Telford and Wrekin Council has withdrawn plans to introduce additional licensing requirements for smaller houses in multiple occupation (HMOs).
The National Residential Landlords Association (NRLA) says it played a role in challenging the proposed scheme, which would have extended licensing to HMOs occupied by three or four people.
The plans were consulted on late last year and would have required affected landlords to pay a licensing fee of more than £1,500 for each property.
Council Drops Smaller HMO Licensing Plans
The proposed scheme was intended to expand the council’s existing HMO licensing requirements.
Under the plans, smaller shared properties with three or four occupants would have been brought into the licensing system.
The NRLA argued that the proposed requirements would have placed additional financial and administrative pressure on landlords.
The association also raised concerns about how the council had handled the process leading up to the proposed designation.
NRLA Raises Concerns
According to the NRLA, it challenged the council over several aspects of the proposed scheme.
The organisation says the council had not properly publicised the designation and had failed to make important consultation documents available.
It also questioned the legal justification for introducing additional charges for landlords.
The NRLA says it repeatedly raised these issues with the council but did not receive satisfactory responses.
The council initially disputed the association’s position and suggested that it could complete the procedural steps that had been missed.
However, the authority has now decided to withdraw the designation completely.
National Landlord Database Adds to Concerns
The NRLA also argued that the additional local licensing system could create unnecessary duplication.
The West Midlands is due to become the first region required to join the new national landlord database from December.
The association says this makes it particularly important for councils to consider whether additional local requirements duplicate information landlords will already need to provide through the national system.
The issue could therefore have implications beyond Telford and Wrekin as other councils consider how their local licensing schemes will operate alongside the national database.
NRLA Welcomes Council Decision
NRLA chief executive Ben Beadle welcomed the council’s decision to revoke the designation.
He said the association had raised concerns about both the process and the potential costs for landlords. According to Beadle, the NRLA was prepared to challenge the designation through the courts if its concerns were not resolved.
He also argued that local authorities should ensure their regulatory powers are used within the legal framework and that landlords are treated fairly.
The NRLA says effective regulation should protect tenants while also recognising the role of responsible landlords.
What Happens Next?
The withdrawal means landlords in Telford and Wrekin will not face the proposed additional licensing requirement for smaller HMOs under this designation.
The decision also highlights the wider debate over how local licensing schemes should work alongside new national requirements.
For landlords, additional licensing can bring extra costs and administrative responsibilities. For councils, licensing remains an important tool for monitoring standards and addressing problems within the private rented sector.
As the national landlord database approaches, councils may face increasing pressure to demonstrate why additional local requirements are necessary and how they provide benefits beyond existing systems.
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