"Expulsion is a last resort, and that’s evident in the low numbers"
- Lesley Horton - The Property Ombudsman
Three estate agents and two letting agents have been removed from The Property Ombudsman (TPO) scheme after failing to comply with compensation awards issued to consumers.
Prime Property Agents, based on Clarendon Street in Nottingham, failed to return a £7,200 reservation fee after a property purchase fell through. The agent had not followed its own terms and conditions, did not offer a suitable alternative property, and failed to issue a refund. The ombudsman awarded the buyer £7,400 in total, including £200 for distress caused.
In Devon, Cowlings Estate Agents, located on The Quay in Bideford, was found to have misrepresented a buyer’s financial position. The agent described the buyer as a cash purchaser in the Memorandum of Sale, but the sellers later learned that finance was being arranged. When the renegotiated deal collapsed, the sellers withdrew. The ombudsman awarded £1,087 to cover the sellers' losses.
A similar breach occurred at Nexmove (registered as NXMVETGN Ltd), on Den Road in Teignmouth. The agency also failed to verify the source and availability of a buyer’s funds, despite stating that the buyer was proceeding with cash. The Property Ombudsman found the agent had taken no reasonable steps to clarify the buyer’s position and awarded £400 in compensation.
In Essex, letting agent The Jolly Landlord, based on Dunnings Lane in Bulphan, was found to have withheld both the deposit and the first month’s rent from a landlord after a tenant moved in. The agent’s failure to transfer funds contributed to the landlord terminating the management agreement and requesting the termination of the tenancy. The ombudsman noted that although the tenancy was still in place and the landlord had not tried to recover the money directly, the tenant had experienced unnecessary disruption. £350 was awarded for the stress and inconvenience.
Lilypad Estates London, operating from Honor Oak Park in Forest Hill, failed to pass on eight months’ worth of rent to a landlord and ceased communication. The ombudsman upheld all parts of the complaint and ordered the agent to pay a £200 award in addition to transferring the unpaid rent.
All five agents were referred to TPO’s Compliance Committee, which ruled to exclude them from the scheme. According to TPO, nine firms have been expelled so far in 2025.
“Expulsion is a last resort, and that’s evident in the low numbers,” said interim ombudsman Lesley Horton (pictured). “We always strive to be very clear and explain the evidence that has led to our decisions and any award we make, both to businesses and to consumers. This approach works well, with 99% of businesses complying with our decisions and paying awards when directed. We also highlight where agents can improve their service and proactively carry out audits to check that they are following best practice and regulations.”
