Private landlords in Birmingham are being warned to urgently apply for the appropriate property licence or risk fines of up to £30,000 per unlicensed property.
Birmingham City Council is ramping up inspections of properties it suspects may be operating without the required licence. Enforcement efforts have already resulted in £450,000 in fines issued to non-compliant landlords.
Since June 2023, landlords in Birmingham have been required to acquire a license under the local authority’s property licensing programmes.
Landlords who do not hold a licence can be fined and may also have to pay back rent to tenants through Rent Repayment Orders. These orders let tenants in unlicensed homes get back up to 12 months of rent from their landlords. This will go up to 24 months when the Renter Reform Bill becomes law.
Tenants are also protected from so-called no-fault evictions, as landlords without the correct licence cannot serve valid Section 21 notices.
Birmingham City Council also encourages tenants to check the licensing status of their rented property using the council’s public register.
The council’s licensing programme includes Selective Licensing in 25 areas, Additional Licensing for smaller shared houses with three to four people or different families, and Section 257 HMO licensing across the city. These new rules build on the HMO licensing that has been required since 2006. Landlords can visit the council website to apply for the relevant property license.
More than 12,000 inspections have been carried out, and 40,000 landlords have been licensed under the scheme.
Cllr Nicky Brennan, cabinet member for Housing and Homelessness, said: “The rules have been made clear, and it is the responsibility of landlords to take immediate action to avoid facing penalties.
“I am pleased to say that the new licensing schemes have raised the bar for private rental housing in Birmingham, and in some cases have even proven to be life-saving.
“Currently, around one in four of our compliance inspections have required landlords to take action to improve conditions for their tenants.
“This translates to real-life issues such as dozens of properties needing urgent repairs to fix leaky roofs, mouldy bedrooms, and the absence of essential safety features like smoke detectors and carbon monoxide alarms. These improvements are crucial for ensuring tenant safety and comfort.
“By enforcing stricter regulations, the council is creating a safer and more secure rental market for all residents.”
Read the orginal article: https://propertyindustryeye.com/council-cracks-down-on-unlicensed-rentals-with-450k-in-fines-so-far/