Ahead of the sanctions compliance deadline this week, property transaction services provider Coadjute is urging letting agents to take action to ensure they are fully prepared for the new regulatory requirements.
From 14 May, letting agents will be required to screen all landlords, tenants, and — where applicable — beneficial owners of corporate landlords or tenants against the UK Sanctions List. Any positive matches must be reported immediately to the Office of Financial Sanctions Implementation (OFSI).
John Reynolds, co-founder and chief operating officer at Coadjute, is encouraging letting agents to see the deadline not as a burden, but as an opportunity to streamline their operations and enhance compliance processes.
“This is a significant regulatory shift for the lettings sector, and while it brings extra responsibilities, it doesn’t have to be overwhelming,” says Reynolds. “With the right systems and processes in place, agents can manage these changes efficiently and minimise disruption to day-to-day business.”
From 14 May, letting agents will need to:
+ Screen all landlords and tenants involved in rental agreements.
+ Identify and screen any Ultimate Beneficial Owners (UBOs) if the landlord or tenant is a legal entity.
+ Keep up-to-date with the UK Consolidated Sanctions List.
+ Immediately report matches to OFSI and ensure transactions are frozen where required.
+ Monitor ongoing tenancies for changes in designation status.
Coadjute advises that agents consider four key areas to stay compliant:
1. Review screening processes: Ensure your agency has access to up-to-date screening tools and is following a consistent due diligence workflow.
2. Improve documentation and audit trails: Maintain clear, timestamped records of checks conducted, decisions made, and any reports filed.
3. Train your team: Ensure all staff understand what sanctions are, how to perform checks, what constitutes a match, and how to report.
4. Stay compliant beyond onboarding: Sanctions checks must be performed not just at the start of a tenancy but monitored throughout the tenancy term.
Reynolds addedd: “We’re seeing more agents turning to digital solutions to handle checks quickly and accurately — not just to stay compliant but to reduce the manual admin involved. Platforms like Coadjute can deliver real-time alerts, support faster decision-making and even create a new revenue stream for agents. It’s about working smarter, not harder.”
Agents prepare for new regulations ahead of next week’s deadline
Read the orginal article: https://propertyindustryeye.com/is-your-agency-prepared-for-regulatory-changes-this-week/
