Rightmove says it expects to incur £2.3 million in legal and professional costs this year following the launch of a proposed class action alleging it charged excessive and unfair fees to estate agents. The Competition Appeal Tribunal has set a hearing for 2 and 3 November, and Rightmove says it will defend the claim vigorously.
This opinion piece argues that Rightmove’s fee increases are disproportionate to the lead generation value some estate agencies receive, particularly in London where alternative marketing channels are more significant. It also highlights the ongoing Competition Appeal Tribunal class action and suggests that AI could eventually reduce the importance of property portals altogether.
Updated government guidance under the Tenant Fees Act, issued after the Renters’ Rights Act came into force, has raised questions about whether some professional rent guarantor contracts entered into before 1 May may still be valid. The guidance also indicates that tenants must be given genuine choice over guarantor services, and that requiring a specific provider could amount to a prohibited payment.
