The UK's largest property portal, Rightmove, is confronting a massive £1 billion legal battle over accusations it has been imposing unfair and excessive subscription fees on thousands of estate agents across the country.
The Basis of the £1 Billion Claim
A collective claim, led by former Competition and Markets Authority (CMA) panel member Jeremy Newman, is proceeding to the Competition Appeal Tribunal. The legal action alleges that Rightmove has abused its dominant position in the online property market.
Mr Newman stated that the claim will “seek to return the overpaid fees to estate agents across the country”. He accused the firm of actions that exploit its market dominance to charge excessively and unfairly high subscription fees, both in absolute terms and when compared to its competitors.
“Estate agents have had to absorb consistent, excessive price increases on a regular basis,” he added. The group behind the claim estimates that the total damages could reach approximately £1 billion.
Rightmove's Response and Legal Backing
In response to the impending lawsuit, a spokesperson for Rightmove confirmed the company had “received notice of a potential claim”. They added, “We’re confident in the value we provide to our partners.”
The case is being financially supported by the specialist litigation funder Innsworth Capital Limited. Jeremy Newman brings significant credibility to the claim, having previously served as a panel member on the CMA, the UK's primary competition watchdog.
A Changing Landscape for Property and Renters
This legal challenge against a property giant emerges alongside significant government reforms for the rental sector. The government has confirmed that no-fault evictions will be outlawed in England from 1 May.
These sweeping changes, initiated under the Renters' Rights Act, also mark the end of fixed-term tenancy contracts, moving renters onto rolling agreements. The reforms aim to put a stop to “bidding wars” and introduce clearer rules on pet ownership.
Labour Party Housing Secretary Steve Reed said the government was “calling time” on “rogue landlords” through these new measures. However, landlords have expressed concerns, suggesting the reforms could lead to more intensive screening of prospective tenants and nervousness when tenancies encounter problems.
