Safeagent, the UK’s largest not-for-profit accreditation scheme for lettings and management agents, has announced a major overhaul of its Client Money Protection (CMP) scheme pricing.
The changes are designed to benefit smaller firms and new entrants, with many accredited agents set to save on costs or see no price increase compared to last year.
Previously, the CMP pricing structure comprised three bands based on the amount of client money held: up to £500,000; £500,000 to £1 million; and over £1 million.
Under the new structure, effective immediately, six bands have been introduced, offering more tailored pricing.
PAY LESS
Agents holding less than £50,000 in client funds will pay 20% less than last year, while those in the £50,000 to £100,000 range will see a 13.8% reduction.
Isobel Thomson (main picture), Chief Executive of Safeagent, says: “The market has evolved significantly since CMP became mandatory in 2019.
“We’ve worked closely with insurers to secure a pricing structure that better supports smaller firms and new agents entering the industry.”
“We’ve worked closely with insurers to secure a pricing structure that better supports smaller firms and new agents entering the industry.
“Previously, new agents with minimal client funds paid the same as those holding £500,000 in their accounts.”
But she adds: “That wasn’t fair. These new rates are more proportionate and balanced, reflecting the levels of client money held.”
Thomson emphasised Safeagent’s commitment to listening to its members and addressing their needs: “This change demonstrates our focus on supporting agents by reducing costs and enabling them to excel in their roles. It’s another example of how Safeagent is helping the industry adapt to changing times.”
