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Report by the working group, chaired by Baroness Hayter and Lord Palmer of Childs Hill, to decide on whether it would be appropriate to recommend mandating that Client Money Protection (CMP) be taken out by letting agents.
The recommendation of the working group is to move forward with the mandating of CMP for agents in England that handle client money.
Client Money Protection (CMP) schemes protect the money of landlords and tenants in the event of a letting or property agent going into administration and against theft or misappropriation by the agent whilst it is in their custody or control.
These monies are frequently tenants’ deposits and landlords’ rental payments but can also include monies held for repairs and maintenance to the property.
The government have established a working group with colleagues from the House of Lords to look at how CMP is currently operating and whether to go further by making use of the powers taken through the Housing and Planning Act 2016 to make it mandatory.
This letter invites you to submit your views and evidence on whether and how this should be done.