Financial statement bans letting agent fees

letting-agents-feesIt’s not often that a petition achieves 100% success but today’s financial statement by the government confirms that letting agents will no longer be able to charge fees to tenants.

Instead their costs will be born by landlords.

In an article posted in April we asked York residents to support a petition opposing high fees. 

Nationally over 1/4 million signed the petition which was handed to the government a month ago.

Today’s announcement brings English regulations in line with those that have applied in Scotland for some years.

A third of letting agents in York failing to comply with law

Nearly a third of letting and property agents are failing to comply with legislation despite being advised of new laws and action is being taken, City of York Council’s Executive Member for Housing was told at a Decision Session yesterday (17th October).

The report was accepted and the update given based on officers checking agents to ensure that they clearly display their fees in their offices and on their websites and that they deal fairly with any complaints by landlords or tenants, as part of a drive to further improve the private rented sector.

Last year, all agents in the city were found to be compliant following advice being shared by the council.

Lettings feesThe Decision Session was told that agents which let out homes on behalf of others were checked by officers by visiting their offices and checking their websites. Of the 47 which fall into this category:

  • 15 were found to be non- compliant (32 per cent)

Of those 15 non-compliant agents:

  • Seven were failing to display their fees in the office
  • Four were failing to display their fees on their website
  • Five were failing to display fees either in their office or on their website.

In line with government guidance, all 15 have been served a notice which allows 28 days to appeal or risk a maximum fine of up to £5,000. To date following the notice of intention stage, we have served final notices to two agents, one at the maximum level and other at a reduced level.

To find out more about the laws visit the council’s website https://www.york.gov.uk/info/20097/private_landlords_and_tenants or ring the Housing Standards and Adaptation team on 01904 552300 or email housing.standards@york.gov.uk