Section 21 in Wales from two to six months.