Renters’ Rights: PRS Database will NOT replace selective licensing says Minister

The new rented homes database being introduced under the Renters’ Rights Bill will NOT replace selective licensing, the Government has confirmed.  

Housing Minister, Matthew Pennycook said the two have ‘different purposes’ despite both systems pledging to improve property standards and reassure tenants their landlords are meeting their obligations. 

The news will come as a disappointment to many of those in the sector who had hoped the database would mean licensing schemes were no longer needed; although the Minister did commit to refining the way the schemes work together going forward, ‘including through sharing data’. 

He said: “Selective licensing and the Private Rented Sector Database have different purposes.  

“The database is not designed to replace selective licensing. Selective licensing schemes aim to target specific local issues by enabling more intensive proactive enforcement strategies.  

“Selective licensing is a valuable tool enabling local authorities to drive better outcomes for local residents, tenants, and responsible landlords.  

“We will continue to review the use of selective licensing as we develop the Private Rented Sector Database and will look to refine the way the two systems work together including through sharing data.” 

The Minister was responding to questions from Shadow Housing Secretary, Kevin Hollinrake, who also asked for details of the average licensing fee in England – with the Minister failing to answer this aspect of the question directly. 

What does the NRLA think? 

From what we know so far, the PRS database will require landlords to register their properties online and evidence compliance. As this data will be accessible to local authorities the NRLA has long argued that once established, the database will negate the need for selective licensing. 

Research by the NRLA – carried out on the previous administration’s similar plans for a Property Portal – suggests that many landlords also believe the database will render licensing obsolete, as the data collected will be duplicated. 

While the Government has been clear about its intentions to establish the database alongside licensing,  we continue to campaign for change to make the process for submitting documents more straightforward and to minimise red tape. 

At a minimum we would like to see gas and electricity safety certificates fully digitised so they can be easily uploaded onto the database, alongside already digitised Energy Performance Certificates, along with a signed declaration by a landlord confirming the property meets industry standards. 

We argue that without this essential information, the database will fail to help tenants determine whether properties are safe and secure,  undermining its intended purpose. 

You can read more about these calls here.    

More information 

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