Six agents excluded from The Property Ombudsman scheme in Q4 2022

All six agents were referred to the scheme’s independent Compliance Committee, which ruled that they should be excluded from The Property Ombudsman scheme.  

As part of TPO’s compliance process, notification of these expulsions has been shared with all relevant bodies, including both Local and National Trading Standards for further investigation, as well as all property portals. The memorandum of understanding between TPO and other redress schemes prevents agents from registering with another scheme until outstanding awards have been paid to consumers.

The excluded agents include:

• Reptons, a sales and lettings agent in Stratford. TPO found that Reptons did not abide by the terms of a guaranteed rent agreement, including an obligation to return the property in good condition and pay rent during any void period whilst repairs were undertaken. A lack of rental payments, damage to the property, no rental payments whilst repairs were undertaken were all financial losses to the landlord as a result of Reptons’ shortcomings. A total award of nearly £22,000 was made comprising of £14,300 in rent not paid, a contribution towards repairs, rent payments whilst works were undertaken and an award to reflect the aggravation caused. TPO believes that this agent is still trading. Phone calls are being answered and properties remain active on its website.
• Cook Estates, a sales and lettings agent in London, SE20. An award was made for failing to transfer rent to the landlord and this remains unpaid. As a matter of best practice, Cook Estates should have transferred rent to the landlord promptly upon receipt. TPO directed Cook Estates to transfer the rental sum of £1,928 plus £500 in compensation. It appears that this agent is no longer trading. Post is being returned to sender, emails are undeliverable and there is no online activity.
• Assured Estate Agents, a sales and lettings agent in Blackburn. This agent has failed to pay two compensatory awards totalling nearly £6,000. TPO found that in both cases Assured Estate Agents had not paid over money owed. The first was to a tenant who had paid 11 months rent upfront but vacated a month early due to the landlord selling. The second complaint came from a landlord who had not received nine months’ rent, despite the tenant providing evidence that payments had been made. TPO has been advised by the agent that they are no longer Assured Estate Agents Ltd and are now AE1 Lettings Limited.
• Vanquish Letting Services Limited, a lettings agent in Derbyshire. Following the termination of the management contract, the agent did not provide any written confirmation to outline liabilities for fees and charges to the complainant (the landlord). TPO was satisfied the contract had ended when the tenant subsequently paid rent, meaning the agent was not contractually entitled to deduct their fee when transferring over to the complainant. An award of £100 was made. TPO is unsure if Vanquish Letting Services is still trading, but it appears unlikely with no live properties on online property portals and an undeliverable email address.
• Goldfield Properties Limited, a block management in Middlesex. The agent provided no evidence and failed to abide by their obligation to co-operate with TPO’s investigation. TPO therefore supported the complaint from a leaseholder and made an award of £250 for aggravation caused by the agent’s poor communication. TPO is unsure if Goldfield Properties is still trading. It’s listed as active on Companies House and a proposal to strike off was suspended in July 2022 due to an objection.
• Ideal Locations Essex Limited (trading as Ideal Location Essex), a sales and lettings agent in Illford. The agent provided no evidence and failed to abide by their obligation to co-operate with TPO’s investigation. TPO therefore supported the landlord’s compliant that the agent failed to undertake inspections and made an award of £150. This agent is no longer trading.

Despite an ever-increasing demand for its service (over 45,000 enquiries in 2021), TPO has maintained 99% compliance with Ombudsman awards demonstrating TPO’s effectiveness in ensuring consumers continue to receive appropriate redress. 2,224 financial awards were made to consumers in 2021, 2,193 were paid. Only 17 awards remained unpaid throughout the year with 14 agents excluded, compared to 19 exclusions in 2020. The Compliance Committee has taken action against all agents that did not comply with the Ombudsman’s decision.

 

For press information, please contact:

The Inhouse Way
Tel: 01276 804411
Holly Addinall: 07979 537 334
Helen Evison: 07920 516 577

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NOTES TO THE EDITOR

What is The Property Ombudsman?

 The Property Ombudsman (TPO) scheme offers an independent and impartial dispute resolution service to consumers who have been unable to resolve their disputes with a registered property business. The scheme was established in 1990. The Ombudsman can provide redress to place the consumer back in the position they were before the complaint arose, achieving a full and final settlement of the dispute and all claims made by either party. Where appropriate, the Ombudsman can make compensatory awards in individual cases up to a maximum of £25,000 for actual and quantifiable loss and/or for aggravation, distress and/or inconvenience caused by the actions of a registered agent. Average awards are around £600 where a complaint is supported.

At 31 December 2021, registered members of TPO comprised 14,780 sales members, 12,893 lettings members, 1,520 Residential Leasehold Management members, and 9,826 members from Other Jurisdictions (such as surveyors and property buying companies). 

 

Independence

Whilst TPO charges registered agents an annual subscription and, where appropriate, case fees, the Ombudsman is accountable to the TPO Board which is chaired by a member of the House of Lords and with the majority of its members being independent from the industry.

The Ombudsman is not a regulator and does not have the authority to take regulatory or legal action against a property business. This is the role of Trading Standards. However, registered businesses can be referred to the TPO Compliance Committee, which has the power to expel members from the scheme and/or report them to the appropriate regulatory and enforcement authorities.

 

Further information

The Ombudsman's Terms of Reference, Codes of Practice, Agent Guidance, Consumer Guides and other documents about the operation of the scheme are available on our website (www.tpos.co.uk) together with previous annual reports, case summaries, further explanation of governance arrangements and a full list of registered agents.

For more information about TPO, please visit our website at www.tpos.co.uk