Knowledge base

What are the May 2025 UK letting-agent sanctions rules?

From May 2025, every UK letting agent must screen tenant + landlord on every let against UK sanctions, with a 7-year audit trail under MLR-2017. Enforced by HMRC.

What is LSAG-2025 and how does it differ from LSAG-2018?

LSAG-2025 is the 2025 update to the Letting Sector AML Guidance. Adds PEP + adverse-media screening, beneficial-ownership for corporate landlords, list-version timestamps in the audit trail.

What are the MLR-2017 obligations for UK accountants in 2026?

UK accountants must run Customer Due Diligence at engagement, Enhanced Due Diligence on high-risk clients, and ongoing monitoring throughout. Supervised by ICAEW / ACCA / AAT.

What is the FCA Warning List and why does it matter?

The FCA Warning List names unauthorised firms + clone firms targeting UK consumers. Updated daily; checking it before any financial transaction is a regulator expectation.

The Renters' Rights Act 2025: how does it change AML compliance for letting agents?

RRA-2025 abolishes Section 21, makes periodic tenancies default, extends the Decent Homes Standard to PRS, limits rent-in-advance to 1 month. MLR-2017 duties unchanged but trigger points shift.

Can I be the MLRO for my own letting agency? What if I am a sole trader?

Yes. MLR-2017 reg 21 lets a sole trader act as their own MLRO; small-firm owners normally take the role. No formal qualification needed; "appropriate seniority" is the test.

What does HMRC actually ask at an MLR-2017 inspection of a letting agency?

HMRC MLR-2017 inspections of letting agents focus on 7 evidence categories: firm-wide risk assessment, CDD policy, training log, MLRO appointment, SAR records, source-of-funds policy, ongoing monitoring.

Do I need Cyber Essentials for my letting agency to handle tenant personal data alongside Certaby?

No legal requirement under MLR-2017 or ARLA. The ICO recommends Cyber Essentials (~£300/year self-assessment) for any UK firm handling personal data under UK GDPR. Certaby keeps party PII off the public verify page.

Do I need ARLA Propertymark membership to run AML checks legally?

No. MLR-2017 applies to UK letting agents based on the £10,000 rent threshold, not ARLA membership. HMRC supervises lettings AML directly. ARLA adds client money + CPD.

What is the difference between OFSI, UN, and EU sanctions lists?

OFSI is the UK domestic sanctions enforcer; the UN list is the global Security Council list; the EU list is the EU's consolidated list. UK firms screen all three.

What is the difference between a PEP match and an adverse-media match?

PEPs are politically-exposed persons defined under FATF Recommendation 12. Adverse media is media-mention evidence of crime, fraud, or other risk. Different sources, different actions.

The May 2025 UK sanctions rule for letting agents: what changed, who enforces it, and how to comply

From May 2025, every UK letting agent must screen tenant + landlord against UK sanctions on every let. HMRC supervises; 7-year audit trail required under MLR-2017. £4.95 per signed check via Certaby.

How is a UK UBO calculated under MLR-2017?

A UBO under MLR-2017 reg 5(1)(a) is anyone owning 25%+ of a UK company indirectly through any chain of ownership. Through-walk multiplies stakes (75% × 75% = 56.25% UBO).

MEES 2030 for UK letting agents: the domestic property timeline, exemptions, and cost reality

MEES 2030 lifts the EPC floor for domestic rented property to band C. Current band E rule + proposed band C by 2030 (consultation). Exemptions, costs, landlord and agent duties, penalties up to £30k.

MEES 2030 for UK commercial property: the non-domestic timeline, exemptions, and what letting agents need to know

Commercial MEES is E-band since 2023 for all lettings. Proposed lift to band B by 2030 (consultation). Office, retail, industrial stock most exposed. Penalty up to £150,000 per property.

NTSELAT Material Information Parts A, B, and C: what UK letting agents must disclose in listings

NTSELAT requires letting + estate agents to disclose material information in property listings: tenure (Part A), tenure detail + flood + restrictive covenants (Part B), planning + mining + contaminated land + accessibility (Part C). Backed by CPRs 2008.

How does MEES compliance work for UK letting agents in 2025?

MEES requires let property to be EPC band E minimum since 2018-04-01. The 2030 rule lifts the floor to band C. Penalty: £30,000 per domestic property let in breach.

When does the EPC band C 2030 rule kick in for landlords?

The MEES 2030 rule lifts rented residential property to EPC band C from 2030-04-01. New tenancies first; existing tenancies covered from 2033 (currently consulted).

How does flood risk affect a UK property let or sale?

Environment Agency publishes flood risk by river, sea, and surface water. Letting agents disclose; conveyancers screen; insurers price. Postcode-level data is free + authoritative.

OpenSanctions vs OFSI: which should I use?

OFSI is the UK authoritative sanctions list. OpenSanctions is an aggregator with 200+ sources including PEP catalogue + adverse media. UK firms typically use both.

Is SmartSearch worth £500-1,200 a month for a 5-person letting agency, or is PAYG better?

For a 5-person letting agency doing 5-30 tenancies a month, Certaby PAYG at £4.95 per check usually saves £400-700/month vs a SmartSearch annual contract. Breakeven shifts at ~150 checks/month for two consecutive months.

Can I get a 2080s flood-risk projection for a property?

v1: yes for ~30 flood-exposed UK postcode areas. EA Climate Change Allowance multipliers map to a forward-state band step-up. Defaults to 2080s Higher Central per EA planning guidance. Surface-water + per-river-basin GIS ingest are v2.

How fast do you alert on a new sanctions designation?

Same-day alerts on new OFSI / UN / EU designations affecting your monitored entities. Resend email within minutes; SMS path queued behind Twilio account creation. Daily digest as the safety net.

How does the suite score tenant affordability?

Heuristic v1: rent / income at the 33% UK letting test. Pass annualRent + tenantStatedIncome for the agent-stated path; postcode falls back to LA-level median income (top ~50 LAs in v1). Complementary to Goodlord/HomeLet.

Can I record gas-safety, EICR, and Awaab Cat-1 status on the suite check?

Yes. Optional gasSafetyExpiry + eicrExpiry + awaabHazardLevel fields on POST /v1/suites/letting-agent/check trigger derived warnings (expiry, Cat-1 hazard) on the response. RRA-2025 + Awaab prep, no upstream data source required.

Can I screen an international tenant against multiple country watchlists?

Yes. The letting-agent suite screens against OFSI + UN + EU + OpenSanctions global (40+ jurisdictions) by default. Pass screenJurisdictions: ["GB", "IE", "US"] to record specific jurisdictions on the cert.

Why use Certaby instead of a spreadsheet + manual checks?

Manual sanctions + PEP + UBO + property checks take 30-45 minutes per let. Certaby runs all 8 in one transaction with a hash-bound audit PDF. £4.95 per check.

Is the Right to Rent check free, and how do I do it?

Yes. The gov.uk Right to Rent share-code check is free, and Certaby does not charge for Right to Rent. Step-by-step for the free check, plus where a paid tool actually helps. England only.

How much should a letting agent budget for AML compliance checks per let?

UK letting-agent AML check costs sit £3-25 per check across vendors. Certaby is £4.95 PAYG, dropping to £2.95 at 1,000-pack. Typical 10-tenancy firm: under £50/month.

Can multiple branches of a letting agency share one Certaby account, or do we need separate accounts per branch?

One Certaby account works across branches. Each branch staffer is a seat on the operator team; checks are firm-scoped; head office can fund a shared credit pool. Separate accounts only needed for franchise-billing separation.

If I cancel Certaby, do my old audit certificates stay accessible? What about MLR-2017 5-year retention?

Yes. Every Certaby cert has a /verify/<hash> URL that resolves for 7 years regardless of subscription. Download all PDFs from the dashboard before cancelling for offline retention. Most competitors gate access on active subscription.