Consumers, Estate Agents and Redress Bill [Lords]

With this it will be convenient to discuss new clause 2—Standards of competence— ‘(1) Section 22 of the Estate Agents Act 1979 (c. 38) (standards of competence) is amended as follows. (2) For subsections (1) and (2) substitute— ““(1) The Secretary of State will by regulations made by statutory instrument designate any body of persons as an approved body to which people engaged in estate agency work, including both the sale and lettings of residential property, must belong. (2) The approved bodies must make membership conditional on signing up to rules and codes of conduct, which will— (a) set minimum standards of training and qualifications required, and (b) ensure that firms have adequate professional indemnity insurance and, as appropriate, clients money protection insurance. (3) No order shall be made under subsection (1) unless a draft of it has been laid before, and approved by a resolution of, each House of Parliament. (4) Before making an order under subsection (1) the Secretary of State must consult— (a) organisations representing the interests of consumers, (b) other persons appearing to the Secretary of State to be representative of persons who have an interest in the matter.””’.