All letting agents in the London borough of Islington are being written to by the council and warned to be upfront about their fees.
Islington Council, which is Labour-run, is also calling on the Government to ban fees and give local authorities more powers of control over letting agents.
Two letting agents in the borough are said to be facing action for alleged breaches of consumer protection laws following complaints by landlords and tenants.
They are accused of not returning deposits and not passing on rent.
In a third case, housing committee chairman Cllr James Murray said there were concerns about a rental agreement which allowed the landlord to enter the property without the tenant’s consent, and included a break clause available to the landlord but not the tenant.
The council’s letter to letting agents will remind them of the recent ruling by the Advertising Standards Authority that they must be upfront about fees.
Cllr Murray said: “Too many private renters in Islington are being ripped off by letting agents with unfair fees, unreasonable tenancy agreements and unacceptable behaviour.
“As a council, we’re using the limited powers we have to make sure letting agents behave more fairly – and we’re taking legal action where necessary against those letting agents who won’t.
“But there’s nowhere near enough protection for people renting privately. Rogue letting agents are behaving like they’re in the Wild West.
“We believe the Government should give councils more powers to rein in letting agents and they should ban fees for tenants.”
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In the article; http://islingtonnow.co.uk/labour-councillor-claims-lib-dems-are-using-nazi-style-propaganda-tactics/ Cllr. Murray says…….
“Islington is in desperate need of family homes for social rent, particularly while low income families bear the brunt of government cuts.
“These social rented homes will first be offered to local families under our local lettings scheme for new council housing – giving people better homes and tackling overcrowding.”
In this article he is criticising Letting Agents without evidence being quoted and calling for a ban of all tenant fees. It really does make you wonder how these characters hold down their job. What a clown, if he gets his way there will be no houses for anyone other than those who can afford to buy.
Cheap shots for cheap votes from people with no idea. Those calling for government intervention and regulation beware, it’s people like Cllr. Murray who will then make decisions. Terrifying!
This is the same council who encourage tenants who want a council house not to pay rent, not comply with notices or court orders and wait for the bailiffs - putting pressure on the Courts and hurting landlords - some of who have actually been repossessed.
This is another hollow Labour soundbite with absolutely no substance nor understanding of how to address the issue/
What has fee disclosure to do with agents who do not return deposits or pass on rents?
Or have landlord bias agreements?
Its unrelated - agents who steal clients money are thieves and should be dealt with accordingly.
Landlords or agents with illegal agreements should have the same punishment.
Why would giving control to any local authority help improve the private rental sector? they can't even sort out their own council stock let alone try to impose rules on private rental companies.
What the private rental sector needs is a 1 rule for all Rental Charter - in this all rental companies have to comply or not trade - simple!!!!!
I am happy to be proposed to lead the way to common sense property rentals!!!!!!!
You cant refer individual cases to the OFT
All Councillor Murray needs to do is refer his third case to the OFT and let them do the work and meet the costs of dealing with an agreement that clearly breaches UCT.
Of course if he knew wuch about what he was criticising he'd know that - plus not to pinch Shelter tag lines