Endsleigh says that more support is needed for letting agents to end confusion around fees.
The private rental sector will suffer all those involved in the industry don’t work together to end confusion around fee bans soon, according to Endsleigh, one of the country’s leading specialist insurance providers for letting agents, landlords and young professionals.
As letting agents gather in London for the 28 March ARLA Propertymark Conference, Endsleigh said letting agents, their partners and the Government must work together to bring clarity to the proposals, which were announced in last year’s Autumn Statement.
The fee ban is likely to have a significant impact on letting agents, landlords and tenants, and could lead to increased costs in other areas. Referencing and insurance are two areas likely to be impacted by the changes, Endsleigh said, but the exact scale of this is unclear while the Government decides how to implement the ban.
David Hadden, Head of Endsleigh Let, Endsleigh said: “The private rental sector is currently in limbo waiting for further details on the fee ban but the topic appears to have fallen off the agenda, causing confusion for both letting agents and tenants. As a partner to the sector, we’re keen for this discussion to move forward so that the lettings industry can properly assess and address the likely impacts of these changes.”
Hadden said that in the short term, one possible impact was that the quality of references could fall as agents source cheaper referencing alternatives to mitigate any future income losses.
He added: “Our lettings customers have told us how concerned they are about these changes and what it means for the private rental sector. Poor quality referencing could lead to higher eviction numbers and longer void periods. This, in turn, could affect connected insurances such as rent guarantee, with the likelihood of claims to be perceived as increasing, premiums would surely follow suit.”
Endsleigh will attend the ARLA Propertymark Conference to be held 28 March in the ExCel Centre, London.
Note to editors
Founded in 1965, insurance provider Endsleigh specialises in the student, professional and education markets.
Endsleigh was created to serve the student market and is still the trusted brand for student insurance, and the only insurance provider recommended by NUS.
Wholly owned by Zurich Insurance Group since 2007, today the company also offers a wide range of insurance products and solutions for both students, graduates and professionals, as well as being the preferred insurance supplier for a variety of trade unions and professional organisations.
Products include motor, home and travel insurance as well as business insurance through Endsleigh’s Business team and financial advice through the Endsleigh Financial Advice team. More information can be found here.
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Rachel Veevers – Endsleigh
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