For further
information about licensing your property, please contact
Environmental Services:
Telephone: 01638 719733
Email:
es@forest-heath.gov.uk
Licensing of Houses in Multiple Occupation (HMO's)
As a result of the Housing Act 2004 local councils throughout
England and Wales are required to introduce a mandatory licensing
scheme for the owners of certain types of homes. The new scheme is
designed to improve regulation of larger, higher risk premises
where there is a greater need for effective management to safeguard
the health, safety and welfare of HMO residents.
We are currently working with Landlords to assist them in
meeting the requirements of the Act and have answered the questions
below as part of this process:
Please
click here to see the presentation which we
showed at the Landlord Awareness Event.
Does my house need to be licensed?
Yes if you own a property that is:
- three storeys or more (storey includes
residential basements, attics and commercial units);
and
- Occupied by five or more persons (who are not
all members of the same family unit) as their only or main place of
residence (full-time students in further or higher education and
persons in refuge accommodation are treated as occupying premises
as their only or main place of residence).
But not if the property is:
- Occupied by you and members of your family and no more than 2
lodgers
- Converted into self-contained flats to 1991 (or more recent)
Building Regulation Standards
- Converted into self-contained flats and two thirds or more of
the flats are occupied by long leaseholders and/or their families
(a long lease is 21 years or more)
- Managed/controlled directly by a registered social landlord
(housing association), a local housing authority, a police
authority or a health service body
- Occupied by full-time students and managed directly by their
educational establishment
- Occupied principally for the purposes of a religious
community
What are the requirements of licensing?
The Council will grant you a licence if:
- You submit the correct application and fee; and
- It considers you to be a fit and proper person and the most
appropriate person to hold the licence; and
- It considers that the proposed manager of the house is fit and
proper person to be the manager of the house
- It considers that the proposed management arrangements for the
house are otherwise satisfactory
How do I apply for a licence?
Initially we ask that you simply provide your contact details and
HMO addresses to us and we will send you an application form
together with guidance on how to make an application. Application
forms should be available on this site in due course.
How much will a licence cost?
The basic cost of a licence is £500 with an
additional fee depending on the size of the accommodation as
follows.
- Up to five units - £100
- Six to ten units - £200
- More than ten units - £300
However, where the applicant is making an application for
several HMO licences from Forest Heath District Council every
licence fee except the first one they pay will be reduced by
£250. This reflects the reduced administration costs to the
Council in processing the application. A £250 reduction in
the fee also applies to HMO licence applications from registered
charities.
What does the term fit and proper person mean?
Unfortunately this term isn't defined. Instead the Council must
regard to whether the person has:
- Committed any offence involving fraud or other dishonesty,
violence or drugs, or sexual offences;
- Practised unlawful discrimination on grounds of sex, colour,
race, ethnic or national origins or disability in relation to their
business activity;
- Contravened housing or landlord and tenant law
In practice this means that the Council will undertake Criminal
Records Bureau (CRB) checks and check the evidence that it already
holds on that person.
What are considered satisfactory management arrangements?
The Council must make a judgement of whether any person who is to
be involved in the management of the house:
- has a sufficient level of competence; and
- is a fit and proper person
The Council must also consider whether the management and
funding arrangements for the property are suitable.
In practice this means that the Council will take into account
whether a person has undertaken a recognised training course, holds
a recognised qualification and is a member of a recognised
professional association.
Are conditions attached to a licence?
Yes, the licence must specify the following conditions for the
licence holder:
- to provide a copy of a current and valid gas safety certificate
covering all gas appliances in the property to us every twelve
months
- to keep electrical appliances and furniture provided in a safe
condition
- to ensure that there is an adequate fire detection and warning
system installed in the house and to keep it in proper working
order
- to supply the occupiers of the house with a written statement
of their terms of occupation (contract)
We may also set further conditions relating to:
- the maximum permitted number of persons that can occupy the
property
- restrictions or prohibitions on the use of occupation of
particular parts of the property
- taking reasonable steps to prevent or reduce anti-social
behaviour by persons occupying or visiting the house
- provisions of facilities and equipment (i.e. in accordance with
fire safety and amenity standards)
- time-scales for works to be completed
- proper maintenance of facilities and equipment
- removal or reduction of category 1 and 2 hazards identified
under the Housing Health and Safety Rating System (HHSRS) by the
end of the licence period ( the HHSRS is a new system for
assessing the suitability of different types of housing
and will replace the previous fitness standard)
When do I need to submit a licence application? Is there a
deadline?
Mandatory HMO licensing was introduced on 6 April 2006
with a 3 month timetable for implementation. This means
that anyone running an HMO that is subject to mandatory
licensing (as set out above) after 6 July 2006 without a
licence will be committing an offence. However, for
landlords who miss this deadline but make contact with us quickly
and take all reasonable steps to comply with licensing
requirements, the Council will not pursue further
action.
How long does a licence last?
Our intention is to grant licences for five years, which is the
maximum period permitted. However there may be circumstances where
a shorter licensing period is considered more appropriate. The
licence period is subject to licence conditions being met, as we
reserve the right to vary or revoke a licence where relevant
circumstances have changed.
Do I have a right to appeal against licensing decisions
that I consider to be unreasonable?
Yes, licence applicants may appeal to a residential property
tribunal (RPT). More details can be found on the RPT website at
www.rpts.gov.uk
What are the consequences for people who fail to obtain a
licence or who fail to comply with licence conditions?
Operating a licensable HMO without a licence is a summary offence
and the maximum penalty is £20,000. Furthermore,
throughout the period where the person is guilty of this
offence, no rent or substitute charge is payable by the occupiers
and they cannot be asked to leave.
Failure to comply with licence conditions is also a summary offence
and is subject to a maximum penalty, upon conviction, of
£5,000.
Where can I obtain further advice and information?
For more specific advice please contact us on
01638
719733 or email us at
es@forest-heath
.gov.uk
You may also find it useful to read our
HMO licensing Policy.
Other sources of information include:
UK Legislation Website
www.opsi.gov.uk
www.opsi.gov.uk/acts/acts2004/20040034.htm
Department for Communities and Local Government
Website
http://www.communities.gov.uk
Local Landlord Associations
Eastern Landlords Association
Unit 4, St Francis House
141-147 Queens Road
Norwich
Norfolk
NR1 3PN
Tel: 01638 767101
Fax: 01603 633738
Email:
info@easternlandlords.org.uk
Website:
www.easternlandlords.org.uk
Other Housing organisations
http://www.cih.org/
http://england.shelter.org.uk/
www.jrf.org.uk