The Letting Agent Code of Practice (Scotland) Regulations 2016

Author: Alison Gourley
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From the 31 January 2018 anyone undertaking residential letting agency work in Scotland must ensure that their service delivery is compliant with The Letting Agent Code of Practice (Scotland) Regulations 2016. The Code sets out the standards of practice which letting agents must meet, and includes specific requirements around how clients’ money should be handled. It also makes it compulsory for businesses to have Client Money Protection and Professional Indemnity Insurance.

To whom does the Code apply?

The Housing (Scotland) Act 2014 defines “letting agency work” as work which is:

  • Undertaken on behalf of a private landlord who wants to let their property out to a tenant
  • Undertaken to manage a property (including collecting rent, inspecting the property and arranging for repairs and maintenance) which is either currently or is intended to be rented out to a tenant.

The new code applies to “every person who carries out letting agency work” which means it could affect organisations and businesses which may not generally be considered as letting agents.

Alongside the Code, letting agents will be required to join a mandatory register of letting agents by the 30 September 2018. All those applying to be on the register will need to meet standards as laid out in a “fit and proper person test” with key individuals in a letting agency being required to have met a minimum level of training.

Failure to comply and operating as a non-registered letting agency will be a criminal offence and the courts could impose a maximum fine of up to £50,000 and prison sentences of up to 6 months for those convicted.

If I can help with any issues please contact me Alison Gourley on 0141 552 3422 or by email ajg@mitchells-roberton.co.uk and I will be delighted to assist you.

About Alison Gourley

Alison graduated from Edinburgh University School of Law in 1991. She joined Mitchells Roberton in 1996 and became an Associate thereafter. Alison specialises in both commercial and residential conveyancing, advising individuals, large and small businesses, banks, charities and further education institutions on all property transactions. Having 20 years experience in property law Alison has developed excellent relationships with surveyors, independent financial advisers and banks so is ready to act swiftly and effectively to meet her clients’ needs in an ever changing property market. She enjoys getting to know her clients and is committed to giving them an efficient service and is always friendly and approachable. She is also involved with the marketing aspects of the firm. Alison is a residential conveyancing tutor in the paralegal course offered by Central Law Training through the University of Strathclyde. Alison is married to a photographer and has one child. In her free moments she likes to keep fit. She is a talented amateur artist and loves nature and the great outdoors. Email: ajg@mitchells-roberton.co.uk

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