Landlords object to city’s new licensing schemes

Bristol City Council’s new licensing schemes for rented homes have sparked a backlash from landlords who claim they are unfair and costly, Bristol Live reports.

The council says the schemes, which were approved last week, aim to improve living standards for renters by ensuring that homes meet certain criteria and are well-managed.

The schemes will apply to houses in multiple occupation (HMOs) across the city, as well as other privately rented homes in four wards with a high proportion of rented homes.

The fees range from £912 to £1,800, depending on the type of property and the availability of discounts, with the money being used for the council’s inspection and enforcement activities.

Lower housing supply and reduced affordability for tenants

However, many landlords have objected to the schemes, saying they will impose extra costs on them, which could lead to higher rents, lower housing supply and reduced affordability for tenants.

They also argue that the schemes are unnecessary and ineffective, as they will penalise compliant landlords while failing to catch rogue ones.

Some of the comments made by landlords during a public consultation on the schemes were revealed to councillors.

Landlord responses included ‘a waste of time’, ‘completely anti-landlord’ and ‘bureaucratic overkill.

The fee proposed by the council was disproportionate

The council report also included a submission from Safeagent which said the fee proposed by the council was disproportionate to the cost of implementing the scheme.

It said: “Bristol City Council’s figures suggest there are some 6,005 privately rented properties in the wards of Bishopston, Ashley Down, Cotham and Easton.

“The projected cost of implementation of the selective licensing scheme is quoted as £3.5 million.

“The fee being proposed, £912, would generate a revenue of £5.48 million.”

Safeagent adds: “Given that the local authority is not permitted to make a profit from any licensing scheme, the fee seems disproportionate to the cost, even allowing for the discounts that are available.

“There is a danger here that BCC will be perceived to be penalising good, conscientious and compliant landlords by imposing high licence fees on them, in order to subsidise the local authority in funding its obligations to enforce standards.”

‘Few local authorities have attended any of our properties to complete inspections’

Councillors also heard a submission from the large corporate landlord Grainger which said: “Grainger is subject to numerous licensing schemes across different boroughs, however, very few local authorities have attended any of our properties to complete inspections and check documents.

“In most situations there have been no formal checks and little work undertaken to ensure properties are of a suitable standard.

“With licensing schemes now costing Grainger in excess of £1 million, the additional cost of licensing is not insignificant and, with additional pressures on construction costs and finance rates, has the ability to have a major impact on project viability and housing delivery.”

The firm adds: “This will likely lead to an increase in viability challenges to Section 106 and affordable housing contributions, as well as forcing many landlords to increase the rents charged to their customers.”

‘Commitment to expand landlord licensing schemes’

Bristol Live reports that during the cabinet meeting, Labour Councillor Kye Dudd, cabinet member for housing services and energy, said: “We’re delivering on our manifesto commitment to expand landlord licensing schemes in the city.

“You might hear the landlord lobby complaining that this is just a tax and we’re trying to raise revenue, or whatever.

“But actually, it has driven up revenue. We’ve got people going out inspecting properties, and it’s worked.”

Apparently, Coun Dudd was corrected by deputy mayor Craig Cheney, who asked if he meant to say, ‘driven up standards’, instead of revenue. Coun Dudd said he had.

Share This Article