Propertymark has taken the unusual step of slamming a council over its plans to introduce a borough-wide additional HMO licensing scheme and an almost borough-wide selective licensing scheme, saying it risks ‘duplicating’ other measures due to be introduced within the Renters’ Rights Bill when it goes live later this year.

The organisation says it also has concerns over Hackney’s ‘broad brush’ approach to licensing and high costs – £925 compared to the £500 per property charged during a pilot scheme – which it claims will be passed on to tenants as higher rents.

“Propertymark has advised Hackney Council to lower fees in line with comparable boroughs, offer discounts for landlords using Propertymark-member agents (as has been done successfully in Liverpool and Merton), and extend discounts to properties managed to high energy efficiency standards,” it says.

But Propertymark is most worried about duplication, which will be created by the council’s new selective and HMO schemes which will feature many requirements mirrored by the looming database of landlords and their properties to be introduced by the Renters’ Rights Bill.

Paperwork

Because Hackney is the latest council to bring in licensing for almost all its landlords – except for selective licensing in four of its more upmarket wards – the council will therefore be asking landlords and letting agents to fill in paperwork twice about their properties.

This includes once for the national database and then again for the council’s licensing schemes both of which will need to be overseen and enforced by the council.

“Since landlord licensing was first introduced in 2006, we have regularly responded to consultations objecting to the introduction of new schemes because we strongly disagree that licensing is the best method to improve housing stock within the PRS,” says Propertymark.

“Instead, we advocate a regulatory framework that focuses on education, proportionate enforcement, and effective targeting of problem areas.”