Agents hit with £7,000 of penalties after failing to show whether they offered Client Money Protection

Two letting agent branches have been made to pay out £7,000 between them after failing to confirm if they belong to a Client Money Protection scheme, and to display that fact in their offices.

Both Bairstow Eves and another high street agent, Top Supports, failed in appeals against the penalties. Top Supports also failed to display its fees.

It has been a requirement for the last two years that letting agents prominently display their fees, details of the redress scheme they belong to, and to show whether or not they belong to a CMP scheme.

Despite repeated visits by Trading Standards officers, Bairstow Eves in Barking, Essex, did not display the latter required information at their premises.

In their representation against the penalty notice, the company claimed this had been due to an oversight by a director who had left the business.

Despite appealing, they were still ordered to pay £4,000.

Top Supports Estate Agents in Dagenham, Essex, also breached the rules.

Director Kendrah Mottoh stated at the appeal that this was because they had lost a member of staff.

However, the tribunal ruled he appeared confused about the timing of the events.

Despite receiving advice from Trading Standards, they failed to display a list of fees along with a declaration that the office was not a member of a CMP scheme.

The company will now have to pay £3,000.

Cllr Laila Butt, cabinet member for enforcement and community safety at Barking & Dagenham Council, said: “It is so important that we clamp down on letting agents who are not playing by the rules by displaying the right information.

“It is a requirement of the Consumer Rights Act 2015 that letting agents display on their premises and website, their fees to landlords and tenants, as well as a declaration whether they belong to a Client Money Protection scheme, and their redress scheme membership.

“This should be a strong warning that we will look to investigate anyone who is breaking the law and they will be prosecuted.”

Trading Standards can impose penalties of £5,000 per breach.

The law currently requires agents to say whether they offer CMP; under the Draft Tenant Fees Bill, agents will have to display the CMP provider.

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4 Comments

  1. Chris Wood

    Presumably all of the hundreds of self-employed franchisees working from home will be investigated and treated equally?

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    1. forwardthinker

      :-)) Well done Chris… Best Sam

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  2. Robert May

    What is the penalty for breaching CPR? Putting the price of a property up and down,up and down up and down, up…down contravenes CPR. One firm which happens to have an aether access port in Essex seems to be having difficulties with price pulsing; the price of some of their listings looks like a sine wave. When are trading standards going to get their teeth into the BPR issues affecting the industry and CPR issues affecting consumers rather than these soppy fringe easy wins?

     

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    1. Chris Wood

      Speeding fine v organised crime. One is an easy collar.

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