A new licensing scheme and code of practice are being introduced in order to boost standards within the lettings industry.

They are to be published by The Association of Residential Letting Agents (ARLA) with the aim of providing increased protection for tenants and homeowners who enlist the services of a letting agent.

The move will not only demand member agents hold a professional lettings qualification, but also require them to further that professional development thereafter. They will need to evidence professional indemnity insurance and protection procedures for any monies held on behalf of clients, as well as undergo an annual independent audit of their client accounts. The scheme has also been designed to protect client funds should the business fold.

It is hoped that ARLA's plans will act as a wake-up call for the increasing number of agents setting up shop despite little understanding of what's involved in lettings.

Speaking on the BBC's news website, Ruth Lilley (head of membership and professional development at ARLA) commented: "for too long the rental sector has been seen as the black sheep of the property market, with a lack of regulation and a requirement for redress to protect the consumer when the agent's failings are to the financial detriment of that consumer."

Stephen Chard and Neil Robinson (directors of Accent Property and pictured above) were also in favour: "whilst we at Accent Property strive to deliver industry best practice across the entire operation, the lettings arena is a changing place and standards elsewhere are not consistent.

"ARLA's new licensing scheme will, we hope, help to address this. It should also afford greater protection for anyone currently looking to rent a property or let out their investment at a time when professionalism is a box that needs to be ticked."