Leaders from the property industry, including representatives from National Trading Standards, The Property Ombudsman, and Propertymark gave testimony during an inquiry by the House of Lords Industry and Regulators Committee yesterday.
The inquiry was organized to discuss the creation of a new regulator to oversee estate agents, an idea put forth by the 2019 Regulation of Property Agents working group report.
Scotland and Wales have already passed laws to regulate letting agents.
According to a January 2023 study by the Chartered Institute of Housing, 87% of letting agents who have achieved qualifications believe it has improved their professional skills. Additionally, 84% feel that having qualifications has been beneficial for the sector.
Propertymark has consistently supported the idea that effective regulations would protect consumers from potential harm, and that the housing market could be improved with the help of precise data collected under a regulatory system.
With a growing number of regulations impacting the housing industry, the trade body stresses the importance of agents possessing adequate knowledge and skills for managing property. However, without comprehensive regulation, maintaining uniform standards is challenging.
Timothy Douglas, the head of policy and Campaigns at Propertymark, spoke at the inquiry representing agents and emphasized the need for a code of practice, minimum qualifications, and licensing for estate agents across the UK, as well as for letting and managing agents in England. He stated: “Working as a property agent is complex, involving a variety of skills, the handling of significant amounts of money, and knowledge of intricate housing laws.”
Douglas further remarked that the responsibilities of agents and property managers have greatly expanded without a corresponding review of their qualifications. “Protecting consumers is crucial, and we are at a decisive moment now where action is necessary,” he concluded.
