Piggybank News

April 19, 2013

Selective Liscensing in MK – have your say.

Milton Keynes Council is proposing to introduce Additional and Selective Licensing of private rented sector properties (PRS) across the entire borough of Milton Keynes. Under the Localism Bill Additional or Selective Licensing should only be implemented if there is evidence of a severe and persistent problem with anti-social behaviour which cannot be dealt with by the use of existing powers or legislation.

  • Additional Licensing would mean that every single HMO (not just 3 storey 5 tenants) in the Milton Keynes borough would need to be licensed. e.g 3 nurses sharing a house would need a licence to do so.
  • Selective Licensing would mean that every single rented property (HMO’s and single/family lets)  in the Milton Keynes borough would need to be licensed.

The implications of this would cost landlords thousands of pounds in license fees and ultimately Tenants hundreds of pounds in rent increases as a result.  All properties would be affected regardless of type, location or how well managed they currently are.

Unfortunately there is also evidence from other areas of the UK, where Selective Licensing has been implemented, that such implementation is regarded as effectively declaring a “blight” notice.  As a result many mortgage lenders are refusing to lend either to investors or residential buyers in affected areas.

No evidence of a problem in the PRS has been presented but the Council clearly views this as a revenue generating strategy.

You can read a copy of the Cabinet report here >> http://tinyurl.com/d93ky7q.

On 15/4/2013 MK council announced their intention to hold a public Cabinet meeting two days later to discuss this proposal.  The Milton Keynes Private Landlords Association Committee attended the Council’s Cabinet meeting on 17/4/2013 and made representations on behalf of local landlords. Despite this, the decision was taken by the Cabinet to go out to consultation starting 01 July 2013 at an initial estimated cost to the tax payer of £25k.

We have the opportunity to overturn this decision, and MKPLA will present a written petition supported by over 50 signatures of local residents on Friday 26 April 2013. This petition will be accompanied by the following statement:

MKPLA Call-In of Cabinet Decision – Statement

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