London borough gets green light for unusual EPC-linked Selective Licensing scheme

The Government has given the Hackney council in London the green light to introduce a Selective Licensing scheme in 14 of its wards to the east of the borough.

This scheme will be highly unusual because part of the scheme’s aims will be to target properties with low EPC ratings and help landlords upgrade them, which Hackney says is a direct response to the cost of living crisis.

As LandlordZONE reported last year, the scheme is due to rake in some £21.6 million for the council in fees revenue.

Hackney’s announcement follows a consultation last year among landlords, tenants and other interested parties..
But due to the size of the scheme, the Secretary of State for Levelling Up, Housing and Communities had to give his consent.

Legally let

This has now been achieved and landlords who let their properties in the east of the borough to a single family or two unrelated sharers will now be required to obtain a licence from the Council to legally let the property.

This scheme is in addition to the existing borough-wide licensing scheme for HMOs.

With a specific focus on reducing fuel poverty, the Selective Licensing scheme will help the council identify properties with the worst energy efficiency ratings and provide landlords with the relevant support and education to adapt their properties and effectively measure their carbon emissions the council says.

Few details of how this will work have been released, although one Haringey advice documents reveals thatit will: “require landlords to take action to improve the quality of the homes they rent and manage those properties more effectively”.

Those who apply for an ‘early bird’ Selective Licencing application will benefit from a discounted fee.
Landlords will pay £350 per a property instead of £600, should they sign up early.

Cllr Dana Carlin (pictured), Cabinet Member for House Services, Private Renters and Planning, says: “With over 40% of the borough renting from a private landlord, we want to ensure all our residents live in warm and safe homes.

“The Selective Licensing scheme will enable us to work with landlords to improve the quality of the housing stock in the private rented sector and support our private renters.

“We will take action to ensure that all private rented properties in the designated area are licensed and comply with relevant conditions.”

More details on how to apply.

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