Five property businesses have been expelled from The Property Ombudsman after failing to pay compensation awards made against them. The expulsions followed reviews by the scheme's independent Finance, Performance & Compliance Committee, which found that each firm had breached its membership obligations by not complying with Ombudsman decisions.
The Property Ombudsman, which provides impartial dispute resolution for property agents and consumers, confirmed that Devon Block Management Limited, Pro Investment Properties Ltd, RPS Estates, Samuel Francis & Co and We Sell Lets had all failed to honour awards made against them.
Devon Block Management Limited, based in Plymouth, was the subject of a complaint from a Residents Management Company director over the handling of a request to transfer funds into an interest-bearing account. The Ombudsman found that although the company had honoured the request, its communication fell short of the standards expected of scheme members, and made an award of £75 to reflect the shortcomings.
Pro Investment Properties Ltd, based in Redcar, was ordered to pay £7,400 following a complaint from a buyer relating to a property sourcing agreement. The complainant had paid a finder's fee of £7,200 in connection with a purchase that did not complete, and the Ombudsman identified concerns with the fairness and clarity of the firm's terms and conditions. The award comprised the finder's fee plus £200 for aggravation, distress and inconvenience.
RPS Estates, registered as Property Management Services Limited in Hounslow, faced a complaint from a landlord over unpaid rent, communication failures and poor complaint handling. The Ombudsman upheld the complaint and awarded £1,871.25 in compensation.
In Barry, South Wales, Samuel Francis & Co was the subject of a complaint from tenants concerning the handling of mould reports. The Ombudsman found that the agent had failed to take adequate action on an ongoing mould issue and had not managed the matter proactively, while also identifying shortcomings in communication. An award of £350 followed.
We Sell Lets, registered as J. Anderson Ventures Limited and based in Stirling, was the subject of a buyer complaint regarding a property sourcing service, covering marketing information, communication and the handling of expectations. The Ombudsman concluded the firm's service fell below the standards required by its Code of Practice and made an award of £150.
- Devon Block Management Limited (Plymouth): £75 award
- Pro Investment Properties Ltd (Redcar): £7,400 award
- RPS Estates (Hounslow): £1,871.25 award
- Samuel Francis & Co (Barry): £350 award
- We Sell Lets (Stirling): £150 award
Chief ombudsman Lesley Horton (pictured) said the scheme exists to give consumers a fair route to resolving disputes. "We exist to provide consumers with a fair and independent route to resolve disputes with property businesses. Our decisions are binding on our members."
She explained that expulsion is reserved for the most serious cases of non-compliance. "Expulsion is always a last resort and follows a robust compliance process. The overwhelming majority of registered businesses comply with our decisions and pay awards promptly. Where they fail to do so, we will take appropriate action to protect consumers and uphold standards within the sector."
Horton added that the cases underline the importance of accountability across the sector. "These cases demonstrate the importance of redress and accountability within the property sector. Consumers must be able to have confidence that when complaints are upheld, businesses will comply with decisions and provide the compensation directed by the Ombudsman."
The Property Ombudsman scheme, established in 1990, provides redress where consumers or property businesses fall short of required standards. It is not a regulator and cannot take legal action, but its decisions are binding on registered firms. Businesses that fail to comply can be expelled and may be referred to relevant enforcement authorities.
