This month sees the rollout of selective licensing across Oxford. The designation, which is already in force in a number of local authority areas across the country, applies to all privately rented residential property within the council’s jurisdiction, except where licensing is already in place.
In Oxford, the impact is notable, as 49.3 per cent of the city’s housing stock is privately rented. Previously only shared houses in multiple occupation (HMOs) required a licence to operate. However, HMOs account for less than 15 per cent of privately rented homes in Oxford, and from now on selective licensing will apply to most of the sector – some 26,108 homes – with only certain exemptions.
What is selective licensing?
Under the Housing Act of 2004, local authorities have the power to apply for selective licensing of privately rented homes to address problems in areas that are experiencing issues such as low housing demand, persistent antisocial behaviour and/or crime, poor housing conditions, increased migration and/or high levels of deprivation.
Usually the owner of the property or their managing agent holds the licence, its purpose being to demonstrate they are a ‘fit and proper’ person to be a landlord and that the property is safe and well managed.
What are the requirements?
There are no national minimum licence standards under the scheme, however a number of existing legal requirements apply:
- Gas, electrical and EPC certificates
- Working smoke and carbon monoxide alarms as required by the Smoke and Carbon Monoxide Alarm (England) Regulations 2015
- Any furnishings supplied as part of the tenancy must be compliant with the Furnishings and Fire Safety Regulations
- Properties must be free from Category One hazards under the Housing Act 2004 Housing Health and Safety Rating System (HHSRS). There are 29 categories to comply with covering issues including damp and mould growth, excessive cold and/or heat, water supply and accidents, such as falls on stairs or steps.
The council will not necessarily inspect properties before issuing the licence. The property will be prioritised for inspection based on risk, therefore properties managed by accredited property owners/agents will have a lower priority. For accredited agents with large portfolios, a number of properties will be inspected and audited each year.
Which properties are exempt?
Some exemptions apply, which currently include properties that are let on a short-term basis as holiday lets, business premises, student premises, where the university is the landlord, and where tenancies are occupied by a member of the landlord’s family. However, it is important to check with the relevant authority as to the stipulations within that area.
What to do now
Oxford landlords should apply for a selective licence now. As part of the process it is important to quantify how many and which properties need a licence, noting any exemptions, ensuring all documentation is in place, reviewing the HHSRS list of hazards, checking any accreditations, as well as informing property owners, and agreeing who will hold the licence.
While selective licensing applies in only certain local authorities, it is essential landlords everywhere are up to date with the health and safety regulations that govern the sector. If in doubt seek advice.
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