UK landlord and letting agent regulation proposals have been ditched

Landlord Expert
By Landlord Expert June 11, 2010 16:44

The government announced yesterday that plans for increased regulation on letting agents and landlords will be scrapped.

Grant Shapps, the Conservative housing minister, told Parliament that new rules drawn up in response to the Rugg Review will not be implemented. This means that the letting and management agency sector will continue to be unregulated.

The proposals, which Mr Shapps described as “burdensome”, would have seen the agency sector regulated for the first time in the UK. The Rugg Review found that such regulation was necessary in order to protect landlords and tenants from poor agents, and to protect tenants from rogue landlords.

The plans would also have introduced compulsory written tenancy agreements across the board, which have been shown to reduce the potential for conflict at the end of a tenancy.

Mr Shapps said: “With the vast majority of England’s three million tenants happy with the service they receive, I am satisfied that the current system strikes the right balance between the rights and responsibilities of tenants and landlords.”

But landlords who engage agents to help them let or administer their properties will still have to contend with a system in which service providers are not regulated. Letting agents require no training or qualification, and can set up shop with no authorisation or vetting.

Many commentators suggest that this leads to poor service and an increased rate of disputes for both tenants and landlords.


Landlord Expert
By Landlord Expert June 11, 2010 16:44


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