RICS calls for government to tackle property reform

The Carsberg Review of Residential Property should be the basis for major reform of the residential property sector, says RICS (Royal Institution of Chartered Surveyors). In particular RICS endorses the view that consumers should be central to any reform, with emphasis placed on providing better information and basic protections for any person buying, selling or letting property.

Sir Bryan's review highlights three key issues that should be the foundations for reform:

The property transaction process and the provision of information for consumers need revision - Home Information Packs (HIPs), introduced in England and Wales, have not improved the process as intended

Regulation and redress scheme/s need to be consistent with universal participation - the current regime of voluntary regulation and redress is insufficient.

Consumer interests need to be at the heart of all policy making

Citing research from Which?, the OFT and ComRes - all of which confirm that significant levels of dissatisfaction exist amongst buyers and sellers of residential property - Sir Bryan concludes that the current transaction process is unsatisfactory for those who use it. He also states that those who offer estate and letting agency services to the public, must be qualified and properly regulated.

Lack of knowledge of the systems and frustration with processes are driving dissatisfaction, says Sir Bryan, and both are areas RICS is keen to see addressed. Speaking at the launch of the independent report, Gillian Charlesworth RICS Director of External Affairs emphasised the value of taking steps now.

"Sir Bryan's review highlights a number of key areas where the current approach is clearly failing. The processes for regulation and redress do not go far enough to protect the consumer and we agree that participation in regulatory and redress schemes needs to be both consistent and universal. They should include all estate agents, letting agents, managing agents and landlords.

"The Industry itself is already coming together to tackle these issues, through the creation of the Industry Standards board, however there are limitations as to what this voluntary approach can achieve.

"It is important that we all take steps now to make the necessary improvements. We need action not words. Government needs to acknowledge this, deliver its support for Industry action and do more to protect the public."

RICS will now undertake an in-depth consultation with the aim of developing a formal response to Sir Bryan's recommendations.

"We remain committed to building a coalition that can deliver property policy reform," concluded Charlesworth.