HMO licensing faux pas leaves students living unlawfully

41 Eskdale Terrace

41 Eskdale Terrace

A house of students at 41 Eskdale Terrace found out last month they had been living unlawfully after their landlord failed to apply for the correct property licence.

Newcastle City Council will serve an enforcement notice on the property, requiring it to cease operations as a C4 House of Multiple Occupancy (HMO). The lawful use of the property is as a C3 Family Dwelling.

As the tenants signed their contract with no knowledge that a breach of planning control had taken place, they will be allowed to remain in the property until the end of the current tenancy agreement which is on July 15th 2017.

The landlord must now apply for a temporary HMO licence so that the regulatory authorities can ensure the property is up to standard. The property will revert back to a C3 Family Dwelling at the end of the current tenancy and the landlord must then apply for a standard five-year HMO licence.

If, after the current tenancy expires, the property does not revert back to a C3 dwelling, prosecution proceedings will be taken against the landlord.

Bridgfords of Jesmond, part of Countrywide PLC, the largest real estate agency company in the UK, acted as agents for the owner and will also be investigated by regulatory authorities.

JesmondLocal contacted Bridgfords, who declined to comment.

A breach of planning control is defined in the Town and Country Planning Act 1990 as “the carrying out of development without the required planning permission or failing to comply with any condition or limitation subject to which planning permission has been granted.”

A breach of planning control will lead to enforcement action as outlined in paragraph 207 of the National Planning Policy Framework 2012:

“Effective enforcement is important as a means of maintaining public confidence in the planning system. Enforcement action is discretionary, and local planning authorities should act proportionately in responding to suspected breaches of planning control.”

Although she was reluctant to talk, one of residents at the property told JesmondLocal: “I don’t want to say anything bad about the landlord – he’s been lovely. It was the estate agents’ fault.”

HMOs are an important issue for the long-term residents of Jesmond, who claim to be losing more and more family homes to students each year.

In 2015 JesmondLocal uncovered figures showing that an estimated 25% of the population of Jesmond lived in registered HMOs. The Jesmond Residents Association, as well as other local groups, successfully campaigned in November 2011 to require property owners to apply for planning permission in order to change from a C3 Family Dwelling to a C4 HMO.

Citizens Advice Newcastle told JesmondLocal that “if a landlord doesn’t have the [correct] licence they can be prosecuted and fined up £25,000.” The reason the fine is so high for breaching a housing licence is that the “landlord should have extra responsibilities to do with an HMO.”

Landlords of HMOs must meet certain standards and obligations that are not required for family dwellings. This includes checking the properties gas and electrics on a regular basis, ensuring the property is not overcrowded, maintaining adequate cookware and washing amenities, as well as keeping communal areas in a good condition.

They are also liable to repair the structure of the house, water and gas pipes, electrical wiring, radiators and water heaters, as well as any basins, sinks, toilets and baths.

If a landlord does not have an HMO licence, and has therefore not fulfilled their obligations to the tenants, the landlord can be fined and might have to pay back up to 12 months rent.