Estate agents across the UK are feeling exposed and under-informed following the withdrawal of the National Trading Standards Estate Agency Team (NTSELAT) guidance on Material Information, according to a new survey conducted by PropTech provider Reapit.
More than 96% of the 300+ property professionals surveyed said they felt unsupported as they try to navigate regulatory changes introduced by the new Digital Markets, Competition and Consumers (DMCC) Act 2024, which came into force on 6 April.
The biggest shake-up to consumer protection in years, the DMCC Act legally enshrines concepts such as ‘invitation to purchase’ and outlaws ‘drip pricing’ – where hidden costs are added after the initial price is shown.
It significantly raises the compliance bar for property listings, making omissions or inaccuracies in pricing or property detail potentially subject to enforcement as unfair commercial practices.
AGENTS UNCERTAIN
Despite this, no replacement guidance has yet been issued by the Competition and Markets Authority (CMA), leaving many agents unsure whether they should continue using the old NTSELAT framework or adopt new internal policies.
Reapit’s survey found that 46% of agents were still using the previous guidance, 40% were uncertain what to do next, and 14% had abandoned it altogether.
The findings were released following Reapit’s recent webinar, Beyond the Basics: What the DMCC Act Really Means for Agents, which attracted over 400 registrants.
EXPERT INSIGHT
Hosted by Reapit’s Commercial Director Dr Neil Cobbold, the event featured expert insight from David Smith, partner at law firm Spector Constant & Williams, and Greg Tsuman, MD of Lettings at Martyn Gerrard and PPARLA board member.
Smith told attendees he expected CMA enforcement to be “evolutionary, not revolutionary,” with agents unlikely to be early targets unless there was clear evidence of misleading practice.
“This is about cleaning up omissions and strengthening protections. You are expected to disclose what is reasonably within your knowledge. It’s not a wholesale rewrite of the rules,” he said.
Tsuman urged agents to stick to ethical fundamentals: “Ask reasonable questions of sellers and landlords and treat others as you’d want to be treated yourself.”
Cobbold added that Reapit’s systems already enable agents to disclose the necessary information, but warned that the DMCC Act applies beyond property listings.
“Agents must ensure they’re also upfront about their own fees and services when marketing to landlords and vendors,” he said. “The CMA has made clear that cracking down on drip pricing will be a top priority over the next 12 months.”
