In an effort to enhance housing standards and ensure tenant safety, the London Borough of Newham has implemented an Additional Licensing Scheme for certain Houses in Multiple Occupation (HMOs). Effective from 1 January 2023, this scheme mandates that landlords operating smaller HMOs obtain the necessary licences to legally rent their properties.
Scope of the Additional Licensing Scheme:
The Additional Licensing Scheme applies to properties that meet the following criteria:
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Occupancy: The property is occupied by three or four individuals forming two or more separate households.
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Shared Facilities: Occupants share basic amenities such as kitchens, bathrooms, or toilets.
It's important to note that this scheme excludes properties located in the Royal Victoria and Stratford Olympic Park wards.
Licence Application Process:
Landlords operating HMOs that fall under the Additional Licensing Scheme must apply for a licence through Newham Council's online portal. The application process requires the submission of various documents, including:
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Gas Safety Certificate: A valid certificate for all gas appliances, renewed annually.
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Electrical Installation Condition Report (EICR): A report valid for five years, confirming the safety of the property's electrical installations.
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Energy Performance Certificate (EPC): A certificate demonstrating the property's energy efficiency, with a minimum rating of E.
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Landlord Accreditation: Proof of accreditation, if applicable, which may qualify landlords for certain benefits or discounts.
Ensuring all documentation is current and accurate is crucial to prevent delays in the application process.
Licence Fees:
The fee structure for the Additional Licensing Scheme is as follows:
- Total Fee: £1,250 per property.
This fee covers the entire licensing period, which can last up to five years. Landlords are encouraged to review the council's fee schedule for any available discounts or additional charges that may apply.
Compliance and Enforcement:
Operating an HMO without the required licence is a criminal offence. Landlords found in violation may face significant penalties, including:
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Financial Penalties: Fines of up to £30,000 per offence.
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Prosecution: Unlimited fines upon conviction in a court of law.
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Rent Repayment Orders: Tenants may be entitled to reclaim up to 12 months' rent paid during the period the property was unlicensed.
Additionally, landlords of unlicensed properties may be restricted from evicting tenants using Section 21 notices. Therefore, adherence to licensing requirements is essential.
How Fraser Bond Can Assist:
Navigating the complexities of Newham's Additional Licensing Scheme can be challenging. Fraser Bond offers expert guidance to landlords, ensuring compliance with all regulatory requirements. Our services include:
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Licence Application Assistance: Helping landlords complete and submit licence applications accurately and efficiently.
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Documentation Verification: Ensuring all necessary documents are current and meet council standards.
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Property Compliance Advice: Providing recommendations to meet health and safety standards, including necessary property improvements.
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Ongoing Support: Offering continuous assistance to help landlords maintain compliance throughout the licensing period.
By partnering with Fraser Bond, landlords can confidently manage their HMOs, knowing they meet all regulatory requirements and provide safe, high-quality housing for their tenants.
For more detailed information on Newham's Additional Licensing Scheme, please visit the official council website.
