Letting agents in Scotland must immediately sign up to a new register in order to trade legally. It is estimated that about half have not yet signed up or even applied.

From Monday (October 1), it will be a criminal offence for agents in Scotland to carry out letting agency work if they haven’t applied or aren’t registered on the Register of Letting Agents.

The Letting Agent Code of Practice was introduced on January 31 and all agencies are required to follow the new rules and register themselves by September 30 if they wish to continue operating in the sector.

Anyone not registered could be fined up to £50,000 or face up to six months imprisonment, or both.

Mike Campbell, director of the Council or Lettings Agents in Scotland, said it was inevitable some agents would miss the deadline.

He said the Scottish Government estimates that there are 1,700 lettings agents meeting their official definition of an agent, but said just 50% were registered or had applied month ago.

Campbell said he has had an email from the Scottish Government saying a number of agents have been in touch with concerns that they will not have their registration number in time for October 1. The message said it is still fine to operate as long as an application is submitted by the deadline.

He added: “It’s an inevitability of human nature that some agents will miss the deadline, for example if an agent has not obtained a relevant qualification then no amount of reminders will either prompt them to apply or more unlikely magically meet the requirements in the available time before the registration deadline.”

Agents must have a relevant qualification at the equivalent of the Scottish Credit and Qualifications Framework (SCQF) level 6 or above.

Those who already have a qualification which is more than three years old will also need to have done additional training on letting agency work.

Firms also must have one or more separate dedicated client accounts, client money protection and professional indemnity insurance.

The application fee covers a three-year registration and starts at £495 for firms with one office, £595 for two to three and £700 for four or more.

New firms who apply before starting any agency work after October 1 will also pay this rate.

Those who apply late must pay £765 for one office, £865 for two to three and £970 for four or more.

This also applies to any new firms that start after October 1 but fail to apply to register.

Your Move said its agents were ready for the changes.

It comes as its latest data showed that average rents in Scotland fell 0.1% annually during August to £572 a month.

Agents can apply for registration at: https://lettingagentregistration.gov.scot/