Local letting agents in Gloucestershire are being urged to ensure they have signed up to an approved redress scheme by 1 October at the latest if they wish to avoid a hefty fine.
The Government has confirmed that failure to make the deadline is a criminal offence which could result in a fine of up to £5, drugs 000 for landlords who have not signed up to one of the three approved schemes which are being run by the Property Ombudsman, case Ombudsman Services: Property, and The Property Redress Scheme.
Letting agents who have not registered and are finding it difficult to do so should contact communications-newsdesk@communities.gsi.gov.uk before 1 October.
Minister of State for Housing and Planning Brandon Lewis commented:
“Most tenants and landlords are happy with the service they get from their letting agent, but in the small number of cases where people have complaints these should be addressed quickly and effectively.
“That’s why from 1 October, letting agents will need to belong to one of three approved redress schemes. This will mean that anyone who feels they are not being treated fairly will have somewhere to go with their concerns – and could receive compensation.
“I’m pleased to see that already the vast majority of letting agents have signed up – but I would urge those who haven’t done so yet to follow suit.”
Christopher Hamer, The Property Ombudsman, added:
“I welcome the announcement from the Government about this requirement for letting agents to register with a redress scheme.
“The lettings sector has been aware for some time that this was coming and we now have certainty about the date of implementation.
“The announcement does not mention anything about a period of grace for completing that registration, so agents operating in England (the obligations do not yet apply to Scotland, Wales or Northern Ireland) should deal with the matter with all haste.
“The Property Ombudsman has seen an increase in membership applications in recent weeks so it is encouraging to see that many firms have already reacted and are keen to show that they want to follow the standards in the our Code of Practice.”