Tenants to get more protection from compulsory redress scheme
Millions of tenants and leaseholders will get better protection from unscrupulous landlords under plans announced by the Government on 15th April 2014
What are the new plans that have been announced?
- All letting and property management agents will be required to join an approved redress scheme later this year
- There are 3 approved redress schemes - The Property Ombudsman, Ombudsman Service Property & The Property Redress Scheme
- A new voluntary code of practice will set standards for the management of property in the private sector
- A new help to rent guide that will give tenants a better understanding of what to expect from their rental deal
- Introduction of a model tenancy agreement which landlords can use for longer tenancies, providing extra security for families
- Guidance for local councils on how to tackle rogue landlords and protect tenants from illegal eviction
- An ongoing review to consider what other improvements can be made to the conditions in the private rental sections and tackle bad landlords
What service does a redress service provide?
- All 3 schemes offer independent investigation of complaints about hidden fees and poor service
- Where complaints are upheld a tenant or leaseholder could receive compensation
What is the current situation regards membership of a redress scheme
- Membership of a redress scheme is currently voluntary
- Around 60% of letting agents are currently members of a redress scheme
- The balance ( approx. 3,000) will be encouraged to join a redress scheme ahead of the legal requirement
For more tenant information read this article - Renting a property - a guide to your rights and responsibilities
