The total value of fines for non-compliance with landlord licensing schemes in London is growing rapidly and is now approaching £900,000 so far this year and £10 million since 2018, according to specialist firm Kamma.

The data, which comes from its report – ‘Red Tape Revolution: The Next Wave of Licensing Enforcement’, indicates that councils are adopting more sophisticated strategies to clamp down on rogue landlords and agents.

Oxford Council’s recent outreach campaign is a prime example. It raises tenants’ awareness of licensing regulations and has already led to a landmark £85,000 payout to a group of students living in unlicensed accommodation.

Outsourcing

And Wolverhampton Council has decided to spend £2.5m on outsourcing their enforcement to private contractors.

The costs of non-compliance will keep rising too with Renter’s Rights Bill increasing the duration of rent repayment orders from 12 months to 24 months, doubling the financial risk for landlords.

Proactive councils have stepped up their efforts to identify and sanction unlicensed properties.”

According to the report, the most efficient councils now inspect upwards of 8,000 properties over the course of a licensing scheme.

Chris Morgan, COO of Kamma, commented: “The steep rise in fines and the introduction of new licensing schemes are clear signals that many councils are replacing box-ticking compliance with an aggressive multi-route approach.

“This year alone, proactive councils have stepped up their efforts to identify and sanction unlicensed properties. As our latest report shows, top-performing councils are inspecting thousands of properties as part of their licensing regimes, setting a high standard for enforcement.”