The Property Ombudsman has expelled six property companies from its scheme after they failed to pay compensation awards to consumers, following a review by the organisation’s independent Compliance Committee.
The expelled firms – Brimar Lettings & Management Ltd, Edward Clark Estates, Hunter Ashley Sales & Lettings, Eight Asset Management (EightAM), Skampi and Inspired Sales & Lettings – were all found to have breached their membership obligations by not paying compensation awarded to landlords, tenants and leaseholders.
Lesley Horton, Chief Ombudsman, stated: “We exist to provide a fair and independent route to resolve disputes with property businesses. Our decisions are binding on our members. Expulsion is always a last resort and follows a robust compliance process. The overwhelming majority of our members comply with our decisions and pay awards promptly.”
Details of expelled companies
Brimar Lettings & Management Ltd, based in Preston, Lancashire, was ordered to pay £1,300 to a landlord after the Ombudsman found that £950 in rent paid by a tenant had not been transferred. An additional £350 was awarded for poor communication.
Edward Clark Estates in Grays, Essex, failed to pay £150 awarded to a tenant after the agent did not respond to a formal complaint.
Hunter Ashley Sales & Lettings in Slough faced the largest award of £12,635 after a landlord reported that more than £12,000 in collected rent had not been transferred. The agent did not respond to the complaint or engage with the Ombudsman’s investigation.
Inspired Sales & Lettings in Rushden, Northamptonshire, was ordered to pay £834 to a landlord after arranging a new tenancy agreement without consent and charging unauthorised fees. The Ombudsman found clear breaches of the Code of Practice for Residential Letting Agents.
Skampi, based in Ilford, Essex, stopped forwarding rental payments to a landlord, leaving them without income for several months. The agent was ordered to pay £5,132.92 but only paid £1,882.92, leaving £3,250 outstanding.
Eight Asset Management in Harlow, Essex, was awarded £250 to a leaseholder after the Ombudsman identified repeated communication shortcomings related to information requests, maintenance authorisation, parking matters and complaints handling.
Market implications
The expulsions highlight ongoing compliance challenges within the lettings and property management sector. While the property industry continues to face operational pressures, these cases underscore the importance of regulatory oversight in protecting consumer interests.
The Property Ombudsman’s action comes at a time when the UK property market faces broader challenges, with compliance and professional standards remaining critical concerns for landlords and tenants selecting agents.
Horton added: “Where businesses fail to comply with our decisions, we will take appropriate action to protect consumers and uphold standards within the sector.”
The six companies are now removed from The Property Ombudsman scheme and can no longer advertise membership, which is required by law for all letting and property management agents in England.
