A renewed push within the UK Parliament to regulate estate agents has emerged following fresh calls in the House of Lords for urgent government action.
During a recent debate, several peers, including Lord Richard Best, a crossbench peer and longstanding advocate for housing reform, pressed the government to act on long-standing recommendations to license and regulate property agents, a move widely supported by industry and consumer groups.
But despite years of discussion and growing political consensus, the government has yet to commit to a firm timetable, leaving the UK one of the few developed countries without mandatory qualifications or licensing for property agents.
A patchwork system under scrutiny
Currently, there is no statutory licensing or qualification requirement for estate agents in England, Wales, or Northern Ireland. Agents must belong to an approved redress scheme, such as The Property Ombudsman or the Property Redress Scheme, and comply with existing consumer protection laws, including the Estate Agents Act 1979 and the Consumer Protection from Unfair Trading Regulations 2008. But there is no overarching regulatory or licensing regime in force.
Unlike a licensing system, a redress scheme doesn’t assess an agent’s qualifications or grant permission to operate. Instead, it provides a formal avenue for consumers to seek compensation or resolution when disputes arise. Licensing, by contrast, typically involves meeting professional standards, passing assessments, and maintaining compliance through ongoing oversight. For example, a redress scheme might award compensation for a mishandled deposit, but cannot bar an unqualified agent from operating.
Critics say this framework fails to protect consumers or uphold professional standards. Voluntary membership in professional bodies like Propertymark or RICS is common but not mandatory, and qualifications are not legally required to enter the profession.
Political support, but no timetable
The House of Lords revisited the issue during the recent Renters’ Rights Bill debate. Although the Bill focuses primarily on tenant protections, such as ending Section 21 evictions and banning rental bidding practices that inflate advertised rents, several Lords, including Lord Best, used the session to renew calls for implementing the recommendations of the 2019 Regulation of Property Agents (RoPA) report.
Reflecting growing consensus among stakeholders, Lord Best told the chamber that “those who would be regulated are as keen on regulation as those consumers who would be protected by it.” He warned that billions of pounds of client money and millions of renters’ lives are determined by agents’ behaviour, underscoring broad support for regulation among renters, landlords, and professional bodies alike.
Baroness Taylor of Stevenage, Parliamentary Under-Secretary at the Ministry of Housing, Communities and Local Government, noted the strong support for regulation during the debate and referred to a November 2024 ministerial statement in which the government reiterated its intention to revisit the RoPA recommendations. However, no specific legislative proposal or timeline has been announced yet.
What RoPA recommended
The RoPA working group, chaired by Lord Best, proposed sweeping reforms: mandatory licensing for all agencies and agents, Level 3 qualifications for frontline staff, Level 4 for directors, and oversight by a new independent regulator enforcing a uniform code of practice. It also recommended consolidation of redress schemes and the introduction of a single ombudsman.
Supporters argue these changes would bring the UK into line with international practice. Countries like Australia, Canada, the United States and many EU member states already require property agents to be licensed and undergo continuing professional development. In contrast, the UK lacks any statutory training or licensing obligations, which critics say erodes public trust in the sector.
Propertymark, a leading professional membership body for property agents in the UK, has consistently supported regulation as a means to professionalise the industry, improve consumer protection, and build trust among landlords and tenants. However, the organisation has also expressed disappointment at the lack of tangible progress from government.
Opponents of licensing argue that new rules could increase costs and bureaucracy, especially for small firms. Some warn that higher compliance costs might be passed on to tenants as rent increases. Others claim that better enforcement of existing legislation would be more effective than building a new regulatory regime from scratch.
There are also concerns about poor implementation. Without adequate resources, a new licensing scheme could be inconsistently enforced, punishing compliant agents while failing to catch bad actors. Some stakeholders suggest the focus should be on broader systemic issues in the housing market, such as supply constraints and affordability.
A step closer, but still out of reach
In March 2024, the House of Lords Industry and Regulators Committee urged then-Housing Secretary Michael Gove to establish a new regulator and implement a unified code of practice. Their letter underscored concern over the lack of progress on RoPA’s recommendations.
Although the Renters’ Rights Bill is expected to become law by summer 2025, it does not include provisions for the regulation or licensing of estate agents. The bill focuses instead on tenant protections, such as ending Section 21 evictions.
While political and industry support for agent regulation appears to be growing, the government has yet to introduce legislation or commit to a concrete timeline. For now, despite mounting pressure, reform remains under discussion.
