Council promises: “Licensing will not make money”


Bosses at Boston Borough Council have stressed that they will not be making money out of plans to licence all private rented homes.

The council says it wants to ‘quash’ rumours – stressing that the laws surrounding such schemes only allow them to recover the costs.

It is currently consulting on plans to ask landlords to pay £490 to license each private rented home. The plan was hatched to try to crackdown on rogue landlords, overcrowding and anti-social behaviour.

A spokesman said: “Directive 2006/123/EC of the European Parliament rules that any charges which the applicants may incur from their application shall be reasonable and proportionate to the cost of the authorisation procedures in question and shall not exceed the cost of the procedures. And the Court of Appeal has held that – as a result of Article 13.2 of the Services Directive (2006/123) – licensing authorities could not charge licensees more than the costs of the authorisation procedures themselves.

“It upheld a High Court judge’s ruling that while the costs of the authorisation, including monitoring compliance of operators, were fairly part of the fee, the costs of enforcement against unlicensed third party operators were not.”

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