A rising variety of native authorities are adopting Selective Licensing schemes as a part of wider regulatory measures imposed on non-public landlords. However Nathan Emerson, CEO of Propertymark, argues that the growing reliance on licensing is just not the best approach to increase native housing inventory within the non-public rented sector.
Beneath Selective Licensing, landlords in designated areas should acquire a licence earlier than they will legally set free a property. Whereas councils say the schemes assist enhance requirements and sort out poor administration practices, Emerson believes the strategy could be resource-heavy and will inadvertently cut back rental provide.
He says native authorities can be higher served by constructing stronger, cooperative relationships with letting brokers and landlords, reasonably than imposing extra licensing necessities. In response to Emerson, nearer collaboration would encourage funding, help compliance, and in the end assist enhance the provision of properties within the non-public rented sector.
Emerson’s feedback come amid rising debate about how councils can steadiness tenant safety with the pressing have to strengthen housing provide.
He mentioned: “We consider that licensing is just not the perfect technique when trying to enhance housing inventory inside the non-public rented sector. As a substitute of this, authorities ought to undertake a collaborative strategy, constructing higher relationships with letting brokers, landlords, skilled our bodies, and public providers to sort out points inside the sector.
“Nevertheless, Selective Licensing is changing into more and more widespread, and landlords should keep forward of their tasks. Failure to conform can have severe penalties, however with the suitable steerage and the help of knowledgeable, regulated letting agent, landlords can navigate the method easily and confidently.”
Many letting brokers now supply selective licensing as a further service, however Emerson believes that landlords ought to guarantee:
+ The agent is Propertymark Protected and controlled. You’ll be able to examine if an agent is regulated with Propertymark.
+ The service contains full preparation and submission of the licence software.
+ The agent will handle ongoing compliance, not simply the preliminary software.
+ Any extra prices are clear and formally agreed.
+ You stay conscious that as the owner, you might be in the end accountable, even when an agent submits the applying in your behalf.
“Propertymark encourages all landlords to undertake due diligence and search certified recommendation each time licensing schemes are launched or up to date of their space,” he added.
