New research has revealed that a third of councils are considering introducing compulsory licensing for landlords in their area.
The findings from the Local Government Information Unit (LGiU) and the Electrical Safety Council (ESC) said that councils were interested in a number of difference forms of engagement, including training and licensing, in order to reduce health and safety risks and protect tenants from unscrupulous landlords.
Councils are starting to engage more actively with the private rented sector due its sheer scale of growth in Englandand Wales– 88% between 2001 and 2011.
According to the report, factors such as the ability to discharge the homelessness duty through private sector accommodation, new energy efficiency responsibilities in the energy bill, and changes to the single room rate are all “conspiring to increase the significance of the sector for local authorities.”
The findings from the LGiU and ESC come in the wake of a pioneering compulsory landlord licensing scheme introduced by Newham Council in January 2013, covering around 40,000 private tenancies.
Responding to the report, Sir Robin Wales, Newham mayor, said: “We welcome these findings, which strongly support Newham’s pioneering private property licensing scheme. Our scheme shows that Newham is leading the country when it comes to tackling bad landlords who flout the law.
“We want to ensure that private sector rented properties are well managed and meet a good standard. There are good landlords in Newham and we want to work with them. Unfortunately there are also some unscrupulous ones – which our licensing system is robustly tackling.”
Lauren Lucas, policy manager at the LGiU, said: “It is positive to see local authorities taking a more active interest in their private rented sector.
“The approach taken in different areas of the country will necessarily differ, depending on the local balance of housing stock and specific needs of the community.
“However, with more and more people turning to the private rented sector to meet their housing needs, it seems inevitable that this will become an increasing concern for many more local authorities in future.”