16Areview of referral fees paid by conveyancing firms to estate agents is to be carried out after allegations of misconduct by the BBC’s Panorama programme.
The undercover investigation, broadcast this week, alleged that leading estate agents pressured sales people to use firms with whom they had a business arrangement.
First time buyers featuring in the programmes paid £2,820 for conveyancing after being referred by their estate agent – nearly three times more than the cheapest conveyancing quote for the same property.
The Council for Licensing Conveyancers said the BBC had highlighted ‘serious concerns about conditional selling and the questionable sales tactics of certain estate agencies, which may impact the conveyancing sector by limiting consumer choice of legal adviser. This is of concern to the CLC because of the apparent disregard for consumer choice and transparency on pricing affecting conveyancing service provision.’
Advert
The regulator said it had no evidence to suggest that unethical practices were prevalent in the conveyancing sector, but in the interests of ensuring genuine consumer choice it would undertake a thematic review of referral arrangements.