Agenda item

At the meeting of Full Council on 25 February 2020 a motion was received from the Liberal Democrat Group in accordance with Council procedure 14.1 and 14.2 which stated: -

“The Council is asked to support a request for officers to explore what options might exist for introducing further controls on the definition, number and quality of homes in Multiple Occupation and prepare appropriate reports for the relevant decision body of the Council”.

The report provides information and looks at the options to introduce an additional licensing scheme for houses in multiple occupation or a selective licensing scheme for the private rented sector as a means of addressing the quality of houses in multiple occupation. The advantages and disadvantages of these schemes are explored within the report and recommendations are made in relation to the most appropriate course of action.

          The Group Head of Technical Services advised Members of the Working Group that the report presented to them was as a result of a motion that was approved at the Full Council Meeting on 25 February 2020 that requested Officers to explore what options existed to introduce further controls on the number and quality of Houses in Multiple Occupation (HMOs). He advised that the report set out options to introduce an additional licensing scheme for houses in multiple occupation or a selective licensing scheme for the private rented sector as a means of addressing the quality of houses in multiple occupation. A separate report is being taken to Development Control Committee in relation to the potential controls for managing the quantity of HMOs. The Principal Environmental Officer then drew members attention to the following points contained within the report:

·       Currently operate a mandatory Licensing scheme that is shared nationally across England that currently works with the criteria of:

o   5 or more people sharing facilities

o   ensuring the licence holder is a fit and proper person

o   property inspected to ensure it meets minimum standards

o   the licence is up to maximum of 5 years at a time

·       Additional Licensing schemes could be brought in where a local authority is aware that there are significant problems. The authority would need to expand the description of HMO’s to be broader. The regime would be similar, and the advantages are outlined within the report it would enable us to inspect properties ensuring that they are brough up to standard and puts the onus on the landlord.

·       If we were to take this route there would be a 10-week consultation period

·       Selective licensing scheme would apply to the entire private rented sector not just HMOs and applies to areas with significant issues such as migration, high levels of deprivation or an increase in crime rates, these issues would need to be evidenced in these areas in order to introduce this option. If such a scheme was to apply to the entire district, then it would require approval from the secretary of state. The Selective licensing scheme does have a larger scope.

The Group head then reminded Members that funding was required to research, if there was sufficient evidence of the criteria being met for either an Additional Licensing or Selective Licensing.

The Chairman then invited questions from Members of the Working Group a summary of the points raised is detailed below:

·       Why had there not been more frequent inspections since 2012? It was explained that since 2012 proactive inspections of the private rented sector had only taken place in licensed HMOs, though other inspections had been undertaken where problems had been brought to the attention of the Council.

·       Are there other seaside towns we could share best practices with? It was confirmed that Arun had been in contact with Brighton and Hove Council and could link up with them to learn more about their best practice process, however it was also highlighted that every district was different and while lessons could definitely be learnt the difference between districts would mean a bespoke approach.

·       Were Officers confident that £20,000 would make a difference to the residents of Arun district? It was explained that there was no certainty that the research would conclude that the criteria to introduce either licensing regime had been met. However, if the criteria was met and the Council decided to introduce one of the licensing regimes, there would be significant benefit. The main benefit is that the licensing regime would allow the resourcing of an expanded inspection programme that would identify deficiencies in the quality/standard of housing, enabling the Council to require landlords to rectify.

·       Could the extra cost of overseeing HMO’s be recouped from landlords as they would be making a financial advantage from renting out their properties in this way? It was confirmed that, that would be the intention by bringing in the licensing regime.

·       It was confirmed that there were a several different channels in which complaints regarding anti-social behaviour are received inclusive of work with the Community Team at Arun. It was hoped that from the research carried out it would be able to pinpoint much more clearly the root cause of these issues and the ability to evidence and track these would ultimately help the residents of Arun District. 

·       It was confirmed that the modelling would inform whether either regime criteria would be met and that the Council was not preferencing one over the other at this time.

The Working Group RECOMMED THAT CABINET:

1)    Agree officers continue to research and gather further evidence to help support whether additional HMO licensing (Housing Act 2004, s.56-60) or selective licensing of the private rented sector (Housing Act 2004, s.80-84) is justified. And;

2)    Ask Full Council approves a supplementary estimate of up to £20,000 (which equates to a band D equivalent of £0.32) to commission the services and expertise to undertake the appropriate research and collation of data in order to support whether additional HMO Licensing or selective licensing of the private rented sector is justified.