The Labour government has confirmed that purpose-built student
accommodation (PBSA) providers will be exempt from the proposed Decent
Homes Standard – but private rented sector (PRS) student landlords must
follow the rules. The government says it will consult on a new standard for
the social housing and PRS sectors – the consultation will look to ensure
safe, secure housing as the standard which tenants can expect.
However, private student landlords could be facing significant penalties
for failing to meet the standard.
The penalties include fines of up to £40,000 and the possibility of paying
student tenants up to TWO years’ worth of rent.
Regulations and enforcement of landlords
The news comes after Labour MP Uma Kumaran asked the housing minister
Matthew Pennycook about what assessment has been made of the adequacy of
the regulations and enforcement of landlords in the student sector, so they
are held ‘accountable’.
Mr Pennycook replied: “The government is committed to improving housing
quality for students and will apply a Decent Homes Standard (DHS) to the
private rented sector (PRS) for the first time to ensure homes are safe,
secure and hazard free. “This will include homes let to students on assured
tenancies. The Renters’ Rights Bill is the means by which this will be
done.”
He says that local authorities will be handed enforcement powers to serve a
notice for a landlord to make the necessary improvements.
Local authority prosecuting the landlord
Failing to improve a student home could see the local authority prosecuting
the landlord or imposing a financial penalty of up to £40,000.
Mr Pennycook said: “The proceeds of which it must use for future PRS
enforcement action.
“Tenants, and local authorities, where any rent has been paid via Universal
Credit, will also be able to take direct action in such instances by
pursuing a rent repayment order, meaning the responsible landlord will need
to pay the tenant, or local authority, up to two years’ rent.”
Not all student landlords will be affected
However, the minister also made clear that not all student landlords will
be affected by the Bill, and he explained: “The Bill will exempt
purpose-built student accommodation (PBSA) from the assured tenancy system
if the landlord is signed up to a government approved code of management
practice.
“Such accommodation will therefore not be subject to the DHS, but landlords
will need to meet rigorous standards set by the codes which are tailored to
the needs of PBSA.”
This will mean ensuring accommodation safety and that it’s well-managed
with ‘effective working relationship between tenants and managers’.
PBSA code members must have robust procedures for handling tenant
complaints.
Failing to do so, Mr Pennycook says, ‘will result in membership being
terminated, meaning the property will then be subject to the DHS.’
‘Every tenant deserves a home that is safe’
Writing on the National Residential Landlords Association (NRLA) website,
its chief executive Ben Beadle said: “I am sure every landlord worth their
salt would agree that every tenant – regardless of tenure – deserves a home
that is safe, warm and secure.
“But is the existing
Decent Homes Standard
, with its over reliance on arbitrary figures, really the right vehicle for
delivering this?”
He adds: “Standards in the PRS are covered by the existing Housing, Health
and Safety Rating System (HHSRS), a system which is itself currently under
review.
“What is key is whether a property is fit for purpose, not arbitrary
figures.
“Any standard needs to be tailored to the private rented sector and I have
been speaking to both the housing minister and shadow housing minister to
make just this point.”
‘Aim to improve student housing standards’
The managing director of
Accommodation for Students
, Simon Thompson, said: “While the government’s aim to improve student
housing standards is commendable, the exemption for PBSA providers creates
an uneven playing field.
“This could potentially drive more landlords away from the PRS market,
further exacerbating the housing crisis for students.”
He added: “It’s crucial that the government-approved codes of practice for
PBSA are robust and effectively enforced.
“Landlords in the PRS sector are facing significant financial and
regulatory burdens.
“The government must ensure that these codes do not create a loophole that
allows for substandard living conditions within PBSA.”
