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Selective Licensing Could Open Doors for Quality Landlords

Nottingham City Council’s proposal to introduce a new licensing scheme for landlords in the city has now been formally confirmed, with an implementation date of August 1st 2018. Operations Director Andy Jenkins reacts to the new regulation and points to the potentially positive impact on the private rental sector.

With a booming student population and a thriving community of city-based young professionals, the private rental sector in Nottingham is more active than ever before. However, it hasn’t necessarily followed that standards of privately rented properties have risen with the number of renters on the market. In fact, many tenants in Nottingham are experiencing sub-standard quality, such as faulty boilers, rising damp, mildew and poor insultation.

Nottingham City Council’s reaction to the varied standards of rented accommodation seen throughout the city has been to make a submission to the Secretary of State to approve its ‘Selective Licensing’ scheme, which will require private landlords to obtain a licence demonstrating that they and their properties meet required standards.

The scheme has now been confirmed, with the proposed cost of the licence for landlords who already have accreditation being set at £520 for the five-year scheme. The proposed cost for non-accredited landlords is £780 per property for five years.

As a broker which works for a number of landlords in the private residential sector, we believe this new scheme is a positive. If the landlord is demonstrating excellent standards, the fee actually works out at around £2 a week for the duration of the scheme – and while this is an additional cost, it will no doubt work to raise standards across the sector.

The selective licencing approach is aimed at tightening up potential loopholes exploited by rogue landlords, which can only be a good thing. There is enough insurance provision to ensure that quality landlords are properly protected and are prepared for any potential claims – and having the relevant accreditation and licence will signpost to future tenants that they are a landlord to be trusted.

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