Licencing schemes are a blunt instrument, pointlessly cost compliant landlords hundreds of pounds, are ignored by rogue operators and consume scarce council resources.

So says Propertymark, the trade organisation that represents letting agents in the UK, which is calling for their abolition.

The organisation has made the remarks after recently submitting evidence to consultations on property licencing in Enfield, Reading, Gateshead and Wandsworth, and is calling for Labour to rethink its approach to regulating the private rented sector. This is particularly urgent given Labour’s looming ‘property portal’ – which will be a digital rented homes register – expected within the Government’s Renters’ Rights Bill due in October.

It has been argued in recent months that this property portal will duplicate many of the functions of licencing and that overall selective and additional HMO schemes are not good value for money.

Annual MOT

While Propertymark wants to see bad landlords and letting agents removed from the sector, it says licencing should be replaced by an annual ‘MOT’ of every rental property in England which would improve enforcement and give agents and landlords a steer on how to maintain or improve properties.

Tim Thomas (pictured) , Policy and Campaigns Officer at Propertymark, says: “Debate around the Renters’ Rights Bill should be seen as an opportunity to consider fresh ideas in improving standards within the private rented sector in England.

“It is clear that as local authorities call for the reintroduction of licencing schemes for an additional five-year period, they have been unsuccessful in their aim in improving standards.

“The UK Government’s proposed database should make local authority licencing unnecessary, and rather than reintroduce unsuccessful schemes, MHCLG should concentrate on how national licencing can accommodate the important role that letting agents play in managing properties and ensuring landlords raise standards.”

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