NRLA win as Telford withdraws licensing scheme

Plans for an introduce additional licensing scheme for smaller HMOs has been withdrawn by Telford and Wrekin Council after we intervened on behalf of members.

Under the proposals existing licensing requirements would be extended to shared houses with three or four occupants – with a fee of more than £1,500 per property.

Our complaint

Having followed the proposals since they were first made public last year, we contacted the council to raise concerns about its failure to properly consult.

After they failed to respond, we instructed lawyers to launch a legal challenge.

Our complaint argued the consultation was so unfair as to be unlawful, and that the council had failed to:

• properly publicise the designation.
• provide key consultation documents.
• answer concerns about the legal basis and justification for additional charges.
• Repeatedly respond to questions when challenged. 

The council first argued against this position, then said it would correct the issues, before, earlier this month,  announcing it had revoked the designation in its entirety.

The challenge was led by our policy team, with senior policy officer Samantha Watkin working with our legal advisers to raise the concerns with the council.

Sending a message

Our chief executive Ben Beadle said the news should send a message to other local authorities – that we will continue to challenge schemes that are not following proper process.

He also asked councils to think about whether schemes are necessary, not least with the introduction of the new landlord database which will require landlords to upload much of the same information as is required by licensing schemes.

He said: “This is a major win for landlords which sends a message to councils across the country: if you do not exercise your powers within the limits of the law, you will be challenged.

“We raised serious concerns about both the process followed and the additional costs landlords would have faced.

“When those concerns were not addressed, we were prepared to challenge the designation through the courts. The council has now revoked it in full.

“Good regulation should protect tenants while supporting responsible landlords.

“At a time when a new national landlord database is being introduced, councils should also think very carefully before imposing additional local schemes which duplicate information and costs without demonstrating clear benefits.

“When established processes aren’t followed, we are ready to take action to ensure landlords are treated fairly.”

More information

• For more information on the new landlord database click here.
• You can also use our free checker tool to find out when you will be affected.