There is a high chance you will need a licence to rent out your property in Brent although you need to study the arrangements carefully as one licensing scheme only applies to part of the borough. We will try to explain.
On 1 January 2015, Brent Council implemented a borough wide additional licensing scheme and a selective licensing scheme that covered part of the borough. The additional licensing scheme ended on 31 December 2019 and a replacement scheme started on 1 February 2020.
A second selective licensing scheme started on 1 June 2018 and the first selective licensing scheme ended on 31 December 2019. The Secretary of State has not granted approval for the first scheme to be renewed.
There is also the mandatory HMO licensing scheme that applies across England. In total, there are three separate licensing schemes.
To help you choose the right licence for your property, we have described each of the licensing schemes.
1. Mandatory HMO licence
You will need a mandatory HMO licence if your property meets the standard test, self-contained flat test or converted building test HMO definition in section 254 of the Housing Act 2004 and is occupied by five or more people.
But what are these tests and what does this mean in practice? It means you need a licence for any house or flat that is occupied by five or more people who are not all related and live in the property as their main home. For example, it includes:
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Shared houses and flats occupied by students and young professionals;
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Properties converted into bedsits with some shared facilities; and
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Properties converted into a mixture of self-contained and non self-contained accommodation.
Prior to 1 October 2018, the mandatory HMO licensing scheme only applied to properties that were three or more storeys in height, but that restriction has now been lifted.
The government have decided to exclude purpose built self-contained flats within a block comprising three or more self-contained flats from the mandatory HMO licensing scheme. While this will be good news for some landlords, it does make the licensing scheme far more complicated.
To find out more, you can read our free guide to mandatory HMO licensing (here).
2. Additional licence
You will need an additional licence if your property is let as a House in Multiple Occupation that does not fall within the remit of the mandatory HMO licensing scheme. Licensing applies to all HMOs in Brent.
Whilst the current scheme ended on 31 December 2019, the council have approved a new licensing scheme with the same criteria that started on 1 February 2020 and continues for another five years.
The House in Multiple Occupation definition is not straightforward and you will need to study it carefully or seek advice. For example, Brent Council have included ‘section 257 HMOs’ within the additional licensing scheme. These are properties that:
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have been converted into self-contained flats; and
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less than two thirds of the flats are owner occupied; and
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the conversion did not comply with the relevant Building Regulations in force at that time and still does not comply.
So a building containing both owner-occupied and rented flats may need one licence for the whole building. This is a complex area of law and you may need further advice.
3. Selective Licence
You did need a selective licence if your property (house or flat) was let out to a single person, couple or single household and was located in the council wards of Harlesden, Wembley Central or Willesden Green. However, that scheme ended on 31 December 2019 and the government have not granted approval for the scheme to be renewed.
Meanwhile, on 1 June 2018, a second selective licensing scheme was introduced covering the council wards of Dudden Hill, Kensal Green, Kilburn, Mapesbury and Queen's Park and this scheme remains in force until 2023.
If you rent a property to a single household in other parts of the borough, the selective licensing scheme does not apply.
This adds another layer of complexity as most landlords won’t be familiar with the ward boundaries and neither will tenants or agents. If you think your property might be in one of these wards, you can check on the council’s website.
In summary, if you rent out a House in Multiple Occupation in Brent, it will need to be licensed. If you rent out a property to a single family, it will need to be licensed if it is within the designated selective licensing area.