Lettings study 'did not address deposit protection'

News Category: Industry News

This article was brought to you by Rentman the premium rent management software

Yesterday's launch of the review into Scottish residential lettings did not acknowledge some issues to do with deposit protection.

According to industry body the Association of Residential Letting Agents (Arla), it failed to focus on the requirement for Scottish deposits and client funds to be formally protected.

The Scottish government's review was announced by minister for housing and communities Alex Neil during the Scottish Association of Landlords major conference and exhibition in Edinburgh.

Operations manager at Arla Ian Potter said: "This research has highlighted a further area of weakness in protection of the consumer in Scotland.

"If a letting agent or private landlord gets into financial difficulty - or even goes out of business - the funds paid to them by clients could be in jeopardy."

He added that the current situation north of the border sees tenants and landlords operate with no guarantee that their deposits are safeguarded.

This is in comparison to England, where it is compulsory for such money be held by a government-regulated deposit protection scheme.

Find out more about letting agent software