Littlefairs Property Company supports new Government measures on Client Money Protection
The Government has announced that it intends to make Client Money Protection (CMP) mandatory for all letting agents. ARLA Propertymark has campaigned for the last six years for this decision, which will protect consumers by ensuring all agents holding rent money and deposits must protect it in a CMP Scheme. CMP has always been mandatory for Propertymark members, such as Littlefairs Property Company, but when it becomes a requirement on 1stApril 2019, all letting agents will be operating on a level playing field and consumers will be protected regardless of which agent they choose.
Littlefairs Property Company, a professional letting agent with CMP already in place, is delighted at the decision. The market is huge, with an estimated £2.7 billion* held by letting agents in client accounts and historically there were too many cases of criminal letting agents stealing landlord and tenant money. This is why it is crucial that consumers check their agent is part of an agent regulatory organisation which already provides CMP.
David Cox, Chief Executive of ARLA Propertymark, says:
“This is a triumph for the industry and will go a long way towards improving the regulatory environment in the lettings sector and increasing protection for consumers who rely on agents to handle their money safely. Having worked closely with HHCLG to make it compulsory, we’re really pleased that our scheme has today secured formal Government Approval.”
It is important that there is a level playing field across the industry and that this is a move to improving the reputation of the sector and bring all agents up to the professional standards that we, as a company, represent.
If you would like further details on CMP or how we handle client monies, please call 01904 393989 to speak to one of our property experts.
*According to ARLA Propertymark