New Joint Report on Impact of Selective Licensing Schemes Released

New Joint Report on Impact of Selective Licensing Schemes Released

The Chartered Institute of Housing (CIH) and Chartered Institute of Environmental Health (CIEH) today launched a report analysing the impact of selective licensing schemes run by 20 councils across England. The analysis found that selective licensing isn’t a ‘quick win’ – it may be several years before tenants start to see results. But many schemes are now delivering significant benefits. High numbers of serious hazards and defects have been identified and addressed as a result of property inspections – in schemes that have come to an end, between 69 and 84 per cent of homes in licensed areas needed work to bring them up to a decent standard. Some councils also reported that landlords were more willing to carry out work needed on their properties once licensing schemes had been set up in their areas – without formal action needing to be taken by the council. This is a faster route for tenants and a cheaper route for the councils to resolve issues.

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The report outlines a series of recommendations for the government to boost standards for private renters further using selective licensing, including:

Reviewing the way councils get approval for new schemes – as the current process is expensive and unnecessarily bureaucratic and may be putting some local authorities off starting schemes where they may be beneficial.

Giving councils more flexibility to set licence conditions for their area – so they can require landlords to demonstrate that all legal minimum standards are met and set higher standards that exceed the national minimums.

Introducing a national landlord registration scheme, which would support and complement selective licensing schemes by making it easier for local authorities to identify the majority of landlords in their area.

It also outlines recommendations for councils looking to set up a scheme, including being clear about their intended outcomes and how they will be measured and monitored; continually reviewing and publicising the results, which can help engagement with landlords; and using civil penalties more to fund enforcement.

Meera Chindooroy, Policy and Public Affairs Manager at the National Landlords Association (NLA), says: “There is no doubt that property standards in some areas do need to be improved, and we work with councils to design and regulate their schemes in these areas where there is a strong case for interviention. However, for the majority of landlords, whose properties are of a high standard, selective licensing is just an added cost.

“Too often schemes are introduced without proper funding and enforcement, meaning good landlords are paying for not much in return. Those landlords that selective licensing is brought in to route out continue to go about their business untroubled. “More councils need to be willing to work productively with landlords to enable both parties to collectively improve the standards of the private rented sector.”

Author: landlords.org.uk

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