Client Money Protection

What is Client Money Protection?

If you rent out a property — or you're renting one — and you use a letting agent, that agent often ends up holding money that isn't really theirs: your rent, your deposit, your maintenance funds. Client Money Protection (CMP) is a safety net for that money.

If the agent goes out of business, or someone at the agency loses or misuses the money, CMP gives you a route to try to get it back. In England, being a member of an approved scheme is a legal requirement for any agent that holds client money. Read the official GOV.UK guidance →

What actually counts as "client money"?

Basically, any money the agent is holding in trust for someone else — not money that belongs to them. That includes:

• Rent collected from a tenant, before it's passed on to the landlord
• A holding deposit, while an application is being considered
• A tenancy deposit, before it's registered with an official deposit scheme
• Money set aside for repairs or property upkeep
• Float funds or service-charge money held for a landlord

What can CMP actually help with?

If an agent that's a CMP member can't pay back money they were holding, you may be able to claim compensation through their scheme. Each scheme sets its own rules, evidence requirements, and claims process.

CMP vs. deposit protection — don't mix them up

These two sound alike, but they cover different things.

In England and Wales, a landlord or agent usually must register a tenant's deposit in an approved scheme within 30 days of receiving it. More on deposit protection →

What CMP won't do

CMP is genuinely useful, but it isn't a cure-all. It won't:

• Guarantee every dispute gets resolved
• Replace a proper tenancy agreement, inventory, or clear payment records
• Cover money the agent never actually handled — if a tenant pays rent straight to the landlord, that money was never "client money"
• Settle everyday disagreements about repairs, rent arrears, or the state of a property

How to check an agent actually has CMP

• Look for a current CMP certificate — on their website and in their office
• Note the scheme provider's name and membership details
• Ask for a copy if you can't find one — they must give it free of charge
• Check whether they're also a member of an approved redress scheme (separate from CMP — it covers service complaints)
• Keep your own agreements, invoices, receipts, statements, and key emails

GOV.UK lists the approved CMP schemes in England, including Client Money Protect, Money Shield, Propertymark, RICS, Safeagent and UKALA Client Money Protection. View the current list →

If money goes missing — what to do

1. Contact the agent in writing, stating clearly what money is outstanding.
2. Gather your evidence: bank statements, receipts, emails, your tenancy or management agreement.
3. Find the name of the agent's CMP scheme from their certificate or website.
4. Contact that scheme promptly and ask about their claims process.
5. If you suspect criminal activity, or can't reach the agent at all, consider reporting it to the police for a crime reference number.

If you're a letting agent

In England, if you hold client money, you're legally required to join an approved CMP scheme, keep client money in an FCA-authorised bank or building society, and display your certificate in your office and on your website — handing over a free copy whenever someone asks.

Does this apply everywhere in the UK?

The rules aren't the same across the whole UK:

Always check the rules for wherever the property is actually located.