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Another Council About To Introduce Compulsory Licensing For Landlords

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There are too many accidental/amateur/couldn't give a $hit landlords around who will rent to anyone and their dog.

These schemes place an onus upon them to be responsible and check references, maintain decent accommodation, attend to problems and repairs within a reasonable time.

The scheme also gives the councils power to move against tenants and landlords (where they couldn't care less) in bad anti-social situations.

I know some are robustly against further regulation but this is a step in the right direction.

Letting property is a business and must be approached as such..

My local council does charge (set on the number of rooms of a property) but keeps it at the cost it needs to run the scheme!!

Edited by geezer466

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I suspect this is to do with generating council revenue rather than ensuring good practice.

I think the largest sum demanded to participate in the scheme (was compulsory) was £500. Figures were determined on a sliding scale dependant on size of property. This could be a large HMO with anything up to ten bedsits/flats within it possibly more!!

£100 a year for 5 years don't sound like councils profiteering to me!!

However if we turn our attention to car parks........B)

If they end up getting fined for not adhering to the terms then they only have themselves to blame. Not sure who would cop the revenue from the fines though?

Trouble is there are far too many tossers like the one mentioned in the article below.

There has to be some sort of scheme to bring them inline..

http://www.thetelegraphandargus.co.uk/news/10683162.Private_landlord_fined___10_000_over_poor_state_of_his_Bradford_houses/

Edited by geezer466

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Also allows HMRC to check whether they are paying taxes which of course a lot of rentiers won't be.

I've often wondered about this - are many landlords are getting away with not paying taxes on their rental income? Surely if they don't declare it then there's very little chance of it being discovered if they've also got a proper job and are paying income tax on that?

I think these regs are overdue and a good start in making rental a better deal for tenants... Still a long way to go though.

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I've often wondered about this - are many landlords are getting away with not paying taxes on their rental income? Surely if they don't declare it then there's very little chance of it being discovered if they've also got a proper job and are paying income tax on that?

Out of the 3 accidental Landlords i know personally, 0 pay tax or have a BTL mortgage, they admit to having buildibg insurance though

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I've often wondered about this - are many landlords are getting away with not paying taxes on their rental income? Surely if they don't declare it then there's very little chance of it being discovered if they've also got a proper job and are paying income tax on that?

I think these regs are overdue and a good start in making rental a better deal for tenants... Still a long way to go though.

Mrs. Sod is in a good position to know about this kind of thing. Her estimate, amongst the group she deals with personally, is that about half are renting without informing HMRC.

Now, whether they fail to do so because they fall outside of any financial requirements to do so, she couldn't say.

This is within central and E London too, so one can only imagine they sorts of sums that are really just evaporating away....

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Mrs. Sod is in a good position to know about this kind of thing. Her estimate, amongst the group she deals with personally, is that about half are renting without informing HMRC.

Now, whether they fail to do so because they fall outside of any financial requirements to do so, she couldn't say.

This is within central and E London too, so one can only imagine they sorts of sums that are really just evaporating away....

I'm not generally one to encourage being a tattletale, but perhaps renters should be encouraged to do their civic duty and check with HMRC that due taxes are being paid... :D

(is there even any way of doing this?!)

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(is there even any way of doing this?!)

If HMRC wanted to do this they'd simply need to cross-reference with the Deposit Protection Schemes. They clearly aren't all that bothered at the moment, but how long will that stay the case?

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I'm not generally one to encourage being a tattletale, but perhaps renters should be encouraged to do their civic duty and check with HMRC that due taxes are being paid... :D

(is there even any way of doing this?!)

Yes just write to HMRC and give them a copy of the tenancy.

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Out of the 3 accidental Landlords i know personally, 0 pay tax or have a BTL mortgage, they admit to having buildibg insurance though

Do they have that as a landlord or an OO though?

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If HMRC wanted to do this they'd simply need to cross-reference with the Deposit Protection Schemes. They clearly aren't all that bothered at the moment, but how long will that stay the case?

...maybe.... but I have another friend working within HMRC that makes the job sound like swatting at flies in a fly storm. I see the obvious flaw in expecting an organisation to do anything MORE when they can barely do what's already asked of them.

Also, are they data protection issues? There certainly are every time my gf wishes to "cross reference" summat.

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HMRC would be notified more regularly if a S21 notice was invalid if the rental income had not been declared.

You do your self assessment the year after the money though .. so that wouldn't work out quite as you'd hope.

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Legislation governing how landlords deal with property and those residing in it would be a good direction.

Slapping LL's with licensing fees and silly taxes will only mean tenants pay for it.

While it makes for jobs in the government, it only hurts tenants.

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Lots of other councils look to be jumping on the bandwagon with online consultations for landlords and tenants on their thoughts about introducing landlord licensing schemes;

Hackney;

http://www.hackney.gov.uk/private-rented-housing-sector-review.htm#

Waltham Forrest;

http://www.walthamforest.gov.uk/pages/services/sl-selective-licensing.aspx?utm_source=roll-gal&utm_medium=web&utm_campaign=homepage-track

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