RUGG REPORT RECOMMENDS INDEPENDENT REGULATION OF LETTINGS AND MANAGEMENT AGENTS:
NALS PROVIDES THE ANSWER


October, 2008


Caroline Pickering, Chair of the National Approved Letting Scheme (NALS) welcomes the hugely influential and much anticipated Rugg Report* which not only calls for independent regulation of lettings and management agents. As the only independent organization engaged in the accreditation of lettings and management agencies, NALS would be an obvious candidate to carry out this role.

Pickering explains: “Julie Rugg’s review of the sector is both insightful and thorough. We very much support and applaud her stance and recommendation for independent regulation of agents. We fully agree that it is of absolute necessity that the regulatory body is not bound or led by the industry, but will be consumer facing and provide landlords and tenants with clearly defined standards of customer service, as well as independent redress. That is precisely the purpose for which NALS was established in 1999.”

“Reading the report, it is clear that the Government had great foresight when it funded and supported NALS to create precisely such a scheme, which fulfills the recommendations laid out in the Rugg report.”

Approved and funded by Government, NALS was set up by RICS, NAEA and ARLA together with the Empty Homes Agency as an entry level standard for all lettings and management agents operating in the private rented sector.

“We offer peace of mind to landlords and tenants who know that a firm bearing the NALS kite-mark is committed to delivering good and well defined standards of customer service. We have in place achievable yet rigorous standards which are under continual review to ensure they best meet the changing demands on the industry.”

“The Government’s Housing Green Paper in 2000* on the PRS (Private Rented Sector) in the 21st century said: “Small landlords often need help with the letting of their property but do not know how to get hold of a good agent that guarantees professional standards of operation or where to go if they get their fingers burnt when they employ an unsound one. We have therefore supported the development by the relevant trade bodies of NALS which aims to establish a single “kite-mark” for professional reliable agents, recognised by industry and public alike”.**

“A clear focus of the Rugg Report is the protection of landlords and tenants. With this very much at the heart of our agenda, NALS requires all of its firms to belong to The Ombudsman for Estate Agents Scheme which adjudicates on complaints against NALS firms. All NALS firms are required to belong to a Client Money Protection Scheme ensuring that all client monies are protected. And, our commitment to consumers and agents does not stop there; we also require NALS firms to take part in a customer service audit which is carried out by Nottingham Trent University to check that service levels are being met.”

“NALS works closely with Local Authorities on strategies to encourage accreditation and best practice - this is also emphasized within the Rugg Report as a key direction. We work in partnership with Local Authorities to provide access to reliable rented housing through our accredited firms – a good example of this is our relationship with Haringey Council for their Approved Letting Scheme (ALS). The Local Authorities Coordinators of Regulatory Services (LACORS) called for regulation of agents in its submission to the Rugg Review in order to drive Local Authority best practice forward.”

“The increasing importance of the Private Rented Sector (PRS) as the economic downturn tightens highlights a clear need for a fast and effective regulatory solution and answer is already within reach. NALS Government backed kitemark covers a strong membership of 1300 firms, recognized by the industry and working with Local Authorities. NALS has just announced a partnership with the Guild of Letting and Management to offer BTEC qualifications to NALS firms.”

NALS holds the key to the sector’s future as far as lettings and management agents are concerned.

* The Private Rented Sector: its Contribution and Potential
**Reference: Quality and Choice A Decent Home for All - The Housing Green Paper 2000

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About NALS

NALS is backed by the Government and leading professional bodies and is the most reliable benchmark for landlords and tenants to compare the standards of service they receive from residential lettings agents. All members of the scheme offer client money protection cover, maintain professional indemnity insurance and operate professional customer complaints procedures. For more information visit www.nalscheme.co.uk

The National Approved Letting Scheme board comprises:

Caroline Pickering (Chair), representatives from RICS, ARLA and NAEA who are Directors of the Scheme, alongside representatives from DCLG, the BPF and the Housing Corporation.

For further press information please contact:
Isobel Thomson, Operations Director, NALS, on 01242 581712
Contact Kate Groves at Splash Communications
T: 01225 348006 E: kgroves@splashcommunications.com