Conflicts of Interest professional statement now mandatory

Nigel Sellars FRICS

Associate Director of Commercial Property (RICS)

From 1 January 2018, all RICS professionals and regulated firms are now required to follow the global professional statement on Conflicts of Interest, 1st edition.

Stay updated by watching our videos below

In March 2017, RICS released a global and a UK-specific professional statement giving RICS professionals a number of months to familiarise themselves with the new rules. Following industry feedback, the following additional commentary notes have been added to provide clarification:

  • Competing bidders
  • Effective date / transition
  • Conflicts arising during professional assignments
  • Passing confidential information to insurers and legal advisers

Both standards became mandatory on 1 January 2018.

View and download the global professional statement

View and download the UK-specific professional statement

Confidence and clarity

The global Conflicts of Interest professional statement is not geographic or sector specific. It provides greater confidence for end users and increased clarity for RICS professionals because it addresses a number of concerns raised by end users and RICS practitioners globally on matters such as:

  • Definitions of and application of informed consent confidentiality
  • Full disclosure and transparency between parties
  • The practice of ‘dual agency' in the UK commercial property investment market
  • Tighter rules around multiple agency relationships

Under our bye-laws and regulations, our members must comply with RICS professional statements, in the interest of maintaining the highest professional standards.

Watch: Stay updated on this new mandatory requirement

Conflicts of interest, global, 1st edition

Watch this short video and gain an understanding of this professional statement. The video will provide you with an overview of:

  • Why addressing conflicts of interest is important.
  • The professional statement on conflicts of interest and confidentiality.
  • Definitions used in the professional statement.
  • Views from industry stakeholders as to why this professional statement matters to them and the impact it will have on the industry.

Conflicts of interest - UK commercial property market investment agency, 1st edition

This video provides you with an overview of the professional statement, and is targeted at those RICS professionals and regulated firms acting on the open market sale or acquisition of a commercial investment real estate opportunity in the UK in order to avoid conflicts of interest prejudicial to their clients’ best interests.

The video will provide you with an overview of:

  • Why addressing conflicts of interest is important, effective date and application in the UK.
  • Definitions used in the professional statement.
  • Dual agency, including related firms.
  • Multiple introductions.
  • Incremental advice.
  • Views from industry stakeholders as to why this professional statement matters to them and the impact it will have on the industry.

Comments (3)

  1. Nigel,

    I've downloaded and read this latest Mandatory requirement from RICS which of course we are all obliged to comply with. It makes interesting reading however as a QS it is easy to conclude the document is heavily slanted towards Valuation and Agency (GP work) - refer part 3 where these have specific 'guidance'. Perhaps this reflects the make up of the working group?.I expect this was not the intention, but to specifically single these areas of practice out for comment begs the question, what about all other areas of practice? There is little or no reference to the construction or other sectors of the profession and for clarity it would be most useful to see some guidance or examples of potential conflicts and how they apply to other sectors. Perhaps this just needs the expansion of part 3? Kind regards, David MacDonald FRICS

    David MacDonald David MacDonald, 4 January at 10:47AM

  2. Nigel

    I note that the download has a different filename to the version that was published in March 2017. Is there a reason for that - ie is it a different version?
    Thurstan Ollerearnshaw FRICS

    Francis Ollerearnshaw Francis Ollerearnshaw, 9 January at 09:15AM

  3. Hi Francis,

    Yes, the document did go through a very slight amend since Marc 2017, simply to add more clarification around certain topics. As stated above, following industry feedback, the following additional commentary notes have been added to provide clarification:

    - Competing bidders
    - Effective date / transition
    - Conflicts arising during professional assignments
    - Passing confidential information to insurers and legal advisers

    Regards,

    Jonny Falkingham
    Digital Content Manager

    Jonathan Falkingham Jonathan Falkingham, 9 January at 09:38AM

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