The Enforcement Lottery: Local authority enforcement 2021-2023

Introduction

The private rented sector (PRS) is a significant component of the housing market in England, representing 4.6 million households (19%). It is subject to heavy regulation, with approximately 170 different laws outlining numerous obligations, much of which is enforced by local authorities.

Despite these advancements, a small percentage of homes pose potential hazards to occupants and require improvements. In such cases, local authorities possess a variety of powers to address unsafe and substandard private rented housing. One of the most prominent tools is the Housing Health and Safety Rating System (HHSRS), which enables local authorities to conduct inspections to identify category 1 or category 2 hazards and compel landlords to take necessary actions upon detection of hazards. Failure to comply can lead to criminal prosecution or the issuance of civil penalties.

However, research conducted by the NRLA revealed that local authorities did not fully utilize the HHSRS system to issue civil penalties or improvement notices. Between April 2018 and March 2021, local authorities conducted an average of 135 HHSRS inspections annually, with a significant portion of inspections being carried out by a small number of authorities. Only a few local authorities were responsible for the majority of inspections and improvement notices issued.
 

Aims and objectives of this paper

The purpose of this paper is to revisit this earlier research and measure how local governments have progressed in using their existing executive powers. In particular, the paper examines whether the use of civil penalties has increased since 2021, or whether the use of this enforcement mechanism is limited to only a few local authorities.

More broadly, this document aims to provide detailed information on local authority compliance. A lack of comprehensive information about the private rented sector can hinder enforcement strategies, but a lack of information about forced labour can also make it difficult to identify good practice and successful work. Unfortunately, there is very little publicly available information on local government enforcement, making it difficult to develop evidence-based policy or assess the success of current enforcement strategies. The lack of consistent data on complaints also raises concerns about sharing best practices. It also prevents accurate reporting of the private rental sector.

Key findings

• Use of all types of enforcement powers remains heavily concentrated in a small number of local authorities. Half of all Housing Health and Safety Rating System (HHSRS) inspections are performed by just 20 local authorities. Similarly, over half of all improvement notices and 60% of civil penalties are issued by just 20 local authorities.
• Between 2021/2022 & 2022/2023, a total of 2,984 civil penalties were issued by local authorities in England for an array of offences to do with the private rented sector. Only 9% of these civil penalties were related to enforcing the Housing Health and Safety Rating System. In comparison, 60% of civil penalties related to licensing offences.
• Councils collected around half the amounts charged in civil penalties. A total of just under £13 million was levied in penalties compared to just over £6 million collected by local authorities. 
• The frequency of HHSRS inspections is not linked to the number of complaints raised by tenants. Many of the local authorities who received the most complaints perform relatively few HHSRS inspections. 
• Poor data keeping remains an issue with 16% of local authorities unable to provide inspection figures and 37% of local authorities unable to provide tenure specific data around complaints.
   

Key recommendations

• The Housing Health and Safety Rating System (HHSRS) is a key component of future mandatory reporting under the Renters (Reform) Bill. Local authorities will need to report on the number and nature of property inspections, actions taken as a result of these inspections, and the outcomes of those actions. In order to improve enforcement of property standards, the government must review the HHSRS to make it easier to address hazards and for responsible landlords to take proactive measures.
• Complaint data by tenure is currently inconsistent and should be standardized and published annually to evaluate local authority enforcement strategies. Best practices in raising property standards should be shared among local authorities, while resources should be allocated to recruit and train more enforcement officers.
• A Chief Environmental Health Officer role should be established to lead recruitment efforts and provide guidance on national policies. Overall, these measures are essential for improving housing conditions across England and ensuring the well-being of renters.
   

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