Professional and ethical standards: judgement, objectivity and conflicts
What this domain tests
Professional and ethical standards focuses on how you exercise judgement before a situation becomes a conduct breach. It tests objectivity, conflicts of interest, confidentiality, gifts and hospitality, fair treatment and the reasonable bystander test. The exam rewards candidates who spot an ethical issue early and can explain how to manage it.
Core standards
- Objectivity: advice must not be influenced by financial or personal interests.
- Conflicts of interest: identify, disclose and manage them; avoid the instruction if management is insufficient.
- Confidentiality: protect client information, but it is not absolute where law or public interest requires disclosure.
- Gifts and hospitality: keep them modest, proportionate and transparent; never accept them during a live tender.
- Fairness and respect: treat colleagues, clients and third parties with respect and avoid discrimination.
- Competence: accept only work you are competent to perform, and seek expert input where needed.
RICS expects the reasonable bystander test: would a reasonable observer, knowing the facts, regard the decision as ethical? Record your reasoning, because the appearance of a conflict can damage confidence even where no improper influence exists.
Worked example
You are tendering for a maintenance contract. A subcontractor bidding for the same work offers you two tickets to a major sporting event. You have not yet submitted your tender. Accepting could create a conflict and give the appearance of impropriety. Decline politely, explain that acceptance could compromise objectivity, and record the offer in your firm's gifts register. If the offer appears to be an attempt to influence the tender, report it through your firm's whistleblowing channel. Disclosure alone does not cure a conflict when the timing and value make it material; you may need to withdraw from the tender process.
Traps that cost marks
- Believing disclosure always solves a conflict; sometimes you must withdraw.
- Treating confidentiality as absolute; law and public interest can require disclosure.
- Accepting hospitality because "everyone does it".
- Using legality as the only ethical test.
- Failing to document decisions and advice.