Labour caves in to activist groups on landlord licensing schemes 

Labour caves in to activist groups on landlord licensing schemes 


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From next week local councils will have the freedom to introduce draconian private rental licensing schemes without even asking the government.

The news – slipped through by the government in an update to guidance issued to local authorities – means councils will no longer even have to ask the Secretary of State for Housing for consent.

The Ministry of Housing, Communities and Local Government says that a “local housing authority must, however, still satisfy all statutory requirements contained in Part 3 of the Housing Act 2004”.

These are that a selective licensing scheme can only be introduced if there are problems with low housing demand or significant and persistent problems with anti-social behaviour linked to the private rented homes in that area.

The guidance also says: “In addition, local authorities will be expected to consult for a period of at least 10 weeks on the proposed designation”.

Where there are local mayors, like for example London Mayor Sadiq Khan, they must be consulted on decision making, and councils must also update the government on the impact of the scheme.

The ministry has also issued a separate statement, saying it wants to: “Give councils stronger tools to improve their housing markets…so local authorities can take more action to tackle specific and persistent issues in private rented sector properties. 

Together, this amounts to a rewiring of local government’s constitutional status, under the presumption that councils have the knowledge and expertise to govern their places.”

The new rules come in from Monday and sweep away regulations in existence since 2015. 

Under the old rules councils needed the consent of the Housing Secretary if a scheme extended over 20% of their footprints, or if the proposed licensing hit over 20% of privately rented homes in the area.

A spokesperson for the pro-tenant Renters Reform Coalition says: “This is good news – we’ve long been calling for the government to make it easier for councils to extend and set up landlord licensing schemes, which are an important line of defence for renters.

“Private renting is different everywhere, so it’s important councils are empowered to tackle local problems and drive up standards. 

“We look forward to seeing more detail about these changes.”

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