## Selective Licensing Scheme to Launch in East Marsh with £1,000 Fee

North East Lincolnshire Council has confirmed it will implement a selective licensing scheme in the East Marsh area of Grimsby starting in April 2024. Landlords within the designated zone will be required to pay a licence fee of £1,000. The council is currently finalising a contract with a delivery partner to administer the scheme, which will be fully funded through these licence fees.

## Objectives: Improving Living Conditions and Addressing Anti-Social Behaviour

The council states that the selective licensing scheme is designed to tackle anti-social behaviour and ensure landlords comply with housing standards. Councillor Stewart Swinburn, portfolio holder for Housing, Infrastructure and Transport, emphasised the scheme’s alignment with the council’s strategic goals, saying: “The introduction of Selective Licensing in the East Marsh supports the strategic aims of this Council by supporting a Stronger Economy and Stronger Communities.”

He added: “We are very pleased to welcome a delivery partner for the scheme and we are now working together to ensure that we can implement Selective Licensing in April to improve living conditions in the East Marsh.”

## Licence Fee Structure and Discounts for Accredited Landlords

The standard licence fee will be £1,000 per property. However, landlords who have achieved accreditation and meet specific conditions, including completing training courses, will be eligible for a discount of £275 per licence. This incentive aims to encourage landlords to engage with accreditation schemes and improve their management standards.

## Mixed Support and Concerns from Landlords

Prior to the scheme’s approval, North East Lincolnshire Council conducted a public consultation. Of the 202 residents surveyed, 60% supported the introduction of selective licensing. Despite this, the council acknowledged that most landlords opposed the scheme, primarily due to concerns over the financial burden and the potential for rent increases as a result.

In response, the council stated it has “reviewed the fee structure and delivery model to ensure the scheme is run efficiently,” aiming to balance operational costs with landlord concerns.

## Context: Government Guidance and Past Controversies

Housing Minister Matthew Pennycook has previously cautioned councils against profiting from selective licensing schemes, emphasising that fees should cover only the cost of running the scheme. This follows reports such as one by Property118, which highlighted issues with Nottingham City Council’s handling of selective licensing funds, where millions were spent without properly ringfencing the scheme’s finances.

Landlords and agents should monitor how North East Lincolnshire Council manages the scheme’s finances and delivery to ensure compliance with government expectations.

## What This Means for Landlords in East Marsh

Landlords operating in the East Marsh area should prepare for the new licensing requirement and associated fees starting in April 2024. Those interested in reducing their licence fee should consider pursuing accreditation and completing any required training. It is also advisable to assess how the fee might impact rental pricing and property management budgets.

Landlords outside the East Marsh area should remain aware of selective licensing developments, as other councils may consider similar schemes.

Suggested internal link anchors
– selective licensing scheme
– licence fee
– landlord accreditation
– anti-social behaviour
– housing standards
– council consultation
– rent impact
– delivery partner
– Housing Minister guidance
– scheme funding
– property management costs
– landlord concerns

TLA update

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