Decision

Salford City Council - Record of Decision (Cabinet)

I Councillor Tracy Kelly, Statutory Deputy City Mayor, in exercise of the powers contained within the City Council Constitution do hereby approve:

1. Authorizes officers to commence a formal consultation exercise on proposals to designate a new Selective Licensing scheme which will cover parts of the Broughton and Kersal & Broughton Park wards.

The Reasons are:

Following on from the report in 2005 whereby the Lead Member approved the phased approach of introducing Selective Licensing, the Landlord Licensing Team has successfully implemented two schemes in this area. This most recent scheme expired in January 2021, officers have now reviewed the impact of the scheme. Analysis based on local intelligence, officer knowledge and the collection of evidence it has identified that parts of the Broughton and Kersal & Broughton Park wards might be suitable for a further designation of Selective Landlord licensing. It is considered that the scheme will complement the wider regeneration in the area that Salford City Council is helping to deliver. Selective Licensing will address existing issues of poor property and tenancy management in privately rented accommodation. The scheme will also ensure that new landlords investing in the designated area understand what is expected of them and will sustain the strong community that the regeneration programmes have worked hard to establish.

Options considered and rejected were:

• Take no action – this would be inconsistent with established Council policy and would fail to address the legitimate concerns of residents, local elected members and other stakeholders regarding the impact of the private rented sector on the local housing market.
• Defer the consultation of selective licensing in Broughton and Kersal & Broughton Park area.

Assessment of Risk:

The risk is considered low.  The report is seeking authority to commence a consultation exercise.  This exercise will be conducted in accordance with the requirements of the relevant legislation, government guidance, case law and best practice.

The source of funding is:

Landlord Licensing is a self-financing scheme. If implemented in this area the costs for running the scheme will be recovered through revenue acquired from the licence fee chargeable to landlords.

Legal Advice obtained: Yes contact officer Farrah Ehsan

In accordance with the provisions of section 80 of the Housing Act 2004 (‘the Act’) a local authority may designate either the area of their district or an area in the district as subject to selective licensing if it considers that the first or second set of ‘general conditions’ as defined in section 80(3) or 80(6) of the Act, or indeed any other conditions specified in an order under subsection 80 (7) of the Act as an additional set of conditions are satisfied in relation to the area. 

In this instance the report confirms that the Council considers that the first set of ‘general conditions’ as set out in section 80 (3) are satisfied in relation to the proposed area, namely that:

i) The area is, or is likely to become, an area of low housing demand; and

ii) That making a designation will, when combined with other measures taken in the area by the local housing authority, or by other persons together with the local housing authority, contribute to the improvement of the social or economic conditions in the area.

Section 80 of the Act sets out a number of matters which a council must consider when deciding if an area is or is likely to become an area of low housing demand.

Pursuant to section 81 of the Act the Council must also ensure that any exercise of the power is consistent with the authority’s overall housing strategy and that the Council seeks to adopt a co-ordinated approach in connection with dealing with homelessness, empty properties and anti-social behaviour, both as regards combining licensing with other courses of action available, and as regards combining such licensing with measures taken by other persons.

Further consideration has been given to the non-statutory guidance issued by Department for Levelling Up, Homes & Communities (Selective licensing in the private rented sector – A Guide for local authorities’ June2023

‘Selective Licensing in the Private Rented Sector’ (DLUHC June 2023).

Section 80 of the Act requires that before making a designation the Council must take reasonable steps to consult persons who are likely to be affected by the designation and consider any representations made in accordance with the consultation and not withdrawn. This must be done for a minimum of 10 weeks.

When exercising its functions, the Council must have regard to the Public Sector Equality Duty as set out in section 149 of the Equality Act 2010. Full impact assessments must be undertaken in relation to the proposals to both measure and record compliance with this duty.

Financial Advice obtained: Yes contact officer Paul Guest

This report seeks to obtain approval to go out to consultation for a Selective Licensing scheme within the Broughton area, and as such there are minimal financial implications as the work will be carried out within existing resources.

Any costs incurred in facilitating the statutory consultation will be met from the Housing Regulatory services revenue budget and are estimated to be no more than £7,500

If the scheme is implemented the costs for running the scheme would be self-financing from the fees chargeable to landlords

Procurement Advice obtained:

If approved, the consultation will be undertaken by existing internal staff resources.  Existing frameworks will be utilised for printing and stationary.

HR Advice obtained: Yes contact officer Steve Hulme

If approved, the consultation will be undertaken by existing staff resources.

Climate Change Advice obtained: Yes contact officer Mike Hemingway

Selective Licensing can assist in identifying rented properties in poor condition.  Where these properties are inspected and low energy performance is noted, measures will be required to be undertaken to improve the efficiency of the property.  Tenants identified as being in fuel poverty are referred to appropriate schemes.

The following documents have been used to assist the decision process:

Appendix A draft Consultation document Broughton

(if the documents disclose exempt or confidential information, they should not be listed, but the following wording shall be inserted : "(The relevant documents contain exempt or confidential information and are not available for public inspection)":-

Contact Officer:    Anne Arcus / Sarah Hughes                     

Telephone number: 0161 793 2249 / 3087

-       The appropriate scrutiny to call-in the decision is the Community and Neighbourhoods Scrutiny panel         

Signed:     Councillor Tracy Kelly                    Dated:  09.07.24                                                     Statutory Deputy City Mayor

For Democratic Services use only

This decision was published on  09.07.24                                           

This decision will come in force at 4.00 p.m. on 16.07.24                                                   unless it is called-in in accordance with the Decision Making Process Rules.