The estate agency industry should be regulated to provide customers with better protection against unscrupulous operators, according to a report by the former head of the Office of Fair Trading, Sir Bryan Carsberg.

The report calls for a basic qualification for anyone wanting to set up in business as an estate agent.

The advice was welcomed by the National Association of Estate Agents, which admitted the sector was "far from perfect".

"We know there is still more to be done," said Peter Bolton King, chief executive. "One or two bad apples can still affect the whole barrel and therefore Sir Brian's recommendation is one we wholeheartedly endorse."

Carsberg also called for the controversial home information packs to be scrapped, claiming they offered "the worst of both worlds".

"They omit much of the most useful information but still impose significant costs on the property transaction," he said.