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London councils recover third of fines issued to landlords

London councils collected approximately one-third of fines issued to private landlords for housing offences during 2023/24 and 2024/25, according to data compiled by the National Residential Landlords Association (NRLA).

The figures, obtained through Freedom of Information requests, show that 32 London boroughs issued nearly £8.7 million in civil penalties but recovered just under £3 million. More than 1,300 penalties were issued during the period.

Enforcement gaps identified

Five authorities—City of London Corporation, London Borough of Bexley, London Borough of Bromley, London Borough of Croydon, and London Borough of Hammersmith and Fulham—reported issuing no penalties during this timeframe.

The data emerges ahead of the Renters’ Rights Act, scheduled to take effect on 1 May, which will increase the maximum civil penalty from £7,000 to £40,000.

Industry response

Ben Beadle, chief executive of the NRLA, said: “Tenants and the vast majority of responsible landlords across London will rightly be fed up with our findings. For too long a minority of rogue and criminal operators have been allowed to act with impunity, bringing the sector into disrepute.”

He added: “This also raises serious questions about how ready councils across the capital are to enforce the Renters’ Rights Act, and about the adequacy of the upfront funding provided to them to support enforcement action.”

Implications for the sector

The NRLA has called for a review of local authority funding, greater transparency on enforcement activity, and the introduction of a national lead for environmental health. The organisation stated that limited enforcement resources risk allowing non-compliant landlords to avoid penalties.

The low collection rate raises questions about enforcement capacity as councils prepare to implement higher penalties under the new legislation. The gap between fines issued and collected suggests potential challenges in the regulatory framework affecting both compliant landlords who fund enforcement through licensing fees and tenants living in non-compliant properties.

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