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What is Client money protection?
Last verified 23 October 2026
Client money protection (CMP) is a scheme that compensates landlords and tenants if a letting or property management agent cannot repay money it holds for them, for example if the agent goes into administration. In England, every letting or property management agent that holds client money must belong to an approved CMP scheme.
Why it matters to landlords
Client money includes rent collected for the landlord, holding deposits, floats held for repairs and tenancy deposits held before they are protected in a deposit scheme. The requirement has applied since 1 April 2019. Agents must keep the money in an account with an FCA-authorised bank or building society, display their membership certificate in their offices and on their website, and tell each client in writing within 14 days if they lose membership or move to another scheme.
For landlords, checking an agent's CMP membership before signing up protects rent you have not yet received. Approved schemes include Propertymark, RICS, Safeagent and UKALA Client Money Protection. Agents that do not join face a civil penalty. In Wales, agents must join before applying for a Rent Smart Wales licence, and Northern Ireland has no requirement.
Example
A landlord's agent collects £1,200 rent on the 1st of the month and pays it on, minus fees, on the 10th. If the agent collapsed in between, the landlord could claim the lost rent from the agent's CMP scheme. The landlord checks the certificate on the agent's website before signing.