A council has scrapped plans to introduce additional licensing for smaller HMOs – and the National Residential Landlords Association (NRLA) says it helped bring about the U-turn.
The scheme, which was originally under consultation late last year, aimed to extend Telford and Wrekin council’s licensing requirements to shared houses with three or four occupants.
Had it proceeded, landlords of smaller HMOs would have been forced to pay a licensing fee of more than £1,500 per property.
The NRLA claims the scheme would also have created duplication for landlords as the West Midlands becomes the first region required to join the new national landlord database from this coming December.
The association intervened and says it found the council had failed to:
- properly publicise the designation;
- provide key consultation documents;
- answer concerns about the legal basis and justification for additional charges;
- repeatedly respond to questions when challenged.
The council first argued against this position, then proposed simply to conduct the steps it had missed.
However, the council has now revoked the designation in its entirety,.
NRLA chief executive Ben Beadle says: “This is a major win for landlords which sends a message to councils across the country: if you do not exercise your powers within the limits of the law, you will be challenged.
“We raised serious concerns about both the process followed and the additional costs landlords would have faced. When those concerns were not addressed, we were prepared to challenge the designation through the courts. The council has now revoked it in full.
“Good regulation should protect tenants while supporting responsible landlords. At a time when a new national landlord database is being introduced, councils should also think very carefully before imposing additional local schemes which duplicate information and costs without demonstrating clear benefits. When established processes aren’t followed, we are ready to take action to ensure landlords are treated fairly.”
