Does My Deptford Property Need a Rental Licence?

Landlords operating within Deptford, an area of the London Borough of Lewisham, must navigate the specific requirements of the borough's Selective Licensing Scheme. This scheme, formally known as the London Borough of Lewisham Designation of Areas for Selective Licensing 2023, commenced on 1 July 2024 [1]. Its primary objective is to elevate housing standards and address anti-social behaviour within the private rented sector. Deptford's current ward boundaries, established in 2022, encompass areas previously covered by the New Cross ward, explicitly included in Designation One of the selective licensing scheme [1, 2]. Consequently, most privately rented properties within Deptford are subject to this licensing requirement.

The Lewisham Selective Licensing Scheme mandates that landlords obtain a licence for each privately rented property not already covered by existing Houses in Multiple Occupation (HMO) licensing schemes. The licence, typically valid for five years, is set to cease effect on 1 July 2029, unless revoked earlier by the Council under section 84 of the Housing Act 2004 [1]. The application process involves a two-part fee structure: an initial payment of £160 upon submission and a subsequent payment of £480 upon the licence being granted, totalling £640 [1]. Discounts are available for accredited landlords, verified through membership in recognised associations such as the London Landlord Accreditation Scheme (LLAS) or the National Residential Landlords Association (NRLA), and eligible charities, with the discount applied to the second payment [1].

Lewisham Council's decision to implement selective licensing across a significant portion of the borough, including Deptford, was informed by substantial evidence and a public consultation. This evidence highlighted the need to tackle prevalent issues such as hazardous housing conditions, inadequate management of anti-social behaviour by some landlords, and high levels of deprivation within the private rented sector [1]. The scheme directly responds to these challenges, ensuring landlords meet prescribed conditions to safeguard tenant welfare and community amenity. The notice of designation outlines the scheme's full details, including applicable properties and areas [1].

What Landlords Need to Know

Landlords in Deptford must understand that the Selective Licensing Scheme applies to individual properties, not per landlord. Each eligible privately rented property requires its own licence [1]. Exemptions exist for properties managed by registered social landlords, those subject to an Interim or Final Management Order, or those already covered by mandatory or additional HMO licensing schemes [1]. It is crucial for landlords to ascertain whether their property falls within the designated area and to apply for a licence promptly. The Council maintains a register of all licensed houses, as required under section 232 of the Act [1].

Non-compliance with selective licensing requirements in Deptford can lead to severe repercussions. Landlords found renting an unlicensed property, or breaching licence conditions, face prosecution and unlimited fines under section 95 of the Housing Act 2004 [1]. Furthermore, the Council can issue Civil Penalty Notices of up to £30,000 as an alternative to prosecution [1]. Unlicensed properties also expose landlords to Rent Repayment Orders, allowing tenants to reclaim up to 12 months' rent, Housing Benefit, or Universal Credit [1]. Additionally, no notice under section 21 of the Housing Act 1988 may be given in relation to an assured shorthold tenancy of an unlicensed house, significantly complicating eviction procedures [1]. Non-UK residents who own property in Deptford must appoint a local agent who is prepared to be bound by the licence terms and has access to funds for necessary repairs [1].

Landlord Checklist

1. Verify Property Eligibility: Confirm if your privately rented property in Deptford requires a selective licence by checking the Lewisham Council website or contacting their Private Sector Licensing and Housing Enforcement Team on 020 8314 6420 or via email at [email protected] [1].

2. Prepare Required Documents: Gather all necessary documentation for the application, including a valid Energy Performance Certificate (EPC), Electrical Installation Condition Report (EICR), and Gas Safety Certificate (if applicable) [1].

3. Submit Application and Pay Fee: Complete the online application and pay the initial £160 fee. The remaining £480 will be due upon granting of the licence [1]. Ensure all information provided is accurate to avoid delays or rejection.

4. Adhere to Licence Conditions: Familiarise yourself with and strictly adhere to all conditions stipulated in the selective licence. These conditions are designed to ensure property management standards and tenant safety [1].

5. Maintain Property Standards: Proactively ensure your property meets all health and safety standards, as the scheme aims to improve overall housing conditions and tenant welfare [1].

6. Appoint Local Agent (Non-UK Residents): If you are a non-UK resident, appoint a local agent who will be bound by the licence terms and has access to funds for necessary repairs that may be ordered by the council [1].

7. Stay Informed: Subscribe to selective licensing updates from Lewisham Council to stay informed about any changes or new requirements [1].

Operating a privately rented property in Deptford without the required selective licence after 1 July 2024 is illegal and can result in substantial fines, Rent Repayment Orders, and limitations on eviction procedures, including the inability to issue Section 21 notices [1].

For further guidance and to ensure full compliance with the London Borough of Lewisham's Selective Licensing Scheme, landlords are strongly encouraged to visit the official Lewisham Council website or contact their Private Sector Licensing and Housing Enforcement Team directly. This proactive approach will help maintain legal standing and contribute to the improved housing landscape of Deptford.

References

1] Lewisham Council. Selective licensing. [https://lewisham.gov.uk/selectivelicensing

2] Wikipedia. Deptford (ward). [https://en.wikipedia.org/wiki/Deptford_(ward)))