Several London councils have unveiled or expanded selective licensing schemes, raising significant concerns among private sector landlords, particularly amateur ones, according to Phil Turtle, a legal expert at Landlord Licensing & Defence.
The councils of Brent, Lambeth, Lewisham, and Islington have introduced new schemes or expanded existing ones, requiring landlords to obtain licenses under stringent conditions.
Phil Turtle highlighted the financial and legal implications of these schemes, pointing out that Brent Council, for instance, demands an £840 fee from landlords for a council license. This license, he explained, comes with “draconian conditions” that, if not adhered to, can result in severe penalties, including unlimited fines and a criminal record.
“Many landlords, especially those without legal training, fail to grasp the full implications of these conditions until it’s too late,” Turtle said. “Additionally, the occupancy limits set by the licenses can be stricter than those allowed by legislation, leading to further fines that bolster the council’s funds.”
Turtle expressed bewilderment over the councils’ motivations, stating, “No one understands why councils are reducing the permissible occupancy of properties, but we at Landlord Licensing & Defence are seeing it more frequently.”
He criticized the schemes for targeting two specific groups of landlords: those already compliant with regulations and providing quality housing, and amateur or accidental landlords who might inadvertently breach the new rules due to lack of awareness. “Good landlords are being charged merely to confirm their compliance, while amateur landlords, despite offering decent accommodation, risk hefty fines,” he said.
Turtle also argued that landlords providing substandard housing and deliberately avoiding licensing seem to evade the councils’ enforcement efforts. “Despite the substantial revenues generated from these schemes, councils rarely catch actual rogue landlords. Instead, they label well-meaning landlords as rogue when they are anything but.”
He emphasized that the licensing fee represents a significant burden for smaller landlords, who also face potential fines of up to £30,000 per offence for non-compliance. “This raises ethical concerns, as these landlords often provide high-quality housing,” Turtle noted. “The schemes appear to target responsible and inexperienced landlords rather than those who intentionally offer substandard housing, casting doubt on their effectiveness.”
Landlord Licensing & Defence advocates for a transparent and evidence-based approach to improving housing standards. The organization urges councils to collaborate with landlords and focus on targeted enforcement against those offering poor-quality housing, suggesting this would be a more effective strategy.