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Welsh Letting Agents Given Just Days to Comply with New Law
This article is an external press release originally published on the Landlord News website, which has now been migrated to the Just Landlords blog.
Letting agents in Wales must be aware that from Monday (23rd November 2015), they must display the fees they charge.
Welsh Letting Agents Given Just Days to Comply with New Law
All agents are under a legal obligation to display their fees. It is believed that many will struggle to comply with the new law, as there has been no prior warning and they are subject to a tight deadline.
The obligation forms part of the Consumer Rights Act 2015, which required a ministerial or commencement order to become law in Wales.
The legal requirement for letting agents to display their fees only applies in England at present, after enforcement on 27th May this year.
The Welsh government made the announcement of the new law with under a week before implementation.
It should also be reiterated that on Monday, landlords and letting agents must register and become licensed as part of the Rent Smart Wales scheme.
Previous communications on the new scheme did not mention the compulsory advertisement of fees or the Consumer Rights Act.
The Managing Director of the Association of Residential Letting Agents (ARLA), David Cox, advises agents to display a list of all the fees they charge, including any additional fees, charges or penalties.
Fees should be displayed including VAT, and agents must advertise fees at each office and on their website.
ARLA has produced a fees template for its members.
The announcement can be found here: http://i.emlfiles1.com/cmpdoc/6/9/5/5/4/files/334662_consumer-rights-act-2015—duty-of-letting-agents-to-publish-fees—november-2015-2-002.pdf?dm_t=0,0,0,0,0
From Monday, landlords and agents have 12 months to register and become licensed under Rent Smart Wales.
Additionally, the Renting Homes (Wales) Act was passed this week. It introduces two new types of occupational contract, replacing the majority of existing tenancy agreement types. It also requires landlords to make repairs and hopes to offer extra protection for tenants. Landlords must provide their tenants with written statements of their rights.
