The council has warned any landlords who try to get away with letting out a substandard property will face an unlimited fine
A London council has announced it is placing a new £925 charge on the majority of landlords, with some having to pay even more at £1,400, in order to let out the home. Hackney Council is taking action to raise standards of properties available to rent and to protect tenants from rogue landlords who could face unlimited fines.
The council’s cabinet approved the new rule on Monday (November 24) which means most private landlords will have to get a licence for each property they own and agree to a number of minimum standards to ensure they are well maintained and managed. This will come in from May 2026, when most Hackney landlords will need to apply for a licence, which will cost £925 for a single home and £1,400 for a house in multiple occupation (HMOs).
The scheme is designed to be cost-neutral to the council, with fees set to cover the administration, inspection and monitoring needed to maintain safe, high-quality homes across the borough.
All HMOs in Hackney made up of three or more people from two or more households, will need to have a licence. This expands on the existing mandatory licenses across all of the UK for five or more people making up two or more households.
A selective licensing scheme has also been introduced for almost all private rented homes in 17 of the 21 wards in Hackney – 76 per cent of privately rented homes – meaning those homes will need a license regardless of the number of tenants. The remaining four wards will be covered by additional licensing.
‘We’ll take action against landlords who don’t play by these new rules’
Caroline Woodley, Mayor of Hackney, said: “Everyone in Hackney deserves a good, safe and secure home, and we know more must be done to make that a reality. Most landlords do the right thing, but too many renters face unacceptable conditions and poor property management.
“These conditions don’t just harm individual tenants, they also contribute to wider issues in Hackney – from disrepair to antisocial behaviour. We’ll use every tool we have to enforce against landlords who don’t play by these new rules and focus on building up a network of responsible landlords in the borough.’’
Councillor Sem Moema, Deputy Cabinet Member for Private Renting and Housing Affordability, said “We’ve long campaigned for changes to the private rented sector, including a ban on section 21 no fault evictions. This new licensing scheme alongside the introduction of the Renters’ Rights Act is a big step in ensuring that we can raise standards for people in privately rented homes, support responsible landlords and help our residents have safe and well managed homes.’’
Private rented homes make up nearly a third of residential properties in Hackney. A recent independent review of Hackney’s private rented sector found that a significant proportion of privately rented homes may contain serious hazards – almost double the national average. These issues are even more prevalent in houses in multiple occupation, with 30 per cent of HMOs in the borough predicted to have a serious hazard, three times the national average.
Should monitoring and inspections find substandard conditions, the council will work with the landlord to resolve them, but those who fail to meet their obligations or put tenants at risk could face unlimited fines.
Keep up with the latest East London news. Sign up to our MyEastLondon newsletter HERE for daily updates and more.
