Newham Mayor blasts threshold on private rented sector licensing schemes

The Mayor of Newham has sharply criticised the Government's decision to require councils to obtain ministerial approval ahead of the introduction of licensing schemes covering more than 20% of local privately rented homes.

Housing Minister Brandon Lewis told Parliament last month that all applications for schemes above the threshold would be assessed on a case-by-case basis, balancing the interests and view of all parties.

Lewis said he wanted councils to take targeted action and focus on the “small number of landlords who make their tenants’ lives a misery”.

In 2013 Newham Council became the first local authority in England to introduce borough-wide private rented sector licensing. The London borough has now licensed 100% of its 35,000-plus rental properties.

The authority argued that the scheme had enabled it to ban 25 landlords – responsible for 150 properties – who failed to meet the “fit and proper” threshold.

More than 1,000 landlords, about whom the council has concerns, have been given special 12 month licences.

Newham has also brought 472 prosecutions against private landlords. The highest fine so far has reached £30,000.

Commenting on the Housing Minister’s announcement, Sir Robin Wales, Mayor of Newham, said: “These overly bureaucratic measures from the Government will strangle councils’ ability to tailor licensing schemes to local needs.

“Local authorities and residents are in the best position to determine whether a property licensing scheme is needed for their area, not Whitehall. Strong evidence is already required to introduce borough-wide licensing so this is redundant legislation, creating more hoops for local authorities to jump through."

Wales said he had written to the minister setting out his concerns and calling for the plans to be stopped and a consultation held.

He added: “Good landlords have nothing to fear from private rented sector licensing and we have the support of many local landlords and agents. Our focus has always been ensuring tenants are living in safe conditions that they are secure in their legal rights and the borough’s streets are not blighted with anti-social behaviour.”