TGSE Private Housing Sub Group Landlord Accreditation Project Background

1. TGSE Private Housing Sub Group Landlord Accreditation Project Background • To identify, analyse and agree a self–regulation TGSE landlord accreditation model. • To compliment the Sub–Region’s two key functions in their relationship with the private rental Sector • strategic enabling role • regulatory function • Project Agreed 27.11.08 by core housing strategy group. Links • TGSE Regional Housing Strategy (2008-11) - Investing in the Housing Stock • Increasing the supply of high quality housing • Contribute to the renewal of the current private housing stock  Stage 1 • ØTo determine the local context from which an accreditation scheme will be based. • ØTo explore activity in other regions. • ØEvaluation and recommendations. • ØRisks. • ØTo consult with landlords and agents, in exploring options. • ØTo agree a Sub-Regional Landlord Accreditation Scheme.

2. What is Landlord Accreditation? • Accreditation recognises and promotes good standards of property management • Accreditation is supported by the Government, national landlords associations, local authorities, shelter, the national union of students and the chartered institute of Environmental health amongst others • The Accreditation Network UK (ANUK) is the national body promoting accreditation and provides support and resources for those wishing to develop a scheme. • The majority of schemes accredit either properties, or landlords or a mixture of both through meeting agreed standards. • In return most schemes offer landlords incentives such as training, access to local authority services or discounts for goods and services.

3. What is Landlord Accreditation? • The Government is proposing a national register of landlords. • Accreditation Schemes will work alongside the register to provide the vehicle for increasing professionalism and providing encouragement for those aspiring to higher standards. • In a survey on accreditation carried out by LACORS, 76.4% of schemes accredited properties, 58.3% accredited landlords and 34.7% accredited letting/managing agents. • 97% of schemes operate a code of standards

4. Case Studies • The East Midlands Landlord Accreditation Scheme (EMLAS) is a comprehensive model which accredits landlords and properties. • It is more resource intensive than the other models studied. • The London Landlord Accreditation Scheme (LLAS) accredits landlords only, through the provision of training and events. • LLAS can provide a ready made scheme for TGSE based on either ‘full’ or ‘affiliate’ membership. • In the case of ‘full’ membership, LLAS will manage the scheme on TGSE’s behalf. • In the case of ‘affiliate’ membership, they will provide the tools and resources for TGSE to set up and launch their own scheme based on the LLAS model.

5. Case studies • The Wales Landlord Accreditation Scheme was developed on an ‘affiliate’ membership basis. • The Greater Norwich Landlord Accreditation Scheme is managed on a partnership basis by the Eastern Landlords Association (ELA) on behalf of the member authorities. • The scheme accredits landlords by inspecting properties to ensure they meet set standards

6. Costs • To set up a stand alone scheme would take around six months to a year to set up and would cost in the region of £30,000 -40,000 • To operate a stand alone scheme would cost between £60,000-£100,000 per annum • The cost for ‘full’ membership of LLAS is £2500 per year per authority • The cost for ‘affiliate’ membership of LLAS is a one off payment of £1000 per authority

7. Risks • The biggest risk to the development of a successful scheme is lack of commitment and resources from the authorities involved. • Without a demonstrable commitment from the authorities, landlords will be reluctant to become involved. • Any scheme must offer tangible benefits for landlords to make accreditation attractive. • A scheme must continuously strive to develop and improve to ensure its continued relevance. • A successful scheme will ensure its credibility by enforcing the terms of its code of conduct and taking action against those who do not meet their responsibilities.

8. Other Issues • Letting/Managing agents dominate a large proportion of the Private Rental Sector (PRS) around the country. • The National Approved Letting Scheme (NALS) and the Association of Residential Letting Agents (ARLA) offer accreditation schemes for letting/managing agents. • Increased housing construction in TGSE could see an increase in the size of the PRS in the sub-region. • This could see a corresponding increase in inexperienced and ill-equipped landlords who require support.

9. Matters for Further Consideration • Student Accommodation • Choice Based Lettings • Decent Homes • Housing Options

10. Suggested Way Forward • LLAS Best Option • TGSE Appoint Lead Officer For Scheme • Member Authorities Identify Liaison Officers • Begin Consultation With Local PRS • Identify Possible Incentives • Launch Scheme

11. TGSE Private Housing Sub Group Landlord Accreditation Project Stage 2 • To match the best scheme to the TGSE needs and resources – full membership with LLAS • Lead Authority – Southend. Work to be complimented by working agreements. • Lead Authority with support of Chair, to explore/scrutinise the proposed partnership -contractual, legal and operational issues • To review the resources need to plan, consult and implement the LLAS scheme in TGSE. • To set timescale and performance outcomes for completion of stage 2. • To promote, performance manage, monitor and evaluate the agreed scheme