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Gateshead Council is set to significantly expand its property licensing schemes, a move that has sparked considerable debate among local landlords and letting agents. This decision, which aims to increase the number of licensed properties from 950 to 5,400 across 16 areas within 10 wards, has been met with resistance from property owners who are concerned about the implications for their businesses and tenant relationships.
Key Details of the Licensing Expansion
The expansion of Gateshead property licensing is a substantial shift in local property regulations. The council plans to introduce a borough-wide additional HMO licensing scheme, which will affect an estimated 370 larger Houses in Multiple Occupation (HMOs). This move is part of a broader strategy to improve housing standards and address issues related to tenant safety and neighborhood quality.
The affected wards include Birtley, Bridges, Chopwell & Rowlands Gill, Deckham, Felling, High Fell, Lobley Hill & Bensham, Saltwell, Whickham North, and Dunston & Teams. The licensing fees are set at £850 for selective licensing and £976 for the additional HMO scheme. However, discounts are available for members of local landlord associations and Safeagent accredited agents, providing some financial relief for those who are part of these groups.
Impact on Letting Agents & Landlords
The expansion of selective licensing has raised significant landlord concerns. Many property owners and letting agents argue that the new regulations unfairly penalize compliant landlords by holding them responsible for tenants’ behavior. This concern is particularly acute in areas where tenant turnover is high, and landlords feel they have limited control over tenant actions.
Moreover, the financial burden of the licensing fees, despite available discounts, adds to the operational costs for landlords, potentially impacting rental prices and the availability of affordable housing. Letting agents, who often manage multiple properties, may also face increased administrative duties to ensure compliance with the new regulations.
Next Steps & Policy Changes
The council’s Head of Housing, Kevin Scarlett, approved the report on February 18, 2025, setting the stage for the implementation of these new licensing schemes. The first phase is scheduled to begin on June 1, with the second phase following on October 1. This phased approach allows landlords and letting agents some time to prepare for the changes and ensure their properties meet the necessary standards.
For landlords and agents looking to stay compliant, Kamma’s property licence checker makes it easy to check if your property needs a licence. This tool can be invaluable in navigating the complexities of the new licensing requirements.
Conclusion
The expansion of property licensing in Gateshead represents a significant change in local property regulations, with far-reaching implications for landlords, letting agents, and tenants. While the council aims to improve housing standards and community well-being, the concerns raised by landlords highlight the need for a balanced approach that considers the challenges faced by property owners.
Staying compliant with ever-changing property licensing rules is crucial for landlords and letting agents. Explore Kamma’s Property Licensing guides for detailed insights on your region’s requirements. By staying informed and proactive, landlords and agents can better navigate these changes and continue to provide quality housing in Gateshead.
