The Department for Communities and Local Government is currently consulting on houses in multiple occupation (HMOs) and residential property licensing reforms. Alongside proposals to raise standards in private rented accommodation, the consultation also seeks views on providing discounts to purpose built student accommodation providers in the fees paid for HMO licensing.

The Government’s ultimate stated goal is to improve standards in rented accommodation and stop landlords that “exploit their tenants” by extending the reach of regulations. Proposals to address this include extending the scope of mandatory licensing of HMOs and setting mandatory conditions on room size.

In addition, the Government is also reviewing the current extent that local authority intervention enforces standards among purpose built licensed student accommodation providers. The Government is looking to offer a minimum of a 50% discount if it finds that purpose built student blocks require less intervention than street student HMOs. One condition that is being considered is for the Secretary of State to approve a new code of practice that providers would need to comply with to be entitled to the discount. This would include providers having nomination agreements with specific educational establishments.

The consultation closes on Tuesday 13 December 2016. Newington has significant experience of successful submissions on behalf of clients. If you wish to discuss how this consultation may impact you and your business or if you would like to explore further how we may be able to assist please do contact Pavitar Mann on 020 7234 3309 or [email protected].