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Industry body calls for end to local landlord licensing

Propertymark has called for local landlord licensing schemes to be scrapped once England’s national landlord register becomes operational, arguing that the current system creates unnecessary duplication and costs for landlords.

The trade body has published research examining the cost, effectiveness and enforcement of selective and additional licensing schemes across England and Wales, concluding that broad local schemes impose significant costs on landlords without necessarily improving enforcement outcomes.

National database rollout

The national landlord registration service launches on 15 December 2026, beginning in the West Midlands before rolling out across England over the following 12 months. All landlords actively letting properties in England will be required to register.

Propertymark argues that councils should use the national database as their primary source of landlord and property information, rather than requiring landlords to submit the same documents repeatedly through local schemes and pay additional fees for data already held nationally.

Licensing costs and enforcement capacity

The research highlights selective licensing fees exceeding £1,000 per property in several areas, with additional licensing schemes charging more. For landlords managing larger portfolios, total costs can reach tens of thousands of pounds.

Propertymark raises concerns about enforcement capacity, citing evidence that approximately two-thirds of councils in England had not prosecuted a landlord in the previous three years, despite an estimated 300,000 complaints about property conditions annually. More than 84% of councils report difficulty recruiting environmental health professionals.

The organisation is calling for greater transparency regarding licensing income, with councils required to show how fees are spent on inspections and enforcement. It proposes a national cap limiting initial administration to 20% of fee income.

Tim Thomas, Senior Policy and Campaigns Officer at Propertymark, said: “Landlords should be able to see a clear connection between the fees they pay and the improvements being delivered in their local housing market. The priority must be enforcement. A licensing system should not become an end in itself, particularly where councils already have extensive powers to identify and act against unsafe or poorly managed housing.”

Market implications

The proposals come as the rental market faces broader regulatory changes, with implications for landlords’ operational costs and compliance requirements. The debate over licensing fees adds to ongoing discussions about the financial viability of buy-to-let investments.

Propertymark states that the database’s success should be measured not by registration numbers, but by whether it enables councils to act against non-compliant landlords more effectively. The organisation views the national register as an opportunity to reduce duplication and allow councils to focus enforcement resources on landlords posing the greatest risk to tenants.

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