0:05 AM, 2nd January 2024, About 8 months ago 14
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A landlord who provides homes to hundreds of homeless benefit tenants says council licensing schemes are making rents rocket and forcing people onto the streets.
Mick Roberts, Nottingham’s biggest private provider for this group, told the Nottingham Post that he has decades of experience in the sector but blames Nottingham City Council’s licensing schemes for the rising rents.
He says the fees charged to landlords by the council make them hike up rents at their properties to avoid losing money.
This causes more tenants to struggle, especially amid the cost-of-living crisis and the schemes are driving good landlords away.
His comments come after homeless charity Shelter revealed recently that Nottingham has the highest rate of homelessness in the country.
Mr Roberts says the license fees make many landlords sell their properties, reducing the supply of homes for rent in the city.
He explains: “This really affects the vulnerable low-earning tenants that couldn’t afford anywhere as it was.
“It’s supposed to be making houses better for tenants, but it’s definitely making houses more expensive for tenants.
“They just make their own rules up without asking the people affected.”
He adds: “They (the council) are blinded by a few bad landlords they have seen. They think all tenants can’t stand landlords.”
In Nottingham, renting a property has risen by 20%, with the average rent now £970 a month and data from the Office for National Statistics shows rent costs in England are up 6.1% nationally, the highest rise since records began in 2006.
Mr Roberts warns this could make more people homeless or force them to relocate, as they can’t find or afford properties to rent.
Nottingham’s council runs three different licensing schemes for landlords: Mandatory Licensing, Additional Licensing and Selective Licensing.
The second Selective Licensing scheme started on Friday 1 December, and requires most privately rented properties to be licensed.
Mr Roberts says each property will need a license, which costs him around £890, and he said: “If the last licensing scheme was so successful then why do we need a new one, or if the last scheme that rubbish, then why are they bringing a new one in?”
He says the licensing schemes make him and others raise their prices and ‘tenants cannot move anymore whatsoever with interest rates and everything else’.
He adds: “We did not need this, the tenants did not need this.”
Mr Roberts told the newspaper that many landlords are selling properties because of the hassle of licensing fees and extra costs.
He said: “That’s what licensing does, it makes them pack it up and then vulnerable tenants have to pay more.”
A Nottingham City Council spokesperson told the Nottingham Post: “Selective licensing schemes are based on national guidelines and operate all over the country, including a number of major cities like Nottingham.
“They exist precisely to empower tenants and demand the highest living and safety standards of landlords. The council introduced Selective Licensing in August 2018 to give tenants in more than 30,000 privately rented homes across the city better-quality accommodation and greater protection from bad landlords.
“It also allows landlords to demonstrate that they provide good accommodation for renters, while tenants know what is expected of their landlord in terms of maintenance, safety and management of their home. Where problems arise, it means we can take swift action to ensure landlords address them or, in the worst cases, prosecute and remove their right to hold a licence.”
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TheBiggerPicture
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Sign Up11:11 AM, 2nd January 2024, About 7 months ago
“If the last licensing scheme was so successful then why do we need a new one, or if the last scheme that rubbish, then why are they bringing a new one in?”
It would be great t someone attempt to answer that!
Reluctant Landlord
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Sign Up11:13 AM, 2nd January 2024, About 7 months ago
no answer required. Councils want the cash. End of 'reason'.
Mick Roberts
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Sign Up12:15 PM, 2nd January 2024, About 7 months ago
Nottingham Council said based on National guidelines. And lot of Councils copied Nottingham's License conditions & consequently their homeless rises too.
Empower tenants? Tenants are petrified. They daren't ask for anything any more as they've all seen their mates Landlords sell cause of Selective Licensing & they've been in ONE hotel room for a year.
My houses have got worse since Licensing as Council has had the refurb money for their License fee.
Only today, we have this:
https://www.nottinghampost.com/news/nottingham-news/almost-staggering-1-5-nottingham-9002888
The city council said it had increased temporary accommodation for families from 88 units in 2017 to 441 units by November 2023. As of late 2023 it also provided 430 units of supported accommodation for single homeless people, including rough sleepers.
Can someone please remind the Council they introduced Selective Licensing in 2018 & a second new scheme in Dec 2023. You ain't got to be Einstein have you to see the link.
rebecca anelay
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Sign Up13:15 PM, 2nd January 2024, About 7 months ago
Thanks Mick. Just sold my house near City Hospital because I'm NOT paying into the new sheme. Fortunately my tenants have bought...in Chesterfield, but there's one less, fantastic 2 bed at a low rent , house available for Notts people....Wake up people and complain to Notts City Idiots!!!
BillyC
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Sign Up14:06 PM, 2nd January 2024, About 7 months ago
The schemes intent was clearly to target problem areas and improve standards for the most vulnerable. Some cities did implement it with the original intent in mind and restricted it to problem areas and HMO.
However most have seen it as a money spinner and applied it blindly and universally. The idea of charging and regulating luxury apartments with gym and swimming pool is comical. The tenants have means and the option to move if they are being abused by the nasty and greedy landlord.
R Leavesley
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Sign Up16:04 PM, 2nd January 2024, About 7 months ago
I’m glad that the LA greed caused from creating Selective Licensing is now backfiring on them.I pay these fees in 3 counties and it’s nothing to do with upholding housing standards as LA has never visited a property that I own!All they request are certificates yearly.
The Governments reduction in taper relief along with endless regulations and now interest rates increasing means that the majority of Landlords have had enough of being the kicking boy and quite rightly leaving the sector.Been in the industry over 30 years and unless things change within 18 months I’m out also.
Peter Lassman
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Sign Up21:35 PM, 2nd January 2024, About 7 months ago
All these Schemes do is raise money for councils and allow them to Employ more peolme, they say it’s too protect Tenants from Bad or Rogue Landlords when will they Add to protect LANDLORDS from Bad or Rogue Tenants!!
Mick Roberts
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Sign Up16:03 PM, 3rd January 2024, About 7 months ago
Reply to the comment left by rebecca anelay at 02/01/2024 - 13:15
Yes, they push us one/two steps too far don't they. Wrecking it for tenants.
Mick Roberts
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Sign Up16:04 PM, 3rd January 2024, About 7 months ago
Reply to the comment left by Balbir Chahal at 02/01/2024 - 14:06
Yes, it is & should make it better for tenants, but what we've found is, they did/will find SOME bad houses, but far too expensive consequences for the majority of tenants who didn't have a problem & were paying cheap rent. The Council ignored them-They din't know about em as these tenants don''t moan.
Mick Roberts
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Sign Up16:04 PM, 3rd January 2024, About 7 months ago
Reply to the comment left by R Leavesley at 02/01/2024 - 16:04
Yes, again the Council don't come & ask us what other attacks we've had since 2015 & many of us have only kept the houses for the current tenants & waiting for them to go, so we can sell. Licensing arrives & pushes us that last step to sell.