- House Prices
The Government has announced that Client Money Protection (CMP) will be mandatory for all lettings agents across England.
Dawn Clarke, director of lettings and property management at Nock Deighton, who is also the regional spokesperson for ARLA (Association of Residential Letting Agents), heaped praise on the decision.
“This is fantastic news for landlords and tenants because CMP gives them protection in the event that a lettings agent misappropriates their money,” she says.
“We have been part of ARLA Propertymark’s campaign to give more support to landlords and tenants in this way so we are delighted.
“It is another step towards the lettings industry becoming more regulated, which is a positive move for everyone involved - reputable lettings agents, landlords and of course tenants.”
David Cox, chief exectutive of ARLA Propertymark, said: “This is an argument we have been making for some time alongside Baroness Hayter and Lord Palmer. Working together we have managed to convince the Government of the merit of compulsory CMP.”
Baroness Hayter, a Labour peer who has championed the measure, added: “The working group, chaired by Lord Palmer and myself, looked carefully at whether CMP should be mandatory for all agents handling client money.
“The evidence was overwhelming, and we recommended the government use its reserve powers to implement this.
“We are therefore delighted that the Government has accepted our recommendation as it will ensure tenants and landlords alike are provided with extra security in the lettings process.
“May I also extend special thanks to ARLA Propertymark for its role in marshalling the industry to back the measure and for providing the working group with real ‘on the ground’ evidence for why mandatory CMP is so desperately needed.”