This article is an external press release originally published on the Landlord News website, which has now been migrated to the Just Landlords blog.
A buy-to-let landlord who failed to gain a licence for a property in London has been told to repay nearly £40,000 after being taken to court by Islington Council.
The Council made the call to reclaim to money it paid to Landhouse Ltd in housing benefits relating to a HMO. This came after the firm admitted to renting out the property without the sufficient HMO licence.
Inspections
Environmental health officers from the council conducted an inspection of the property and found it to be overcrowded and poorly managed. There were a number of fire hazards present throughout the property.
During a hearing at the Property Chamber, London Residential Property First Tier Tribunal, the landlord was told to pay £14,140 in both costs and fines. This was alongside repaying the council £39,022.52 in housing benefits, relating to the period when the flat was rented without a licence.
Landlord told to repay over £39,000
Now, Landhouse Ltd has applied for a licence, but is still liable to repay the benefit, which will be returned to a central Government housing benefit consolidation fund.
Councillor Diarmaid Ward, Islington Council’s executive member for housing and development, said: ‘More and more people rent privately in Islington and we’re committed to helping make sure they have decent homes to live in. We will take action when landlords do not keep within the law and as this case shows the costs can be very significant.’[1]
[1] https://www.landlordtoday.co.uk/breaking-news/2017/1/landlord-ordered-to-repay-39-000-rent
