Housing Bill

House of Commons

Session 2003 - 04
Internet Publications
Other Bills before Parliament

Housing Bill

Housing Bill
Part 2 — Licensing of houses in multiple occupation
40

to have effect in relation to a section 215 HMO with such modifications as are
prescribed by the regulations.
A “section 215 HMO” is an HMO which is a converted block of flats to which
section 215 applies.
(6)
In this Part (unless the context otherwise requires)—
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(a)
references to a licence are to a licence under this Part,
(b)
references to a licence holder are to be read accordingly, and
(c)
references to an HMO being (or not being) licensed under this Part are
to its being (or not being) an HMO in respect of which a licence is in
force under this Part.
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61
Temporary exemption from licensing requirement
(1)
This section applies where a person having control of or managing an HMO
which is required to be licensed under this Part (see section 60(1)) but is not so
licensed, notifies the local housing authority of his intention to take particular
steps with a view to securing that the house is no longer required to be
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licensed.
(2)
The authority may, if they think fit, serve on that person a notice under this
section (“a temporary exemption notice”) in respect of the house.
(3)
If a temporary exemption notice is served under this section, the house is (in
accordance with sections 60(1) and 82(1)) not required to be licensed either
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under this Part or under Part 3 during the period for which the notice is in
force.
(4)
A temporary exemption notice under this section is in force—
(a)
for the period of 3 months beginning with the date on which it is
served, or
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(b)
(in the case of a notice served by virtue of subsection (5)) for the period
of 3 months after the date when the first notice ceases to be in force.
(5)
If the authority—
(a)
receive a further notification under subsection (1), and
(b)
consider that there are exceptional circumstances that justify the service
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of a second temporary exemption notice in respect of the house that
would take effect from the end of the period of 3 months applying to
the first notice,

the authority may serve a second such notice on the person having control of
or managing the house (but no further notice may be served by virtue of this
35
subsection).
(6)
If the authority decide not to serve a temporary exemption notice in response
to a notification under subsection (1), they must without delay serve on the
person concerned a notice informing him of—
(a)
the decision,
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(b)
the reasons for it and the date on which it was made,
(c)
the right to appeal against the decision under subsection (7), and
(d)
the period within which an appeal may be made under that subsection.
(7)
The person concerned may appeal to a residential property tribunal against the
decision within the period of 28 days beginning with the date specified under
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subsection (6) as the date on which it was made.

Housing Bill
Part 2 — Licensing of houses in multiple occupation
41

(8)
Such an appeal—
(a)
is to be by way of a re-hearing, but
(b)
may be determined having regard to matters of which the authority
were unaware.
(9)
The tribunal—
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(a)
may confirm or reverse the decision of the authority, and
(b)
if it reverses the decision, must direct the authority to serve a temporary
exemption notice that comes into force on such date as the tribunal
directs.
Grant or refusal of licences
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62
Applications for licences
(1)
An application for a licence must be made to the local housing authority.
(2)
The application must be made in accordance with such requirements as the
authority may specify.
(3)
The authority may, in particular, require the application to be accompanied by
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a fee fixed by the authority.
(4)
The power of the authority to specify requirements under this section is subject
to any regulations made under subsection (5).
(5)
The appropriate national authority may by regulations make provision about
the making of applications under this section.
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(6)
Such regulations may, in particular—
(a)
specify the manner and form in which applications are to be made;
(b)
require the applicant to give copies of the application, or information
about it, to particular persons;
(c)
specify the information which is to be supplied in connection with
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applications;
(d)
specify the maximum fees which are to be charged (whether by
specifying amounts or methods for calculating amounts);
(e)
specify cases in which no fees are to be charged or fees are to be
refunded.
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(7)
When fixing fees under this section, the local housing authority may (subject to
any regulations made under subsection (5)) take into account—
(a)
all costs incurred by the authority in carrying out their functions under
this Part, and
(b)
all costs incurred by them in carrying out their functions under Part 4
35
in relation to HMOs (so far as they are not recoverable under or by
virtue of any provision of that Part).
63
Grant or refusal of licence
(1)
Where an application in respect of an HMO is made to the local housing
authority under section 62, the authority may either—
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(a)
grant a licence in accordance with subsection (2), or
(b)
refuse to grant a licence.

Housing Bill
Part 2 — Licensing of houses in multiple occupation
42

(2)
If the authority are satisfied as to the matters mentioned in subsection (3), they
may grant a licence either—
(a)
to the applicant, or
(b)
to some other person, if both he and the applicant agree.
(3)
The matters are—
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(a)
that the house is reasonably suitable for occupation by not more than
the maximum number of households or persons mentioned in
subsection (4) or that it can be made so suitable by the imposition of
conditions under section 66;
(b)
that the proposed licence holder—
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(i)
is a fit and proper person to be the licence holder, and
(ii)
is, out of all the persons reasonably available to be the licence
holder in respect of the house, the most appropriate person to
be the licence holder;
(c)
that the proposed manager of the house is either—
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(i)
the person having control of the house, or
(ii)
a person who is an agent or employee of the person having
control of the house;
(d)
that the proposed manager of the house is a fit and proper person to be
the manager of the house; and
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(e)
that the proposed management arrangements for the house are
otherwise satisfactory.
(4)
The maximum number of households or persons referred to in subsection
(3)(a) is—
(a)
the maximum number specified in the application, or
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(b)
some other maximum number decided by the authority.
(5)
Sections 64 and 65 apply for the purposes of this section.
64
Tests as to suitability for multiple occupation
(1)
The local housing authority cannot be satisfied for the purposes of section
63(3)(a) that the house is reasonably suitable for occupation by a particular
30
maximum number of households or persons if they consider that it fails to
meet prescribed standards for occupation by that number of households or
persons.
(2)
But the authority may decide that the house is not reasonably suitable for
occupation by a particular maximum number of households or persons even if
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it does meet prescribed standards for occupation by that number of
households or persons.
(3)
In this section “prescribed standards” means standards prescribed by
regulations made by the appropriate national authority.
(4)
The standards that may be so prescribed include—
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(a)
standards as to the number, type and quality of—
(i)
bathrooms, toilets, washbasins and showers,
(ii)
areas for food storage, preparation and cooking, and
(iii)
laundry facilities,

which should be available in particular circumstances; and
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Housing Bill
Part 2 — Licensing of houses in multiple occupation
43

(b)
standards as to the number, type and quality of other facilities or
equipment which should be available in particular circumstances.
65
Tests for fitness etc. and satisfactory management arrangements
(1)
In deciding for the purposes of section 63(3)(b) or (d) whether a person (“P”) is
a fit and proper person to be the licence holder or (as the case may be) the
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manager of the house, the local housing authority must have regard (among
other things) to any evidence within subsection (2) or (3).
(2)
Evidence is within this subsection if it shows that P has—
(a)
committed any offence involving fraud or other dishonesty, or violence
or drugs;
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(b)
practised unlawful discrimination on grounds of sex, colour, race,
ethnic or national origins or disability in, or in connection with, the
carrying on of any business;
(c)
contravened any provision of the law relating to housing or of landlord
and tenant law; or
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(d)
acted otherwise than in accordance with any applicable code of practice
approved under section 193.
(3)
Evidence is within this subsection if—
(a)
it shows that any person associated or formerly associated with P
(whether on a personal, work or other basis) has done any of the things
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set out in subsection (2)(a) to (d), and
(b)
it appears to the authority that the evidence is relevant to the question
whether P is a fit and proper person to be the licence holder or (as the
case may be) the manager of the house.
(4)
For the purposes of section 63(3)(b) the local housing authority must assume,
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unless the contrary is shown, that the person having control of the house is a
more appropriate person to be the licence holder than a person not having
control of it.
(5)
In deciding for the purposes of section 63(3)(e) whether the proposed
management arrangements for the house are otherwise satisfactory, the local
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housing authority must have regard (among other things) to the considerations
mentioned in subsection (6).
(6)
The considerations are—
(a)
whether any person proposed to be involved in the management of the
house has a sufficient level of competence to be so involved;
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(b)
whether any person proposed to be involved in the management of the
house (other than the manager) is a fit and proper person to be so
involved; and
(c)
whether any proposed management structures and funding
arrangements are suitable.
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(7)
Any reference in section 63(3)(b)(i) or (ii) or subsection (4) above to a person
having control of the house, or to being a person of any other description,
includes a reference to a person who is proposing to have control of the house,
or (as the case may be) to be a person of that description, at the time when the
licence would come into force.
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