From April 6th Landlords could be fined £30,000 without a court prosecution

From April 6th Landlords could be fined £30,000 without a court prosecution

8:58 AM, 21st March 2017, About 7 years ago 30

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Two Changes under the Housing and Planning act will come into force from April 6th with the widening of Rent Repayment Orders and new Fixed Penalty notices.

The concern is landlords could be fined £30,000 without a court prosecution, be made to repay rent without a prosecution, but still have to wait to evict while tenants may be in arrears or causing damage to the property.

Rent Repayment orders:

These can now be applied for under a more streamlined process for the following reasons

  • Failure to apply for a HMO licence
  • Breach of a local authority licence condition
  • Use of unlawful force to evict a tenant
  • Noncompliance of HMO management regulation
  • Breach of an HHSRS enforcement notice

Rent Repayment Orders are produced by the First Tier Tribunal on the application of a local authority or tenant against a landlord.

The Tribunal must have clear evidence that a landlord that one of the above conditions has occurred, but a landlord does not have to be prosecuted through the courts. Therefore, a local authority or tenant can request a Rent Repayment Order even though a landlord has not been prosecuted for any offence.

Fixed Penalties:

This gives Local authorities the power to apply fines of up to £30,000 for any offence under the Housing Act 2004 or one of the above without the need to prosecute.

A Landlord could be fined up to £30,000 for each offence if there are multiple, but they cannot all be for the maximum amount.

Landlords will have 28 days to appeal the fixed penalty which the Local authority will have to consider and then issue a final decision notice. Following this final decision notice landlords will then have a further 28 days to appeal to the first tier tribunal.


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Comments

TheMaluka

12:12 PM, 21st March 2017, About 7 years ago

Does this not contravene Human Rights? Surely we have the right to be tried in a court before any fines can be imposed? Magna Carta gives us the right to be tried before a jury - I understand its about the only part of the original document that has not been repealed.

Dr Rosalind Beck

12:44 PM, 21st March 2017, About 7 years ago

I would think that we need to keep a good eye out now to see if anyone gets an unfair penalty charge imposed. We might all then like to club together for a legal challenge.

In terms of how stupid they can be at the council, I remember an environmental officer saying that landlords like us could afford to do all the things that he was suggesting because we were raking in a thousand pounds a month. He didn't know (as he didn't ask) that our mortgage payments at the time were £900 a month. Ignorant and with power over you - fascism in other words.

Jamie M

14:19 PM, 21st March 2017, About 7 years ago

Exactly Mike we need a revolution

This is contrary to The Magna Carta and is daily appearing to be an orchestrated attack on a section of society who won't be dumbed down by the leftist liberals who tell everyone what to think say and do or else they are nasty racists. 1984 is alive and well and we have lost a conservative government, now Liberal weaklings afraid to have an opinion outside the bullies defined rhetoric. You can't have people thinking for themselves, goodness knows what they will come up with.

My MP thinks it's not such a big deal and wont meet me re this? REALLY! She's not about to be bankrupted by the state!
Where do we go from here as we seem to be getting nowhere?

What happened to Cherie Blair saying she was fighting this? (sounds like part of the problem to me)

Whilst some are incorporating so very many can't and will have to sell or lose everything trying to sell in the firesale that will ensue, crash won't be the half of it

I'm meeting Paul Nuttal UKIP Thursday so will see what he says is possible

Sharon Trotter

14:29 PM, 21st March 2017, About 7 years ago

So what happens when all the landlords (many of whom probably invested in property because of failed pension plans) pull out of the private rental sector because the legal system is stacked against them? An even greater shortage of housing supplies and further down the line, more 'retirees' applying for state benefits because they have no/v small pensions to draw upon.
I am discovering the costs of maintaining, management costs, legal compliance /regulations etc are starting to outweigh the financial benefit.

TheMaluka

14:47 PM, 21st March 2017, About 7 years ago

Reply to the comment left by "Sharon Trotter" at "21/03/2017 - 14:29":

The big corporate donors to the Tory party will take over - or am I being cynical?

Appalled Landlord

16:25 PM, 21st March 2017, About 7 years ago

Reply to the comment left by "Jamie Moodie" at "21/03/2017 - 14:19":

Hi Jamie

Judging by their slot at 19.55 on Channel 4 last night about the housing shortage, UKIP are aiming at Labour voters.

Tim Aker MEP said “We in UKIP believe that we should stop the bedroom tax and defend life-time council tenancies, under threat from this government”.

Raymond Finch MEP said “Many people are living in poor quality privately rented accommodation. A survey by Shelter, the housing charity, found that 43% of all private tenants in the UK reported poor housing conditions in the previous year.”

It might be a good idea to point out to Mr Nuttall that Shelter does not provide accommodation for a solitary person, and its surveys are skewed because its clientele comprises tenants who are dis-satisfied.

A more reliable survey, the DCLG’s English Housing Survey, states on page 76: “Most private renters (82%) were satisfied with their accommodation.” https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/461439/EHS_Households_2013-14.pdf

The DCLG’s later surveys do not report on satisfaction with accommodation.

This is similar to the previous year’s survey, included on page 41 of Dr Beck’s report: https://media.property118.com/wp-content/uploads/2016/10/6G0YKMd1Wf.pdf

"According to the 2012-13 English Housing Survey ‘Households Report’ the amount of PRS tenants satisfied with their lodgings has grown by 1% as 84% of PRS tenants now say they are either very or fairly satisfied with their homes."

Like the Labour Party and the NonConservatives and Generation Rent and the Intergenerational Foundation and London renters in the Treasury and in the media, UKIP may not be concerned if we go bankrupt. UKIP may be concerned, however, if you point out the inevitable rise in homelessness that has already started due to Section 24, as described on page 42 of the report.

It might be a good idea to send Mr Nuttall the link to the report in advance of your meeting and refer him to pages 41 and 42. And point out that nearly half a million natural supporters of the Tories have been stabbed in the back by Osborne’s breach of his manifesto promise, and so are looking for a party that will in fact support us.

Good luck!

Luke P

16:29 PM, 21st March 2017, About 7 years ago

@Jamie,

Appalled Landlord's last comment, particularly the last paragraph, is pretty much what Guy was trying to articulate on the phone with you earlier.

P.S. I have sent you and email.

MoodyMolls

17:33 PM, 21st March 2017, About 7 years ago

Reply to the comment left by "Jamie Moodie" at "21/03/2017 - 14:19":

Did anybody see UKIP for 5mins on channel 4 last night?

5 Mins on housing they said
scrap bedroom tax
build more social council homes to replace the ones sold via right to buy
Then said something about shelter saying that homes in the private sector were unfit
Then reducing the f aid budget

It did not sound like they were very supportive of landlords they actually sounded more like labour

Jamie M

17:35 PM, 21st March 2017, About 7 years ago

Reply to the comment left by "Appalled Landlord" at "21/03/2017 - 16:25":

Ros / Appalled and Luke

Ros's S24 doc sent to Paul with reference to p41-42

will let you know how it goes and what transpires

Jamie

Dr Rosalind Beck

17:38 PM, 21st March 2017, About 7 years ago

The danger is that because they didn't have a policy on the PRS in the General Election, people have assumed that they could be our 'saviours.' In fact, the Conservatives had very little to say about the PRS in their Manifesto as well and look what those b**stards did. Indeed they not only didn't have a policy they also had a policy not to increase income tax for anyone and reneged on it with Section 24. I think it will be very interesting to try and drag out of them their position on this as it is becoming clearer that they do not appear to be our friends at all judging by the scant evidence we have. Currently we do not have one political party we could support without risk to our businesses.

Hi James. Just saw your post as I was writing. Well done for getting the meeting with him and the best of luck with it.

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