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PART 3 U.K.Miscellaneous and General

CHAPTER 3E+WDuty of letting agents to publicise fees etc

Modifications etc. (not altering text)

83Duty of letting agents to publicise fees etcE+W

(1)A letting agent must, in accordance with this section, publicise details of the agent's relevant fees.

(2)The agent must display a list of the fees—

(a)at each of the agent's premises at which the agent deals face-to-face with persons using or proposing to use services to which the fees relate, and

(b)at a place in each of those premises at which the list is likely to be seen by such persons.

(3)The agent must publish a list of the fees on the agent's website (if it has a website).

[F1(3A)Subsection (3C) applies to an agent who—

(a)is carrying on letting agency work in relation to a dwelling-house in England, and

(b)advertises the dwelling-house on a third party website as a dwelling-house which a landlord is seeking to let on a tenancy.

(3B)Subsection (3C) also applies to an agent who, on a third party website, advertises letting agency work carried on by the agent in relation to dwelling houses in England.

(3C)The agent must ensure that—

(a)a list of the agent's relevant fees is published on the third party website, or

(b)there is a link on that website to a part of the agent's website where a list of those fees is published.]

(4)A list of fees displayed or published in accordance with subsection (2) [F2, (3) or (3C)] must include—

(a)a description of each fee that is sufficient to enable a person who is liable to pay it to understand the service or cost that is covered by the fee or the purpose for which it is imposed (as the case may be),

(b)in the case of a fee which tenants [F3or contract-holders] are liable to pay, an indication of whether the fee relates to each dwelling-house or each tenant [F4or contract-holder] under a tenancy [F5or occupation contract] of the dwelling-house, and

(c)the amount of each fee inclusive of any applicable tax or, where the amount of a fee cannot reasonably be determined in advance, a description of how that fee is calculated.

(5)Subsections (6) and (7) apply to a letting agent engaging in letting agency or property management work in relation to dwelling-houses in England.

(6)If the agent [F6is required to be a member of a client money protection scheme for the purposes of] that work, the duty imposed on the agent by subsection (2) [F7, (3) or (3C)] includes a duty to display or publish, with the list of fees, a statement [F8that—

(a)indicates that the agent is a member of a client money protection scheme, and

(b)gives the name of the scheme.]

(7)If the agent is required to be a member of a redress scheme for dealing with complaints in connection with that work, the duty imposed on the agent by subsection (2) [F9, (3) or (3C)] includes a duty to display or publish, with the list of fees, a statement—

(a)that indicates that the agent is a member of a redress scheme, and

(b)that gives the name of the scheme.

(8)The appropriate national authority may by regulations specify—

(a)other ways in which a letting agent must publicise details of the relevant fees charged by the agent or (where applicable) a statement within subsection (6) or (7);

(b)the details that must be given of fees publicised in that way.

(9)In this section—

Textual Amendments

F1S. 83(3A)-(3C) inserted (1.6.2019) by Tenant Fees Act 2019 (c. 4), ss. 18(2), 34(1); S.I. 2019/857, reg. 3(q)

F2Words in s. 83(4) substituted (1.6.2019) by Tenant Fees Act 2019 (c. 4), ss. 18(3), 34(1); S.I. 2019/857, reg. 3(q)

F6Words in s. 83(6) substituted (1.6.2019) by Tenant Fees Act 2019 (c. 4), ss. 19(a), 34(1); S.I. 2019/857, reg. 3(r)

F7Words in s. 83(6) substituted (1.6.2019) by Tenant Fees Act 2019 (c. 4), ss. 18(4), 34(1); S.I. 2019/857, reg. 3(q)

F8Words in s. 83(6) substituted (1.6.2019) by Tenant Fees Act 2019 (c. 4), ss. 19(b), 34(1); S.I. 2019/857, reg. 3(r)

F9Words in s. 83(7) substituted (1.6.2019) by Tenant Fees Act 2019 (c. 4), ss. 18(5), 34(1); S.I. 2019/857, reg. 3(q)

F10Words in s. 83(9) inserted (1.6.2019) by Tenant Fees Act 2019 (c. 4), ss. 18(6), 34(1); S.I. 2019/857, reg. 3(q)

Commencement Information

I1S. 83 in force for specified purposes at Royal Assent, see s. 100(2)(b)(5)

I2S. 83 in force at 27.5.2015 for E. in so far as not already in force by S.I. 2015/965, art. 2(a)

I3S. 83 in force at 23.11.2015 for W. in so far as not already in force by S.I. 2015/1904, art. 2

84Letting agents to which the duty appliesE+W

(1)In this Chapter “letting agent” means a person who engages in letting agency work (whether or not that person engages in other work).

(2)A person is not a letting agent for the purposes of this Chapter if the person engages in letting agency work in the course of that person's employment under a contract of employment.

(3)A person is not a letting agent for the purposes of this Chapter if—

(a)the person is of a description specified in regulations made by the appropriate national authority;

(b)the person engages in work of a description specified in regulations made by the appropriate national authority.

Commencement Information

I4S. 84 in force for specified purposes at Royal Assent, see s. 100(2)(b)(5)

I5S. 84 in force at 27.5.2015 for E. in so far as not already in force by S.I. 2015/965, art. 2(a)

I6S. 84 in force at 23.11.2015 for W. in so far as not already in force by S.I. 2015/1904, art. 2

85Fees to which the duty appliesE+W

(1)In this Chapter “relevant fees”, in relation to a letting agent, means the fees, charges or penalties (however expressed) payable to the agent by a landlord or tenant—

(a)in respect of letting agency work carried on by the agent,

(b)in respect of property management work carried on by the agent, or

(c)otherwise in connection with—

(i)an assured tenancy of a dwelling-house, or

(ii)a dwelling-house that is, has been or is proposed to be let under an assured tenancy.

(2)Subsection (1) does not apply to—

(a)the rent payable to a landlord under a tenancy,

(b)any fees, charges or penalties which the letting agent receives from a landlord under a tenancy on behalf of another person,

(c)a tenancy deposit within the meaning of section 212(8) of the Housing Act 2004, or

(d)any fees, charges or penalties of a description specified in regulations made by the appropriate national authority.

Commencement Information

I7S. 85 in force for specified purposes at Royal Assent, see s. 100(2)(b)(5)

I8S. 85 in force at 27.5.2015 for E. in so far as not already in force by S.I. 2015/965, art. 2(a)

I9S. 85 in force at 23.11.2015 for W. in so far as not already in force by S.I. 2015/1904, art. 2

86Letting agency work and property management workE+W

(1)In this Chapter “letting agency work” means things done by a person in the course of a business in response to instructions received from—

(a)a person (“a prospective landlord”) seeking to find another person wishing to rent a dwelling-house under an assured tenancy [F11or an occupation contract] and, having found such a person, to grant such a tenancy [F12or occupation contract], or

(b)a person (“a prospective tenant”) seeking to find a dwelling-house to rent under an assured tenancy [F13or an occupation contract] and, having found such a dwelling-house, to obtain such a tenancy [F14or occupation contract] of it.

(2)But “letting agency work” does not include any of the following things when done by a person who does nothing else within subsection (1)—

(a)publishing advertisements or disseminating information;

(b)providing a means by which a prospective landlord or a prospective tenant can, in response to an advertisement or dissemination of information, make direct contact with a prospective tenant or a prospective landlord;

(c)providing a means by which a prospective landlord and a prospective tenant can communicate directly with each other.

(3)“Letting agency work” also does not include things done by a local authority.

(4)In this Chapter “property management work”, in relation to a letting agent, means things done by the agent in the course of a business in response to instructions received from another person where—

(a)that person wishes the agent to arrange services, repairs, maintenance, improvements or insurance in respect of, or to deal with any other aspect of the management of, premises on the person's behalf, and

(b)the premises consist of a dwelling-house let under an assured tenancy [F15or an occupation contract].

Textual Amendments

Commencement Information

I10S. 86 in force at 27.5.2015 for E. in so far as not already in force by S.I. 2015/965, art. 2(a)

I11S. 86 in force at 23.11.2015 for W. in so far as not already in force by S.I. 2015/1904, art. 2

87Enforcement of the dutyE+W

(1)It is the duty of every local weights and measures authority in England and Wales to enforce the provisions of this Chapter in its area.

[F16(1A)The duty in subsection (1) is subject to section 26 (enforcement by the lead enforcement authority) of the Tenant Fees Act 2019.]

(2)If a letting agent breaches the duty in section 83(3) (duty to publish list of fees etc on agent's website), that breach is taken to have occurred in each area of a local weights and measures authority in England and Wales in which a dwelling-house to which the fees relate is located.

[F17(2A)If a letting agent breaches the duty in section 83(3C) (duty to publish list of fees etc on third party website), that breach is taken to have occurred in each area of a local weights and measures authority in England in which a dwelling-house to which the fees relate is located.]

(3)Where a local weights and measures authority in England and Wales is satisfied on the balance of probabilities that a letting agent has breached a duty imposed by or under section 83, the authority may impose a financial penalty on the agent in respect of that breach.

(4)A local weights and measures authority in England and Wales may impose a penalty under this section in respect of a breach which occurs in England and Wales but outside that authority's area (as well as in respect of a breach which occurs within that area).

(5)But a local weights and measures authority in England and Wales may impose a penalty in respect of a breach which occurs outside its area and in the area of a local weights and measures authority in Wales only if it has obtained the consent of that authority.

(6)Only one penalty under this section may be imposed on the same letting agent in respect of the same breach [F18, subject to subsection (6A)].

[F19(6A)More than one penalty may be imposed on the same letting agent by a local weights and measures authority in England in respect of a breach which occurs in England where—

(a)the breach continues after the end of 28 days beginning with the day after that on which the final notice in respect of the previous penalty for the breach was served, unless the letting agent appeals against that notice within that period, or

(b)if the letting agent appeals against that notice within that period, the breach continues after the end of 28 days beginning with the day after that on which the appeal is finally determined, withdrawn or abandoned.

(6B)Subsection (6A) does not enable a penalty to be imposed after the final notice in respect of the previous penalty has been withdrawn or quashed on appeal.

(6C)In subsections (6A) and (6B) “final notice” has the meaning given by paragraph 3(2) of Schedule 9.]

(7)The amount of a financial penalty imposed under this section—

(a)may be such as the authority imposing it determines, but

(b)must not exceed £5,000.

(8)Schedule 9 (procedure for and appeals against financial penalties) has effect.

(9)A local weights and measures authority in England must have regard to any guidance issued by the Secretary of State [F20or the lead enforcement authority (if not the Secretary of State)] about—

(a)compliance by letting agents with duties imposed by or under section 83;

(b)the exercise of its functions under this section or Schedule 9.

(10)A local weights and measures authority in Wales must have regard to any guidance issued by the Welsh Ministers about—

(a)compliance by letting agents with duties imposed by or under section 83;

(b)the exercise of its functions under this section or Schedule 9.

(11)The Secretary of State may by regulations made by statutory instrument—

(a)amend any of the provisions of this section or Schedule 9 in their application in relation to local weights and measures authorities in England;

(b)make consequential amendments to Schedule 5 in its application in relation to such authorities.

(12)The Welsh Ministers may by regulations made by statutory instrument—

(a)amend any of the provisions of this section or Schedule 9 in their application in relation to local weights and measures authorities in Wales;

(b)make consequential amendments to Schedule 5 in its application in relation to such authorities.

[F21(13)For provisions about enforcement of this Chapter by the lead enforcement authority, see sections 24 to 26 of the Tenant Fees Act 2019.

(14)In this section “lead enforcement authority” has the meaning given by section 24(1) of the Tenant Fees Act 2019.]

Textual Amendments

F20Words in s. 87(9) inserted (15.4.2019) by Tenant Fees Act 2019 (c. 4), ss. 29(1)(b), 34(1); S.I. 2019/857, reg. 2(d)

F21S. 87(13)(14) inserted (15.4.2019) by Tenant Fees Act 2019 (c. 4), ss. 29(1)(c), 34(1); S.I. 2019/857, reg. 2(d)

Commencement Information

I12S. 87 in force for specified purposes at Royal Assent, see s. 100(2)(b)(5)

I13S. 87 in force at 27.5.2015 for E. in so far as not already in force by S.I. 2015/965, art. 2(a)

I14S. 87 in force at 23.11.2015 for W. in so far as not already in force by S.I. 2015/1904, art. 2

88Supplementary provisionsE+W

(1)In this Chapter—

(2)In this Chapter “local authority” means—

(a)a county council,

(b)a county borough council,

(c)a district council,

(d)a London borough council,

(e)the Common Council of the City of London in its capacity as local authority, or

(f)the Council of the Isles of Scilly.

(3)References in this Chapter to a tenancy [F25or occupation contract] include a proposed tenancy [F25or occupation contract] and a tenancy [F25or occupation contract] that has come to an end.

(4)References in this Chapter to anything which is payable, or which a person is liable to pay, to a letting agent include anything that the letting agent claims a person is liable to pay, regardless of whether the person is in fact liable to pay it.

(5)Regulations under this Chapter are to be made by statutory instrument.

(6)A statutory instrument containing (whether alone or with other provision) regulations made by the Secretary of State under section 87(11) is not to be made unless a draft of the instrument has been laid before, and approved by a resolution of, each House of Parliament.

(7)A statutory instrument containing (whether alone or with other provision) regulations made by the Welsh Ministers under section 87(12) is not to be made unless a draft of the instrument has been laid before, and approved by a resolution of, the National Assembly for Wales.

(8)A statutory instrument containing regulations made by the Secretary of State under this Chapter other than one to which subsection (6) applies is subject to annulment in pursuance of a resolution of either House of Parliament.

(9)A statutory instrument containing regulations made by the Welsh Ministers under this Chapter other than one to which subsection (7) applies is subject to annulment in pursuance of a resolution of the National Assembly for Wales.

(10)Regulations under this Chapter—

(a)may make different provision for different purposes;

(b)may make provision generally or in relation to specific cases.

(11)Regulations under this Chapter may include incidental, supplementary, consequential, transitional, transitory or saving provision.

Textual Amendments

Commencement Information

I15 S. 88(5)-(11) in force at Royal Assent, see s. 100(2)(c)(5)

I16S. 88(1)-(4) in force at 27.5.2015 for E. in so far as not already in force by S.I. 2015/965, art. 2(a)

I17S. 88(1)-(4) in force at 23.11.2015 for W. in so far as not already in force by S.I. 2015/1904, art. 2