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Government plans new licensing rules and fee caps for property agents

The government has announced plans to introduce independent regulation for property agents, requiring them to obtain a licence and hold qualifications. New measures will also cap administrative fees charged to leaseholders.

  • Property agents will be required to obtain a licence and hold appropriate qualifications to operate.
  • The government plans to legislate to introduce caps on fees charged by landlords to leaseholders.
  • A public consultation will be launched to determine which fees should be capped and their levels.

The government has announced plans to strengthen leaseholders' rights by introducing regulation for property agents and capping fees. Under the proposed rules, property agents will be required to obtain a licence and hold appropriate qualifications to operate.

The government will legislate to introduce caps on fees, setting limits on what landlords can charge. These caps will target administrative fees for providing documents, such as building safety certificates, or for notifying a change in mortgage provider.

Housing Secretary Angela Rayner stated that the government will legislate for independent regulation to address issues with unqualified, unlicensed, and unregulated agents. The regulator will have the power to revoke licences if agents fail to meet required standards.

A public consultation will be launched to determine which fees should be capped and the level of these caps. The government also announced plans to introduce a bill for leasehold reform before Christmas.

What this means for you: If you are a leaseholder, you may see limits on the administrative fees landlords can charge for requests like keeping a pet or providing documents.

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