Labour makes landlord licensing easier

The Labour Government is to allow councils to license landlords from December 23, 2024.

The Government has announced that local authorities in England will no longer be required to obtain confirmation from the Secretary of State before implementing a selective licensing scheme for landlords. The rule change occurs next Monday, 23rd December and will make it much easier for local councils to introduce licensing rules.

The Ministry of Housing, Communities and Local Government stated that a “local housing authority must, however, still satisfy all statutory requirements contained in Part 3 of the Housing Act 2004”.

“In addition, local authorities will be expected to consult for a period of at least 10 weeks on the proposed designation”.

This means that a selective licensing scheme can only be introduced if there are problems with low housing demand or significant and persistent problems with anti-social behaviour linked to the private rented homes in that area. And where there are local mayors, like Andy Burnham in Greater Manchester, they must be consulted on decision making, and councils must also update the government on the impact of any scheme.

The pro-tenant Renters Reform Coalition said “This is good news – we’ve long been calling for the government to make it easier for councils to extend and set up landlord licensing schemes, which are an important line of defence for renters.

“Private renting is different everywhere, so it’s important councils are empowered to tackle local problems and drive up standards.

“We look forward to seeing more detail about these changes.”

However, the National Residential Landlords Association, said: “It makes no sense that whilst planning to create a national database of private landlords [in the Renters' Rights Bill], the Government now wants to make it easier for councils to license landlords as well.

“Ministers must clarify how they plan to prevent the two schemes from duplicating each other. A failure to do so risks them becoming nothing more than cash cows.

“The Government’s plans will remove important safeguards against misuse of council licensing powers. It absolves ministers of any responsibility and will give local authorities free rein to blanket entire towns with unnecessary and costly schemes."

If you have any questions regarding selective licensing for landlords or the Renters’ Rights Bill, please contact one of our specialist lettings team via our contact form or call 0161 511 5339.