Landlords launch legal action over selective licensing policy: report

Middlesbrough Council faces legal action over its new selective licensing policy under which landlords must pay £998 for each property they own in the area, the BBC has reported.

A group of landlords, who do not wish to be named, have called the scheme “rapacious and unreasonable” and claimed it stops people buying and renting homes.

From April, landlords in an area designated as ‘Newport 1’ have had to prove they are a 'fit and proper person’ to hold a licence and effectively manage their properties.

Those planning legal action claim the council did not comply with mandatory requirements in making the decision, and relied on data regarding anti-social behaviour from nearby areas but not Newport 1 itself and failed to consider alternatives.

Selective licensing has been in force in the North Ormesby area and other parts of Newport for several years.

A council spokesman said it would be inappropriate to comment on the legal challenge at this stage.

The council said the selective landlord licensing scheme helps to improve standards of accommodation, and social and economic conditions.

It said evidence showed there was “significant and ongoing anti-social behaviour and low demand for housing are linked to the private rental sector in North Ormesby and Newport”.

According to the council, benefits of the scheme include improving the management and condition of privately rented accommodation, support for landlords dealing with anti-social tenants and “educating tenants about their responsibilities and the impact of their behaviour on their community and neighbours”.

The council said the scheme also improved the image and desirability of the areas concerned and so protected investments made there.

Mark Smulian