Fines for London letting agents rise as councils ‘clamp down’

Fines for London letting agents totalled more than £8m in the last year – an increase of £1.5m, data from geospatial technology firm Kamma has revealed.

A post-pandemic return to enforcement action is one explanation for the increase, with one in five fines occurring in the last 12 months. But a greater number of licensing schemes is also a driver, with 13 new schemes launching in the Greater London area, and 30 in the UK, in the last year.

Councils are also targeting other areas and other avenues of enforcement, with Rent Repayment Orders (RRO) and MEES regulations both seeing increased reporting in recent months.

Councils are also targeting other areas and other avenues of enforcement.”

As well as increased enforcement, agents are also being fined larger amounts. Last August the average fine for letting agents was £4,380, now a year later Kamma has reported an increase of 7%, taking the average agent fine to £4,690. Landlords are fined more frequently but smaller amounts, with an average of £4,304.

BREAKDOWN

Kamma tracks the Mayor of London’s Rogue London and Agent Checker. Camden Council tops the enforcement league table as the most active in terms of number of fines, followed closely by Newham and Southwark. Hammersmith and Fulham has the highest average fines of £19,800 per offence, followed by Hillingdon with an average of £13,500, and Hackney with £11,250.

Orla Shields, Kamma’s chief executive, said, “Local councils are sending a strong message to landlords and agents across the country with fines increasing by £2m in the last 12 months.

“Agents need to see this as an opportunity to take control of their compliance and take action to protect their clients, and themselves against further enforcement efforts and fines.”