Agenda item

Report of Corporate Director of Development and Growth and Corporate Director of Commercial and Operations

David Hobbs, Operations Manager for Housing of Multiple Occupancy Team , gave a presentation and introduced a report on the Proposal for a Scheme of Selective Licensing for Privately Rented Houses and highlighted the following points:

(a)  the Council currently runs a mandatory licensing scheme for Houses of Multiple Occupancy (HMO) with three or more storeys or, 5 or more occupiers, and a discretionary scheme of additional licencing which covers HMO’s of 2 storeys or more, or, 3 or more occupiers;

(b)  the Council is currently consulting on a proposal to introduce a citywide selective licensing scheme that will cover all of the Private Rented Sector (PRS), it is thought that this will bring over 40,000 properties into the licensing scheme within Nottingham City. The consultation runs until the end of March and feedback can be given here: http://www.nottinghamcity.gov.uk/consultation-engagement-and-surveys/#housing ;

(c)   this scheme aims to drive up standards of homes, improve living conditions and reduce levels of deprivation for residents and contribute to reducing levels of antisocial and criminal  behaviour by tackling Rogue Landlords and working with landlords and tenants to provide advice and assistance;

(d)  the Arboretum, Dunkirk and Lenton, and Radford and Park wards have a high proportion of PRS properties which fall short of acceptable standards.

Following questions and comments from the committee the following, further points were made:

(e)  the mandatory licensing scheme currently covers about 2,000 properties across Nottingham. The additional licensing scheme covers a further 1,000 properties. The introduction of the selective licensing arrangement would be a huge increase in properties covered by licensing;

(f)  no other council has been successful in introducing a city wide scheme. Most recently, in 2015, Redbridge Council had their application refused by the Secretary of State;

(g)  the selective licensing scheme will act as an additional regulation tool. It will help to improve standards across the city, reduce crime and antisocial behaviour and requires landlords to be proactive in looking after, and maintaining, their properties and keeping records up to date and fit;

(h)  support will be offered to both tenants and landlords to deal with difficult situations. Landlords will be offered more support and advice in dealing with problem tenants and tenants will be offered support and advice to address issue with the property;

(i)  selective licensing fees are restricted by the government and are only allowed to cover the cost of running the licensing scheme. Licences for HMO’s currently stands at £910 per property over 5 years, the fee for the selective licensing scheme has been set at £600 per property over 5 years. Discounts of up to  £140 can be claimed by landlords accredited through DASH or Unipol;

(j)  concerns were raised that this disparity in fee to income ratio could lead to more family homes being converted to HMO’s in an attempt by landlords to maximise profits;

(k)  consultation responses to date have mainly come from landlords. It is essential that residents and tenants also respond to the consultation to give a balanced view;

(l)  views from other, partnership agencies, such as Nottinghamshire Police and Nottinghamshire Fire Service are also being sought. Views would be welcomed from residents and tenants associations but individual responses would be more representative;

(m)consultation is due to come to an end in March 2017;

(n)  the scheme of selective licensing covers the private rented sector. It does not cover social housing.

RESOLVED to thanks David Hobbs for his attendance and to note the content of his report.