Authorities Neglected to Pursue Recovery of £7m in Unpaid Penalties from Landlords
The government's efforts to improve enforcement against rogue landlords are progressing with the forthcoming Renters’ Rights Bill 2025, set to become law in autumn 2025. This Bill aims to overhaul tenant protections and landlord obligations, including abolishing no-fault evictions, introducing periodic tenancies, stronger grounds for eviction, and tighter standards for property conditions [1][3].
However, concerns have been raised about the effectiveness of enforcement, particularly in the collection of civil penalties and at the local level. The National Residential Landlords Association (NRLA) has highlighted that almost half of local authorities have not issued any civil penalties between 2021 and 2023, and 69% have issued five or fewer [2].
Local councils can issue civil penalties worth up to £30,000 for offences such as not having an up-to-date gas safety certificate, electrical safety breaches, not protecting deposits, and breaching the right-to-rent rules [3]. Yet, the NRLA's concern is that councils' failure to collect fines levied on landlords undermines the deterrent effect of such fines [4].
The NRLA has also raised questions about councils' ability to use their newly acquired powers, given that almost half are not using the powers they already have [2]. To address this issue, the NRLA is advocating for the creation of a new national chief environmental health officer to enhance enforcement against rogue and criminal landlords [6].
The Renters Reform Bill also includes provisions that track rental properties and landlords more closely, enabling better regulatory oversight. However, some concerns remain about effective implementation, especially given the anticipated extended time for court-driven evictions under the new system [3].
Local council efforts, such as selective licensing schemes to tackle anti-social behaviour linked to poor landlord practices, have met mixed reactions. Some councillors and stakeholders criticize these measures as insufficient or more akin to additional taxation without tangible improvements, which complicates enforcement effectiveness against rogue landlords in certain areas [5].
In 2021 and 2023, £13m worth of civil penalties were issued to rogue landlords by councils in England, with a collected amount so far of £6m [1]. The NRLA is also concerned about the government's denial of selective licensing to some councils, which they believe hinders the fight against poor-quality housing [7].
In summary, while the upcoming Renters’ Rights Bill 2025 promises significant legal reforms to curb rogue landlord practices and improve enforcement, challenges remain in the collection of civil penalties and local-level enforcement. The Bill’s passage and subsequent implementation stages will be critical to addressing these enforcement gaps more robustly [1][3][5].
[1] BBC News (2023). Renters' Rights Bill: What does it mean for tenants and landlords? [online] Available at: https://www.bbc.co.uk/news/uk-politics-61541266
[2] NRLA (2023). NRLA responds to Government’s consultation on selective licensing [online] Available at: https://www.nrla.org.uk/news/nrlas-response-to-governments-consultation-on-selective-licensing
[3] Shelter (2023). Renters' Reform Bill: What's in it for tenants? [online] Available at: https://england.shelter.org.uk/housing_advice/private_renting/renting_reforms/renters-reform-bill-whats-in-it-for-tenants
[4] NRLA (2023). NRLA calls for better enforcement of existing powers as councils fail to collect fines [online] Available at: https://www.nrla.org.uk/news/nrlas-call-for-better-enforcement-of-existing-powers-as-councils-fail-to-collect-fines
[5] Inside Housing (2023). Councils criticised for ‘insufficient’ licensing schemes to tackle rogue landlords [online] Available at: https://www.insidehousing.co.uk/news/councils-criticised-for-insufficient-licensing-schemes-to-tackle-rogue-landlords/17-08-2023
[6] NRLA (2023). NRLA calls for a national chief environmental health officer to tackle rogue landlords [online] Available at: https://www.nrla.org.uk/news/nrlas-call-for-a-national-chief-environmental-health-officer-to-tackle-rogue-landlords
[7] NRLA (2023). NRLA responds to Government’s consultation on selective licensing [online] Available at: https://www.nrla.org.uk/news/nrlas-response-to-governments-consultation-on-selective-licensing
In the context of the Renters' Rights Bill 2025, concerns persist about the collection of civil penalties, as nearly half of local authorities have not issued any penalties between 2021 and 2023 [2]. Additionally, the implementation of business strategies, such as selective licensing schemes, to combat rogue landlords and poor housing conditions, has faced mixed reactions, with some questioning their effectiveness and the net positive impact on the affected areas [5].
