Landlord licensing schemes: why they matter and why it's worth considering using a qualified agent
There are varied views on Local Authority Licensing Schemes, which range from their impact of improving property conditions for tenants to a belief that councils are ‘cashing in’ by charging landlords for licensing.
One recent report from Peterborough suggests there have been some big improvements which have been attributed to their recent Selective Licensing scheme, launched in March 2024 by their City Council, in partnership with delivery partner Home Safe.
According to the scheme, in the first year, “7,000 licence applications were received and processed, with more than 6,476 licences issued by the council following thorough checks of safety certificates and application data to ensure compliance.”
What appears to be good about this scheme is that “each licensed property is scheduled for two inspections over the five-year licence period to help identify and address issues early.”
Case study: Peterborough selective licensing scheme success
Peterborough City Council report that 1,500 properties were inspected in the first year, and 6,500 safety hazards were identified, of which 49% had at least one serious issue which was considered to be a ‘significant risk’ to tenant safety. These included:
- Damp and mould
- Unsecured plaster
- Faulty electrics
- Poor ventilation
- Inadequate window glazing or fittings
It appears they have tried to be proactive, with Home Safe giving landlords a report which explains the problems and the steps to address them. They even offer automated reminders to help with key safety certificates.
The other good news is that according to the report, “In the majority of cases, landlords have completed the required works promptly in line with the compliance process.” Councillor Alison Jones, Peterborough City Council’s Cabinet Member for Housing and Communities, even praised landlords: “I would like to thank those landlords who have joined the scheme and are working with our officers to improve standards.”
Why consider using an agent when it comes to licensing
With selective and Houses in Multiple Occupation (HMO) licensing expanding across the UK, landlords face increasing compliance demands. Falling short can mean fines running into tens of thousands of pounds, legal action, or even a ban from letting properties.
A qualified letting agent helps protect landlords by:
- Keeping up to date with local licensing rules and deadlines
- Monitoring a property's condition against the Housing Health and Safety Rating System (HHSRS)
- Ensuring compliance with the Fire Safety (England) Regulations 2022 and building safety standards
- Managing Renters’ Rights Bill checks, tenancy agreements, and legal updates
- Providing ongoing inspections and reporting to avoid penalties
Top 5 HMO compliance checks for landlords
If you own or manage an HMO, make sure you can answer “yes” to these five essential checks:
- Does the property need a licence? Check with your local authority.
- Have you (or your agent) assessed the 29 HHSRS hazards for potential risks?
- Does the property meet fire and building safety standards, including the Fire Safety (England) Regulations 2022?
- Have all tenants passed Renters’ Rights checks and been properly added to the tenancy agreement? Are your tenants aware they need to advise you (or your agent) of a change in tenant?
- Are there additional HMO licence conditions specific to your local authority?
Next Step for Landlords: If you want a free lettings review to ensure your HMO meets the latest standards and avoid hefty fines ahead of the Renters’ Rights Bill, contact our lettings experts today.
The Reeds Rains Content Marketing Team
