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Agenda item

Agenda item

Additional Licensing of Houses in Multiple Occupation

Purpose

1.    To summarise the findings of the recent consultation on the proposal to introduce Additional Licensing for Houses in Multiple Occupation (HMOs) across the city.

2.    To outline the proposed additional licensing scheme in Portsmouth, having taken into account the consultation feedback, for Cabinet to decide if they wish to proceed with the formal introduction of such a scheme.

3.    To present the updated Private Sector Housing Enforcement Policy, and Private Sector Housing Space and Amenity standards for HMOs, for Cabinet to decide on their adoption.

 

RECOMMENDED that the Cabinet

1.1    That the Cabinet have regard to all the responses to the statutory consultation and the evidence base previously presented to Cabinet on 22nd March 2022 together with the matters set out in this report and consider whether an additional licensing scheme for HMOs in the City should be introduced.  If the Cabinet does not decide to proceed with the scheme, they should not approve recommendation 1.2 below but should still review recommendations 1.3 and 1.4 below.

 

1.2.        Subject to recommendation 1.1, That Cabinet approves:

1.2.1      To designate the whole of the city as subject to additional licensing under section 56(1)(a) of the Housing Act 2004 in relation to every class of HMO, but only including those section 257 HMOs that are mainly or wholly tenanted, including those with resident landlords.

1.2.1.1.    That the designation set out in recommendation (2.2.1) above, shall come into force on 1st September 2023 for a period of 5 years.

1.2.1.2.    That delegated authority be given to the Director for Housing, Neighbourhoods and Building Services to sign the ‘Designation of an Area for Additional Licensing of Houses in Multiple Occupation 2022’ (as attached at Appendix 10) in accordance with the provisions set out in the Scheme of Delegations in the Council’s Constitution.

1.2.2.       The Licence Conditions contained in Appendix 7.

1.2.3.       That Cabinet consider the options outlined in Appendix 5 for Licensing Model and Appendix 6 for Fee Structure and agree to proceed with either;        

 

1.2.3.1.     Option A: Standard 5-year licence term issued to all licence applicants, with the exception of those where planning permission is required but not yet granted; where a 1 year licence would be issued to allow time for the planning process to be fulfilled. If Model A is preferred; cabinet approve the adoption of the proposed fees and charges structure (as attached at Appendix 6) outlined for Model A and instruct officers to bring a further report to Cabinet reviewing the fees before the commencement of the scheme, and annually throughout the scheme to ensure they remain reasonable and proportionate and address any issues relating to surpluses or deficits in accordance with case law and the EU Services Directive.

 

                  Or;

 

1.2.3.2.     Option B: a tiered structure for Licence terms based on the compliance and competence of the licence holder. This model would also include issuing 1-year licences where planning permission is required, as with Model A above. If Model B is preferred; cabinet approve the adoption of the proposed fees and charges structure (as attached at Appendix 6) outlined for Model B and instruct officers to bring a further report to Cabinet reviewing the fees before the commencement of the scheme, and annually throughout the scheme to ensure they remain reasonable and proportionate and address any issues relating to surpluses or deficits in accordance with case law and the EU Services Directive.

 

1.2.3.2.1. That if Option B is preferred, Cabinet approves the Policy for Landlord Accreditation contained in Appendix 8, and agrees to cease operating an in-house landlord accreditation scheme in favour of working with local and national landlord and agent accreditation schemes.

                 

1.2.3.2.2. That if Option B is preferred; to instructs officers to present a further report to Cabinet before September 2023 with proposals to alter the Mandatory HMO Licensing model, fee structure and Licence conditions to create consistency between Mandatory and Additional Licensing of HMOs.

                 

1.3.            That Cabinet approve the updated Private Sector Housing Enforcement Policy contained in Appendix 3, and agree its implementation from 1st December 2022.

1.4.            That Cabinet approve the updated Private Sector Housing HMO Space and Amenity standards document contained in Appendix 4, and agree its implementation from 1st December 2022.

 

Decision:

1.    The Cabinet had regard to all the responses to the statutory consultation and the evidence base previously presented to Cabinet on 22nd March 2022 together with the matters set out in this report and consider whether an additional licensing scheme for HMOs in the City should be introduced. The Cabinet decided to proceed with the scheme and approved:  

2.  That the whole of the city is designated as subject to additional licensing under section 56(1)(a) of the Housing Act 2004 in relation to every class of HMO, but only including those section 257 HMOs that are mainly or wholly tenanted, including those with resident landlords.

2.1          That the designation set out in recommendation above, shall come into force on 1st September 2023 for a period of 5 years.

2.2        That delegated authority be given to the Director for Housing, Neighbourhoods and Building Services to sign the ‘Designation of an Area for Additional Licensing of Houses in Multiple Occupation 2022’ (as attached at Appendix 10) in accordance with the provisions set out in the Scheme of Delegations in the Council’s Constitution.

2.3      The Licence Conditions contained in Appendix 7.

2.4.     The Cabinet considered the options outlined in Appendix 5 for Licensing Model and Appendix 6 for Fee Structure and agreed to proceed with Option B: a tiered structure for Licence terms based on the compliance and competence of the licence holder. Cabinet approved the adoption of the proposed fees and charges structure (as attached at Appendix 6) outlined for Model B and instructed officers to bring a further report to Cabinet reviewing the fees before the commencement of the scheme, and annually throughout the scheme to ensure they remain reasonable and proportionate and address any issues relating to surpluses or deficits in accordance with case law and the EU Services Directive.

 

And therefore:

2.5 approved the Policy for Landlord Accreditation contained in Appendix 8, and agrees to cease operating an in-house landlord accreditation scheme in favour of working with local and national landlord and agent accreditation schemes.

            2.6 Instructed officers to present a further report to Cabinet before September 2023 with proposals to alter the Mandatory HMO Licensing model, fee structure and Licence conditions to create consistency between Mandatory and Additional Licensing of HMOs.

 

Cabinet also approved:

             3.         Approved the updated Private Sector Housing Enforcement Policy contained in Appendix 3, and agree its implementation from 1st December 2022.

4.               Approved the updated Private Sector Housing HMO Space and Amenity standards document contained in Appendix 4, and agree its implementation from 1st December 2022.

 

Supporting documents: