Thousands of landlords risk £50,000 fines for failing to register

Thousands of landlords in Scotland have not registered, as they are legally compelled to do, and now face fines of £50,000.

In Glasgow alone, an estimated 6,000 private landlords have not given their details to the local authority, despite the legal requirement.

The scale of non-compliance highlights the uphill task that tenancy deposit protection schemes will have in ensuring that all landlords handling tenants’ deposits obey the law.

The number of landlords who persist in operating below the radar also goes some way to explaining why in England and Wales, the housing minister has consistently backed away from a mandatory registration scheme.

But things are about to get tough in Scotland. In Glasgow, landlords have been warned they face a £50,000 fine if they do not register.

Glasgow Council leader Gordon Matheson said: “The time for excuses from those landlords who have shown no regard for their legal responsibilities is running out. Landlords have known for years that they have a duty to ensure they are properly registered.

“It is completely unacceptable that so many have chosen to evade the law.

“Extensive work has been going on to develop a clear picture of which rented properties do not have a registered landlord listed against them. If landlords do not respond to this call, action will be taken.”
 
Landlords have been required to register since 2004 and, from  August 31 this year, the maximum fine for failure to register went up from £5,000 to £50,000.

The council said that when a landlord applies to register, it gives the opportunity to assess whether they are a “fit and proper” person to rent out property.

There are 25,000 registered landlords in Glasgow.

John Blackwood, director of the Scottish Association of Landlords, said: “Failure to register as a landlord can put a question mark against a landlord who is, in every other way, above board.

“It is an offence not to register, and so people are also putting themselves at risk of receiving a substantial fine.

“We welcome the council’s initiative to improve standards in private rented housing.”