Call for estate agents to be licensed

Call for estate agents to be licensed

Estate agents need compulsory licensing to drive up industry standards, one of the country's largest property sellers said today.

Halifax estate agents said changes set to be introduced through the consumers, estate agents and redress bill did not go far enough.

Under the bill, which will be discussed today in the House of Lords, estate agents will be required to sign up to an independent ombudsman with the power to award compensation to buyers and sellers.

Those who refuse to sign up to an ombudsman would face a ban.

Although welcoming the reforms, Halifax said the government should do more to tighten up industry standards by advocating the licensing of all estate agents through approved bodies.

It also said the licensing scheme should include a minimum training and competency requirement.

In pushing for compulsory licensing, Halifax says it has the backing of the majority of the public.

Its research found that 58% of people believe there should be a compulsory licensing scheme, while almost two-thirds agree with the government that there should be an obligatory ombudsman scheme.

Colin Kemp, managing director of Halifax estate agents, said: "Our research shows there is real public support for the proposed government scheme of compulsory membership of an ombudsman.

"The public would also welcome an extension of this with the introduction of compulsory licensing."

Halifax also called on estate agents.....continued below

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to sign up to a new summary box initiative, introduced by the property seller.

It said the box, which would illustrate key facts about the agent's services and conditions, would improve clarity and the level of service customers receive.

The National Association of Estate Agents agreed that the government should consider tighter regulation of estate agents and introduce compulsory licensing.

Chief executive, Peter Bolton King, said: "UK estate agency has for a long time been plagued by the actions of a rogue minority, with both consumers and agents suffering as a result.

"By insisting that estate agents must be a member of an approved professional body before they are allowed to practice, the government could easily and successfully go a long way towards tackling this important issue."

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