Understanding Licensing Changes: Selective Licensing Expansion in Bristol
Starting August 6, 2024, significant changes are coming for landlords in Bristol as the Selective Licensing Scheme expands to cover additional areas. Initially introduced in April 2022 for Bedminster and Brislington West, the scheme is designed to ensure that privately rented properties meet certain safety, management, and maintenance standards. Now, this scheme is being rolled out to include Cotham, Easton, Bishopston, and Ashley Down. If you’re a landlord operating in these areas – or planning to enter the market – here’s what you need to know.
What Is Selective Licensing?
Selective Licensing is a regulatory tool used by local authorities to improve the quality of private rental housing. Under this scheme, landlords must obtain a license for each property they rent out in the designated areas. The aim is to address issues such as poor property conditions, overcrowding, and antisocial behavior by ensuring landlords maintain their properties to a high standard.
Why Is the Scheme Expanding?
Bristol City Council’s decision to extend the Selective Licensing Scheme to new wards reflects ongoing concerns about the conditions in the private rental sector. The council has identified areas where housing standards need improvement and where tenants are potentially at risk due to poor property management. By expanding the scheme, the council aims to enhance the living conditions for more renters across the city and promote responsible property management.
You’ll need to apply for the licensing here: https://www.bristol.gov.uk/business/licences-and-permits/property-licences/check-if-you-need-a-property-licence-and-apply
What Does This Mean for Existing Landlords?
If you own rental properties in Cotham, Easton, Bishopston, or Ashley Down, you will need to apply for a Selective License by August 6, 2024. Failure to comply can result in hefty fines or even legal action. Here’s a quick breakdown of what you need to do:
- Apply for a License: You’ll need to submit an application for each property you rent out in the designated areas. This will involve providing details about the property, including its condition and your management practices.
- Ensure Compliance: The council will assess your property to ensure it meets the necessary standards. You may be required to carry out repairs or improvements to bring the property up to code.
- Ongoing Responsibilities: Once you obtain a license, you’ll need to adhere to certain conditions, such as carrying out regular safety checks and maintaining records. Regular inspections may be conducted to ensure ongoing compliance.
- Costs: This isn’t a free service, so for Bedminster and Brislington West it’s £799 and in Cotham, Easton, Bishopston and Ashley Down it’s £912. Once granted, it’s valid for 5 years.
- What will I need to show? You’ll need to provide your Gas Safety Record, EICR and EPC.
What About New Landlords?
For those considering entering the rental market in these areas, the expansion of the Selective Licensing Scheme is an essential factor to consider. While the scheme adds an additional layer of responsibility, it also helps create a more level playing field, where all landlords are held to the same high standards.
If you’re a new landlord, here’s what you should keep in mind:
- Factor in Licensing Costs: When budgeting for your investment, remember to include the cost of obtaining a Selective License. This can vary depending on the property but is an essential part of operating legally.
- Prepare Your Property: Before renting out a property, ensure it meets the required standards. This might involve investing in upgrades or repairs to ensure it complies with the scheme’s conditions.
- Stay Informed: Keep up to date with any further changes to regulations or requirements. The private rental sector is subject to ongoing scrutiny, and staying informed will help you avoid potential pitfalls.
Is this the same as Article 4?
No, Selective Licensing is not the same as an Article 4 Direction, though both are tools used by local authorities to manage housing and development issues.
Selective Licensing:
- Purpose: Focuses on improving the management and safety standards of privately rented properties. Landlords in designated areas must apply for a license and adhere to specific conditions.
- Scope: Applies to all private rental properties within the designated areas, typically to ensure better living conditions and management practices.
Article 4 Direction:
- Purpose: Used by local authorities to restrict certain types of development that would normally be allowed under permitted development rights. This often includes changes of use, such as converting single-family homes (C3 use) into Houses in Multiple Occupation (HMOs, C4 use), without requiring full planning permission.
- Scope: Specifically targets development rights, requiring landlords or property owners to obtain planning permission for changes that would otherwise not need it. It’s often used to control the proliferation of HMOs in certain areas.
In summary, Selective Licensing regulates the management and conditions of rental properties, while Article 4 Direction restricts certain types of development, particularly the conversion of properties into HMOs. Both can operate in the same area but serve different purposes.
What does this all mean?
The expansion of Bristol’s Selective Licensing Scheme represents a significant shift for landlords in Cotham, Easton, Bishopston, and Ashley Down. Whether you’re an existing landlord or new to the market, it’s crucial to understand the implications of these changes and take proactive steps to ensure compliance. At Front Door Lettings, your Bristol letting agent, we’re here to help you navigate these new regulations and ensure your properties meet the highest standards. If you have any questions or need assistance with the licensing process, don’t hesitate to get in touch with our team.
