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Shock as council reveals new HMO licensing will costs over £1,000

Salford council in Greater Manchester is to introduce landlord licensing for HMOs where three or four tenants live - and the licenses are going to cost over £1,000 each. 

The scheme will come into force on July 19 and will cover the whole of Salford and will last for five years. Landlords will pay a one-off fee of £1,085 for the licence which can be paid in instalments.

The council estimates more than 27,000 homes are privately rented in the city and in the last five years conversions to HMOs of all sizes in selective licensing areas have risen by 460 per cent in Eccles, 410 per cent in Langworthy, Weaste and Seedley and 196 per cent in Broughton.

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Over the last year 90 per cent of three and four bed HMOs inspected fell below the required standard. This is despite the council providing clear information about acceptable standards and offering an HMO advice service, claims the council.

Spokesman Peter Openshaw says: “Our inspections found missing or damaged fire doors, inadequate or blocked escape routes and insufficient measures to prevent fire and smoke spreading. Some properties didn’t have fire alarm systems at all, despite that being a legal requirement, while others had systems but they were damaged, putting tenants at risk.

“Over a third of the properties we checked were damp and/or suffering from mould because of leaky roofs or walls and a third had no or inadequate heating. In some cases we had to move tenants out immediately for their own safety.

“Most of the landlords or managing agents carried out improvements and removed the hazards when alerted to them without formal enforcement action but 21 landlords were issued with civil penalties for breaches of HMO management regulations. 

“Private sector rented properties now account for 23 per cent of Salford’s private housing stock, up from 11.2 per cent in 2008 so the homes they provide must be safe, warm and well-run.

“As with previous licensing schemes we want to work with landlords to ensure high quality rented properties in Salford but will not hesitate to take firm action against those who leave tenants in unsafe or poor conditions.”

Council officers will now begin contacting landlords and managing agents and information will be posted on the council’s website.

After the scheme comes into operation in July landlords will have three months to register unless they already hold a licence for five bedded or larger HMOs or a licence for properties where selective licensing schemes already apply. Landlords who fail to get a licence where required could be fined or issued with a civil penalty notice. 

The council also has the powers to order the landlord to repay rent to the tenants or to take over management arrangements for the property on an interim or final basis.

To be approved for a licence, landlords and property managers will need to demonstrate they are a ‘fit and proper person’ to let the property and that they have suitable management arrangements in place including annual safety checks and that tenants have bins and know how to properly recycle and dispose of waste.

 

The licence will also determine the maximum number of occupants to make sure tenants are not living in cramped and overcrowded properties.

If the landlord fails to licence the property or breaches conditions of the licence and fails to remedy the situation the council can issue civil penalty notices or prosecute them.

Want to comment on this story? If so...if any post is considered to victimise, harass, degrade or intimidate an individual or group of individuals on any basis, then the post may be deleted and the individual immediately banned from posting in future.

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    I expect landlords with HMOs will be passing the cost onto their tenants.

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    I suspect this has more to do with a cash cow worth up to £30 million for the council rather than any concerns for the condition of tenants properties.

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    The comments from the money grabbing landlords have started...pass the cost onto the tenants that you bleed dry already.

    Andrew Murray

    Daniel you are obviously not a person who has ever run a business or probably employed anyone. Your stereotypical views show you have no idea what hard work it is to rent a property out. I try to provide the best possible property standards for the best possible price. In doing this I employ numerous workers each year which helps the economy. I do agree with anything that increases standards and stops bad landlords. However over £1000 per five years is actually too much. A council I deal with charges £500. And of course with higher costs to the landlords this will always put up rents . You must know this will happen .

     
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    What ever the business costs are always passed onto the end user Dan, you can blame the council for this rent increase, but this one will not affect me or my tenants as I don't have any HMOs they tend to cater for the kind of tenants that I don't want.

     
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    It might be a belated shock to Salford City LL’s but I am in Shock since it was introduced in 2006 following the rubbish Mayhew Report from the centre of housing policy studies from York, so they had 15 years of grace lucky them, there was no one fighting our corner when they weren’t affected . I can’t agree unfortunately about the cost being passed on to the Tenant, it just didn’t happen we have taken a big hit, can’t charge the Customer extra who can’t afford it. I know some cherry picker LL did but not all Tenants on big money. I am paying £1300. HMO Application fee but that the tip of the iceberg as you will find out. It doesn’t get rid of Rogue LL’s they are exempt don’t need a License, housing families or taking family’s from Council keeping Council happy by taking them off their hands, so they are not a targeted like us (blind eye), have a nice day.

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    Pointless responding to the hate groups ,they are so full of bigotry prejudice and hatred they are completely uninterested in anything as inconvenient as facts and truth .
    The good news is whilst they are busy persecuting what they describe as "money grabbing landlords"
    they are not inflicting their hate crime on other minorities
    You have to concede these nazi hate groups are remarkably consistent

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    I reply to them just to wind their bitter and twisted minds up still further, they are always going to hate any one successful in business, I can live with that.

     
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    It seems there is no way of avoiding Licensing for regular LL’s, if you have let to 3 people regardless of how my story to persons not related / 2 or more house holds one of the 3 schemes is going the get you sorry to say. Family’s in anyway vaguely connected you don’t need a License to rent to them even if it’s 10 persons for instance, many on housing benefits nothing applies really, it seems their friends & relatives made their own rules for them especially as they control the Civic Centres & Government Departments. Maybe someone can give a better explanation ? don’t think so......

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