The government has confirmed that the existing Housing Ombudsman Service is expected to operate the new Private Rental Sector Ombudsman, which will become compulsory for landlords in England.
Housing Minister Matthew Pennycook provided the update in response to questions from two Labour MPs. He explained that the current Housing Ombudsman Service, which handles complaints and provides redress for social housing tenants, is intended to establish and manage the new service.
However, landlords will not be required to sign up immediately. Further regulations will confirm when membership becomes compulsory and which landlords must join.
The government plans to have the service ready, with the necessary digital systems and operational arrangements in place, before introducing these additional requirements.
What landlords need to know
Although the full details are still being developed, the government has already outlined several aspects of the scheme as part of the Renters’ Rights Act.
Key points include:
- Mandatory registration: All private landlords in England who rent out residential properties will need to register, regardless of the size of their portfolio.
- Registration fees: Landlords will have to pay a fee, although the amount has not yet been confirmed. The government has indicated that it should remain affordable for smaller landlords.
- Penalties for non-registration: Landlords who fail to register could face fines of up to £40,000.
- Publicly accessible membership details: Ombudsman membership is expected to be recorded on the Private Rented Sector Database, allowing people with access to the database to check registration details.
- Complaints process: Tenants will generally need to raise their concerns directly with their landlord and give them an opportunity to resolve the issue before taking the complaint to the Ombudsman.
- Possible compensation and corrective action: Where a complaint is upheld, landlords could be required to pay compensation, apologise, change their policies or practices, or carry out necessary repairs.
- Further penalties for non-compliance: Landlords who ignore the Ombudsman’s decisions could face additional sanctions, potentially including criminal prosecution.
What happens next?
The Housing Ombudsman Service currently deals with complaints relating to social housing. Its existing services and information can be found on the official Housing Ombudsman website.
For private landlords, the next stage will be to wait for further regulations explaining the registration process, membership requirements and implementation dates.
While immediate enrolment is not required, landlords should prepare for the introduction of the new system and understand how the complaints and redress process could affect their responsibilities.
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