Selective Licensing Campaign

Selective Licensing designated area in Sheffield

What is Selective Licensing?

Selective licensing is a regulatory tool provided by s.80 of the Housing Act 2004 it allows local authorities to designate areas which have either significant anti-social behaviour (ASB) and/or low housing demand.

Why should i be worried?

Some high street lenders are refusing to lend on properties in designated areas, this will reduce finance options for buy-to-let landlords.
A few areas have implemented it and others are beginning to, it could be coming to your borough very soon, most landlords didnt even know it was happening such is the low key publicity to the schemes. Landlords we have spoken to have already taken a caution and been fined for late registration, ignorance is no defence!
There is a cost (naturally), licensing fees range from £500 - £800 per property some areas have an early bird discount, but being late in obtaining a license can result in criminal proceedings being made against you.
Selective licensing (amongst other things) places statutory requirements on private landlords to deal with anti social behaviour caused by their tenants. It is expected that landlords will undertake risk assessments and implement an ASB plan, at their own cost, to deal with the risks identified. Fines for failure are up to £20,000 and can include custodial sentences and a criminal record.
ASB if you didn't know ranges from arson, prostitution, domestic violence to dropping litter & barking dogs - are you as a private landlord really able to tackle & prevent serious criminal issues? Failure to tackle these issues will mean you are in breach of your licensing conditions and can result in a fine or criminal record .
Councils can impose different terms for each scheme they operate, in theory there is no limit to the number of conditions they can impose in any given scheme. Councils are free to modify the conditions at anytime without further consultation. One council is for example, banning trade vehicles from private tenanted property, this means if your tenant drives a van to work you will have to give them notice or face a fine for renting to them. This condition extends to the personal visitors (friends & family) a tenant might have who also happen to drive trade vehicles. Another council has a condtion that all equipment manuals (e.g. boiler, shower,fridge, hob etc) are transcribed into the spoken (1st) language of the tenant - this will be done at your cost of course, again failure to do so results in a fine. Councils also want proof that you have £1000.00 on deposit for each property you own, again failure to do so means a fine.

This is an example of what you'd be expected to do prior to renting out a property in Blackpool.

A reference is obtained from the previous landlord, where a previous tenancy has been held. This reference is verified by contacting the landlord in all cases.

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Where no previous tenancy has been held, prospective tenants will be required to supply details of any previous addresses they have lived at in the last twelve months.

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Proof of identity. Two forms of proof are required, one of which must relate to the tenant’s previous address e.g. a utility bill, picture driving licence, official letter etc.

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A review of open source information is undertaken (internet) to include, but not limited to, Google and social networking sites.

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A personal interview is undertaken to cover tenants financial/employment status and any

issues likely to impact on their tenancy e.g. Drug/alcohol dependency or criminal convictions/ history.

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Where the above checks raise concerns, the landlord may request the tenant to supply a disclosure and barring check.

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Where prospective tenants refuse to cooperate in the pre-tenancy process then no tenancy will be offered.

If you're not worried about having to Google search your tenants and check the kind of vehicle they drive or sit outside the property on a Friday night to see if they're making any noise then you can stop reading.....likewise if you're not concerned that flawed consultations and inadequate evidence have been rubber stamped by council committees to push through licensing then just  stop reading.........if you are then read on!

So what can i do about it?

Stand up and be counted! - this campaign aims to present the issues in front of the Dept of Communities and Local Government select committee by the Autumn of 2014 We are looking for private landlords and interested parties to join in with lobbying and evidence gathering. We want to hear your experiences of the schemes and your thoughts, it is high time licensing schemes along with unworkable conditions were put under the spotlight by government - lets pull together to stop the spread of unaccountable and unworkable selective licensing schemes.
We further propose to get legal opinion on the issues surrounding landlords fulfilling their new licensing duties and the tenants right to quiet peaceful enjoyment of the rented property without being investigated and or having reports compiled by their landlords for the council.
To get involved and recieve the Selective Licensing Campaign newsletter please use the following feedback form - we shall be in touch. Note all info & details sent will be treated in the utmost confidence and will not be shared with third parties.

Contact the Campaign here

notes: The campaign is headed by a group of landlords who, for fear of being singled out by their local authorities wish to remain nameless. Twinpier Publishing Ltd - advise private landlords and business clients who are concerned by the effect selective licensing has on their business - the campaign spokesperson is Chris Wright who can be contacted here.