Britain’s landlords are struggling to get their heads around some complex and unfamiliar aspects of the Housing Act 2004, according to the latest research from the National Landlords Association. 27% of them said they had no knowledge of the new definition of Houses in Multiple Occupation or of Licensing of HMOs. Only 13% reported that they have a sound understanding of the new definition and 10% have a sound understanding of licensing of HMOs, which starts in April.
Under the changes, an HMO will be defined as a rented property with one or more units of accom-modation (but which are not self contained), occupied by people who do not form a single household and share the facilities. A new definition of a ‘household’ will provide that tenants who are unrelated and who share a home as their main or sole residence under a joint tenancy will henceforward be considered separate ‘households’ (up to now, tenants sharing a property under a joint tenancy have formed a single household). Thus, a flat let to three or more unrelated sharers would be an HMO.
In the NLA’s research 73% of respondents said that government regulation was a major cause for concern. Indeed this was the highest response, ahead of unreliable tenants at 63% and voids at 41%.
David Salusbury, chairman of the NLA, said: “It is essential that landlords receive good information on these vital subjects, which are due to be implemented fairly soon. More information is sought on the new Housing Health and Safety Rating System (62%), HMO definitions (44%) and HMO licensing (41%). I just hope that the rating system and licensing procedures are applied by local authorities with a positive, reasonable approach so that landlords are not discouraged from providing rental accommodation – that would be a disaster all around.”
