A Wirral councillor has launched a scathing attack on selective licensing schemes, branding them a “supplementary tax” unfairly levied on private landlords.
Speaking at a recent meeting of Wirral Council’s Economy, Regeneration and Housing Committee, Councillor Tony Cox expressed concern that many landlords have no option but to shoulder the financial burden of licensing fees, regardless of the quality of their properties.
Highlighting the £605 annual charge associated with the scheme, Cllr Cox questioned the fairness of imposing the same fee on landlords who have made significant improvements to their properties.
“Rather than it being a supplementary tax, if a licensing scheme applies in a particular area and the landlord has made significant improvements… is there justification to keep slapping that £605 charge on them every year?” he asked. “It doesn’t seem right to me to keep charging that fee when a landlord has gone out of their way to improve their property to a high standard, yet has no way to escape that £605.”
Cllr Cox also pointed to previous licensing efforts in nearby Liverpool, which he said had fallen short of expectations. Citing criticism from the National Residential Landlords Association (NRLA), which described the schemes as “a waste of time,” he argued that Wirral should pursue a more targeted and incentive-based approach, including discounts or exemptions for responsible landlords.
Despite the objections, the committee voted to approve five new selective licensing areas across the borough.
Warnings Over Landlord Exodus Amid Housing Crisis
During the same meeting, Cllr Cox warned of an exodus from the private rented sector, with landlords selling up as new regulations and rising costs take their toll. He said this trend is contributing to growing pressure on social housing waiting lists and homelessness services.
“The reality is that since 2017, private landlords have been absolutely battered by subsequent governments — and it’s about to continue,” he said. “It’s not what the report is about, but over the next 12 months, it says there will be a 24% reduction in private landlords due to the upcoming legislation they have to deal with. Some of it is for the better, some of it most definitely for the worse.”
Forecasts included in the council’s five-year housing strategy predict a 33% drop in private landlords, a trend Cllr Cox warned will worsen the housing crisis.
“There’s not a single word in that report that says what is driving homelessness,” he added. “The reality is it’s only going to get worse.”
He called for more data on how many tenants are turning to the council for support after being forced to leave rented homes due to landlords exiting the sector.
The committee also reviewed proposed changes to the Property Pool Plus scheme, aimed at improving access to social housing and addressing growing homelessness demand. While Cllr Cox welcomed the work behind the report, he stressed that without addressing the root causes — including the shrinking private rental sector — the crisis would continue to escalate.