Ian Potter (pictured) operations manager for ARLA, said that, with Halifax research suggesting Britain will become a nation of renters within the next generation, it is critical that the government takes the sector more seriously in order to protect tenants.

He said the first step it must take was to ensure local authorities enforce existing requirements to make landlords provide safe homes.

Potter said: “Many agents offer no consumer protection by means of Client Money Protection or fail to offer consumer redress through an Ombudsman Scheme. Both elements, when combined with a professional training and qualification programme, will allow tenants to enter this market with confidence.

“The threat posed by unlicensed agents grows more pressing as the market expands, placing both landlords and tenants at increased risk of financial loss. Until that time as the government steps in to regulate, our advice to anyone looking to rent a property would be to use an ARLA-licensed lettings agent to ensure they’re protected against unethical agents.”

He added: “It was only last week that an agent in the East Midlands was reported to have disappeared with client funds. This type of behaviour cannot and must not be tolerated.”

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