Communities secretary Sajid Javid is considering setting up an “entirely independent regulator” to oversee property management.
In a speech today at the Association of Residential Property Managers conference, Javid announced proposals to crack down on “overpriced” service charges and “unfair” costs paid by renters and leaseholders in England.
Kicking off a consultation that closes on 29 November, Javid said the department was now seeking views on whether “a new regulatory model is needed for agents in the leasehold sector”.
He criticised “rogue” agents and the “horror stories” that he said emanated from the leasehold sector. He said: “If people decide they’re being overcharged or underserved, it can be almost impossible for them to do anything about it.
“And that’s because the system is stacked against them and in favour of rogue agents.”
Currently, members of ARMA can sign up voluntarily to a property manager code of conduct. However, the government looks increasingly intent on enforcing mandatory regulation of the sector.
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