Property Licensing Guide for Reading
This free guide will provide you with the key details regarding what licensing requirements are necessary in this area and how to apply for a licence.
Reading Property Licensing Schemes
Got questions about licensing schemes in Reading? We’re here to help. This free guide will provide you with the key details regarding what licensing requirements are necessary in Reading and how to apply for a licence.
Is manual compliance causing a headache for your agency? At Kamma, we specialise in automating licensing compliance for agents across the UK. If you need any assistance in getting your property portfolio compliant, find out how we can help letting agents here.
What are the licensing requirements for Reading?
Mandatory licensing in Reading
Mandatory licensing is required in Reading if your rented property is occupied by five or more people who form more than one household, including:
- Shared houses and flats occupied by students and young professionals.
- Properties converted into bedsits with some shared facilities.
- Properties converted into a mix of self-contained and non-self-contained accommodation.
Do I need an additional property licence in Reading?
Additional licensing requires that all privately rented properties with three or more people from two or more households obtain a licence within the area.
While there is currently no active additional scheme in Reading, they have launched a consultation for an additional scheme covering the entire region. The consultation runs from 06/06/2024 until 29/08/2024. Upon the consultation’s termination, the council will decide whether the additional scheme is to go ahead.
Do I need a selective licence in Reading?
Selective licensing requires that all privately rented properties within an area agreed by the council requires licensing, regardless of the number of people or households formed.
There is no current active selective licensing scheme, but alongside consulting for an additional scheme, Reading council are also consulting on selective licensing in three wards. The consultation runs from 06/06/24 until 29/08/24. The wards covered are Parks, Redland, and Battle. The council will decide whether this scheme is to go ahead when the consultation ends
How do I apply for a licence?
You can apply for licensing through Reading Council here. For Kamma users, we offer a licence application service for Reading. Get in touch with us here to find out more.
How much does a license cost?
Mandatory fees:
£950 standard fee
£800 for accredited landlords
Proposed additional licensing fees:
£950 standard fee
£800 for accredited landlords
£1,200 for late applicants – applies when the property has been licensable for 12 weeks since a schemes launch
Proposed selective licensing fees:
£750 standard fee
£650 for accredited landlords
£1,000 for late applicants – applies when the property has been licensable for 12 weeks since a schemes launch
These fees are subject to change and are accurate as of 22nd July 2024.
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What happens if I don't get a licence in Reading?
Ignoring the law could result in prosecution by Reading Council, fines, court costs, and more. Ensure you comply with all regulations to avoid these risks. Fines for non-compliant agents can be up to £30,000 per non-compliant property, as well as rent repayment orders of up to 12 months.
If you’re concerned about unlicensed properties in your portfolio, book a free consultation today with one of our consultants to get a property licensing check here. By keeping your properties in line with your region’s licensing requirements, you can maintain peace of mind that you won’t get burnt by non-compliance.
Frequently asked questions:
Is Reading council planning on introducing any new licensing schemes?
Reading council are currently consulting on implementing a new region wide additional scheme, and a selective scheme covering three wards. This page will be updated if the schemes are set to go ahead when the consultation ends.
Why is Reading council proposing new licensing schemes?
Reading Council is introducing new licensing schemes to address significant health and safety risks identified in clusters of rental properties within certain areas of the borough. Evidence indicates that similar issues are prevalent in many Houses in Multiple Occupation (HMOs) throughout the borough. These licensing schemes, permitted by law, aim to proactively enhance the condition and management of these properties.
The primary objectives of the proposed licences include setting conditions to prevent overcrowding in HMOs, improving property standards, and promoting effective management of rental properties. The proposed conditions are detailed in the consultation documents.
Licensing ensures that each rental property has a designated person or company (the licence holder) who is legally accountable for it. For instance, this would require overseas landlords to appoint a UK-based manager. Additionally, licensed properties must be properly managed, and both licence holders and managers must meet the ‘fit and proper person’ criteria. If the proposed licence holder or manager does not meet these criteria, alternative arrangements must be made to ensure appropriate management.
What will be the conditions for Reading Council’s selective licensing scheme?
Reading’s proposed selective licensing scheme sets several conditions to ensure safe and well-managed rental properties. Occupancy is limited to one household or a maximum of two people from different households, and any breach must be reported to the council. Landlords must provide annual gas safety certificates, maintain safe electrical appliances and installations, and ensure working smoke and carbon monoxide alarms.
Essential services like electricity, gas, and water must not be unreasonably interrupted. Tenancy management includes requiring tenant references, providing a written statement of occupancy terms, preparing an inventory at the start of each tenancy, issuing rent receipts for cash or cheque payments, and conducting property inspections every six months.
Landlords must offer accurate contact details for reporting issues, ensure security measures like keys for window locks and alarm system instructions, and provide information on waste and recycling procedures along with labelled bins. These measures aim to improve living conditions for tenants across the borough.
What will be the conditions for Reading Council's additional licensing scheme?
Reading’s proposed additional licensing scheme for HMOs includes several key conditions to ensure safety and proper management. Occupancy is limited based on room size, with specific minimum floor areas required for different occupant configurations. Safety standards mandate annual gas safety certificates, maintenance of electrical appliances and installations, and working smoke and carbon monoxide alarms.
Mains-powered fire detection systems and emergency lighting, where installed, must be regularly tested and maintained. Tenancy management includes providing written occupancy terms, maintaining an inventory at the start of each tenancy, and issuing rent receipts for cash or cheque payments. Landlords must also conduct regular property inspections, maintain accurate contact details for reporting issues, and ensure security measures such as keys for window locks and alarm system instructions.
About Reading
Reading, located in Berkshire, England, is a historic town and unitary authority 38 miles west of London. It’s a key railway junction and has water connections via the Kennet and Avon Canal and the River Thames. The town’s economy, once centered on clothing trade, shifted to malt in the 18th century. Key historical sites include the ruins of a Benedictine abbey founded by Henry I in 1121 and Reading Gaol, where Oscar Wilde penned De Profundis. Today, Reading is an agricultural hub known for its nurseries and industries such as biscuit manufacturing, brewing, and technology. The University of Reading, established in 1926, is renowned for its agricultural research. The town covers 15 square miles and had a population of 155,698 in 2011.