Rogue landlords to be hit with £40,000 fines in new council crackdown

English councils are set to receive new funding and training to intensify their crackdown on rogue landlords.

All 317 local authorities will share £41 million, following an initial commitment of £18 million last autumn.

This investment will make preparations to strengthen the powers and responsibilities of councils within the scope of the Tenant Rights Law, which will come into force on May 1.

The legislation will impose a “duty of enforcement” on local authorities, making them legally obliged to ensure landlords comply with the new rules.

These include bans on bidding wars among prospective tenants and no-fault evictions.

Landlords who seriously or repeatedly violate the law will also face significantly higher penalties; Fines will rise to a maximum of £40,000 (a further £10,000 on top of the existing limit).

Housing Minister Steve Reed said the Government was preparing councils to use their new powers “against the minority of landlords who rip off their tenants” and that the new funding would help councils deliver on their duties.

Around £50 million will be invested in modernizing civil courts, which the government hopes will help resolve disputes, but this applies to the system as a whole, not just rent cases.

“The Tenants’ Bill of Rights is a historic piece of legislation and our courts must be ready to deliver justice,” said Courts Minister Sarah Sackman.

Ben Beadle, chief executive of the National Residential Landlords Association, welcomed the announcement as evidence that the Government is “serious about tackling those who bring the industry into disrepute”.

“Rogue landlords have no place in the private rental sector and every effort should be made by local authorities to remove them from the market,” he said.

Ben Twomey, CEO of Generation Rent, said: “The Tenants Bill of Rights is a vital step in addressing the power imbalance between tenants and landlords.

“But if councils take action against homeowners who do not comply with the new rules, the law will reach people’s homes and make a positive difference to their lives.

“We are therefore pleased to see the Government allocating more funding to councils and increasing their ability to ensure tenants feel the benefit of the changes from 1 May.”