Landlords have been reassured that there’s no national licensing scheme in the pipeline after the government again rebuffed proposals made by various housing groups and think-tanks.

In answer to a parliamentary written question from Charlotte Nichols MP about whether private landlords could expect a new framework, Housing Minister Christopher Pincher said there were no current plans for a centrally based scheme.

He told her: “The Government is committed to delivering a private rented sector that works for everyone and balances the needs of landlords and tenants.”

He added that it was working with local authorities to raise standards in the private rented sector. “Local authorities must license Houses in Multiple Occupation where five or more people from two or more households share facilities.

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“Local authorities also have the power to license different types of privately rented properties through additional licensing or selective licensing schemes.”

The National Residential Landlords Association has welcomed confirmation that there won’t be a national scheme.

A spokesperson tells LandlordZONE that licensing simply imposes costs on good landlords while bad landlords continue to operate under the radar.

“What is needed is greater resources for councils to enforce the wide range of powers they already have, using the large volume of data available to them to identify landlords of rented properties,” he says.

Housing groups often quote the Rugg report from 2018, which suggests that all property let for residential purposes should be required to provide an MoT-style licence or certificate.

The Evolving Private Rented Sector: Its Contribution and Potential report suggested that if adopted, it wouldn’t be legal to let a property without this document, which would integrate electrical, gas safety and energy efficiency requirements, as well as assessments for a basic minimum standard for habitation check.

Read more about national landlord licensing schemes.

3 COMMENTS

  1. Such an overarching licence at £100 every 5 years would transform the PRS

    It would cause about 2 million homeless due to all the fraudulent tenancies out there.

    Such fraud can be as simple as a LL letting a property with a residential mortgage WITHOUT CTL.
    There are reckoned to be about 330000 LL in this category.

    Then there are the millions of HB tenants bei g let to in breach of mortgage conditions.

    Then fraudulent insurance policies.
    You can’t have BTL insurance on a property which has a resi mortgage in place UNLESS CTL and the insurer has bern advised of these material facts.
    It is breach of mortgage conditions not to be insured correctly.

    That means that lenders if they were aware could call in all those fraudulent mortgages.

    Such an effective property MoT scheme would cause mass homelessness and mass bankruptcies for fraudulent LL of all types.

    This is why there will NEVER be such a National Scheme.

    Indeed Govt needs to be aware that a National Property Redress Scheme would effectively be a National LL Licensing Scheme and would cause the same problems.

    For these reasons we won’t see a Property Redress Scheme anytime soon.

    The problem is that good LL would welcome these proposals but Govt knows there are millions of fraudulent tenancies out there and doesn’t wish to expose the problem.

    Good LL would welcome all the fraudulent tenancies were ended.
    This would result in massive demand for good LL properties meaning those good LL could jack up rents to realistic levels.

    It would be politically disastrous for the Govt with millions of homeless tenants.

    I just can’t see even this stupid Govt introducing schemes that would see them voted out of power next GE.

  2. You speak for yourself. I’m a good landlord and I don’t welcome licensing. A blanket license scheme would be the thin end of the wedge. They would go on introduce an MOT and before you know it we’d have an army of unwelcome bureaucrats nosing around your properties raising petty issues in order to justify their existence – and fining left right and centre to raise revenue.

  3. Martin. absolutely spot on. Like you I am a good Landlord, and have good relationships with “good” Tenants.
    Which currently, is all of my 11 Properties, however I did some Years ago let my Properties on Local Council schemes, nightmare!. Trouble is Civlil Servants or whatever they call them, are generally made up of either Socialists or People who can’t hold down a job in the real World. So this Licensing will be staffed by the same sort of People.
    What a stupid society this Country has become, where success has to be attacked, not just by the jealous, but by the warm hearted, soft Headed Politician’s.

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