The 7th March 2019 saw the Client Money Protection Schemes for Property Agents (Requirement to Belong to a Scheme etc) Regulations 2018 signed which will come into force from 1 April 2019.
These new regulations mean that all private rented property agents will have to sign up to a government-backed scheme protecting renters’ and landlords’ money. Failure to do so would leave an offender liable to a fine of up to £30,000.
Five schemes have been approved:
To join a scheme, property agents will need to have a client account and appropriate professional indemnity insurance, and schemes will expect agents to have good client money handling procedures in place.