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Politicians have backed the principle of a £30-a-year landlord licensing scheme – but the details will be reviewed by backbenchers before returning to the States Assembly for approval.
States Members voted by 34 votes to 10 to support Environment Minister Jonathan Renouf’s plan to licence landlords and give officers the power to enforce minimum standards of rented accommodation that were introduced in 2018.
The regulations underpinning the proposed law will now be reviewed by Scrutiny, who have until 7 November to suggest any amendments. However, Deputy Steve Luce, who chairs the Environment, Housing and Infrastructure Panel which will review the details, said he would try to publish its findings before then.
Although the law was due to come into force on 1 January next year, if approved, it will know not be implemented until May at the earliest.
In presenting his plan to the Assembly, Deputy Renouf said: “All dwellings defined as being under the scope of the 2018 Law will require a licence. In applying for a licence, a landlord will effectively be ‘self-certifying’ that the dwelling meets the minimum standards and is compliant with the law.
“A licence will last for two years and will cost £60 - in other words £30-a-year. I calculate that is 0.1 to 0.2% of a typical annual rental.
“I’m advised it’s also a tax-deductible business expense. I also note in passing that it is less than the cost of membership of the Jersey Landlords’ Association.”
He added: “Landlords who are already renting will be able to apply for a licence for their rented dwellings without pre-inspection if the application is made before 31 March 2024. This will enable landlords and managing agents to continue business as usual and will therefore not have any negative impact on the availability of rented accommodation.
“After that, licence applications may - may - have an inspection. I emphasise may be inspected, because in most cases, it is unlikely there will be an inspection. That’s because inspections will be done on a risk-assessed basis. If a property isa brand new or recently renovated property for example, one wouldn’t expect there to be an inspection.”
Members speaking against included Deputy Sir Philip Bailhache, who argued that that scheme was not “light touch” as Deputy Renouf had claimed, but it gave the Minister “dictatorial powers” with scope to arbitrarily add conditions to a licence.
Others against the proposed licensing scheme included Deputy Moz Scott, who said it was a “stealth tax”, and Deputy Steve Ahier, who raised concerns about what he saw was a disproportionate financial burden on Andium Homes.
But the vast majority of Members stood to voice their support for the scheme, with a number saying it was long overdue.
The previous Assembly debated several propositions relating to the regulation of private rented dwellings, including attempts to introduce a licensing system. The most recent of those, in July 2021, was defeated by just a single vote.
Those voting against were Constables Mike Jackson, Philip Le Sueur and Richard Honeycombe and Deputies Mary Le Hegarat, Steve Ahier, Sir Philip Bailihache, Moz Scott, Andy Howell, Malcolm Ferey and Barbara Ward.
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