Record year for landlord and agent fines

Rogue landlords and letting agents have been hit with fines that averaged £90,000 per month in 2022 in a sign that council enforcement is on the rise.

The findings from tech firm Kamma reveal that more than 12% of all fines in Greater London were handed out in the last 12 months – that’s an increase of more than £1 million since last December.

The total amount of fines issued in London is £8,157,745.

The most active month for fine activity was in August when landlords and agents were handed fines totalling more than £238,000.

Landlords and agents stand to face fines of up to £30,000 for non-compliance if they fail to comply with safety and licensing regulations.

They may also face additional fines of up to £5,000 per property for non-compliance with MEES regulations.

Private rented sector trends on property licensing

Kamma has published a report that summarises the private rented sector trends on property licensing, enforcement and licensing fines.

The report gives agents an overview of all the latest schemes so they have a good understanding of the current licensing landscape.

It reveals that 52 property licensing schemes and consultations were launched in England and Wales this year – five more than last year.

The firm says the growing number highlights the growing trend of more regulation targeting the Private Rented Sector (PRS).

Fines are related to the management and licensing of houses and HMOs

According to Kamma, 78% of all agent and landlord fines are related to the management and licensing of houses and HMOs.

In London, Camden council tops the enforcement list for the number of cases being brought, followed by Newham and Waltham Forest.

The highest average fine of £19,800 is found in Hammersmith and Fulham, followed by Hillingdon with an average of £13,500, and Hackney with £11,250.

‘Another record year for licensing and fines handed out’

Orla Shields, the CEO and co-founder of Kamma, said: “2022 has been another record year for licensing and fines handed out, with total fines now exceeding £8.1 million in London alone.

“At the same time, average agent fines have increased by over £200 just in the last year, with the upward trend continuing into 2023.”