Council expands selective licensing scheme under new Labour rules

A new selective licensing scheme for ALL landlords with private rented sector properties in one London borough has been unveiled.

Barking and Dagenham Council will be one of the first authorities to utilise new Labour government rules that remove the need for Secretary of State approval for such schemes.

The scheme will start on April 6th, 2025, and will cover all privately rented homes within the borough.

This follows the change in legislation in the English Devolution White Paper, empowering councils to implement larger licensing schemes without seeking government authorisation.

Secretary of State approval

Previously, the council required Secretary of State approval for schemes encompassing more than 20% of the borough.

However, the new legislation which was unveiled last month grants councils the authority to introduce schemes of any size independently.

This mandate means all landlords in Barking and Dagenham must obtain a license to rent out their properties.

The council claims that will ensure the safety and proper maintenance of rental homes.

Fastest-growing housing tenure

The private rented sector is the fastest-growing housing tenure in Barking and Dagenham, comprising nearly a third of all homes.

While providing essential housing for numerous vulnerable residents and families, the council says that the PRS faces challenges including deprivation, anti-social behaviour and substandard housing conditions.

It adds that these issues have been exacerbated by the ongoing cost-of-living crisis and the lingering impacts of the COVID-19 pandemic.

Previous licensing schemes have brought progress in boosting property standards and addressing poor management practices, the council says.

The council has carried out more than 8,000 property inspections under previous schemes, identifying hazards in more than half of these homes and subsequently taking action to improve conditions.

Licensing is an important tool

Coun Syed Ghani, the cabinet member for enforcement and community safety, said: “Property licensing is an important tool that allows us to ensure landlords in the borough provide good quality homes for their tenants and tackle unscrupulous practices.

“I’m really pleased that the scheme has been approved for the whole borough, and I’m encouraged that so many residents expressed their support during the consultation.”

The council says that landlord properties requiring a license will undergo inspections prior to the license being issued.

Also, the council will discount the licensing fees for landlords demonstrating best practices which will be:

• Silver compliance award: For landlords receiving a satisfactory rating from a compliance audit inspection. Discount – £200 off the Part B fee for scheme running costs
• Gold compliance award: For accredited landlords with a satisfactory rating from a compliance audit inspection. Discount – £250 off the Part B fee for scheme running costs.

The council’s new additional licensing scheme which came into force on 9 January will also require smaller Houses in Multiple Occupation (HMOs) accommodating three or four people, previously outside the scope of mandatory licensing, to also obtain a license.

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