Letting agents have just a week left to add their voice to the debate on whether mandatory Client Money Protection (CMP) should be introduced.
The government’s outstanding six-week consultation closes a week today on October 3.
CMP schemes protect client funds held by letting agents, providing landlords and tenants with the opportunity to recover their money in the event it goes missing.
The government estimates that between 60% and 80% of agents already voluntarily offer CMP, quoting industry figures that letting agents hold almost £3 billion in client funds.
The consultation was launched by Housing Minister Gavin Barwell and has been supported by a number of industry bodies, including the RLA, NALS, ARLA and the AIIC.
At the moment, as part of the Consumer Rights Act 2015, letting agents are legally required to make public whether they offer CMP to their customers.
When the consultation was launched, Isobel Thomson, chief executive of the National Approved Letting Scheme, said her organisation was delighted that the government had recognised campaigning for full and mandatory CMP.
“NALS will be responding fully to the consultation to inform the argument that all agents should be covered by CMP, and we urge others to do so too,” she said.
“We hope this review will finally lead to mandatory CMP for all letting agents.”
