Accreditation provides an exciting opportunity to promote
an expanded and better quality private rented sector
(PRS) and needs to be embraced by all PRS stakeholders.
In recent years the housing market has, and is continuing,
to go through significant changes and accreditation will
help the PRS to take advantage of the opportunities that
are opening up.
By way of background, accreditation started a decade
ago in the student sector. The regulation of standards
in the student market faced challenges because of the
difficulty in applying the definition of houses in multiple
occupation (HMOs) to shared housing. Accreditation emerged
as a means of voluntary self regulation with accredited
landlords achieving business advantage through the accreditation
status.
Higher educational institutions or their nominated agencies
such as UNIPOL and Manchester Student Homes operated
many of the original student schemes. Their early successes
encouraged local authorities to develop and launch schemes
to cover the entire PRS within their administrative borders.
Those first local authority schemes faced an uphill struggle
because they had to go through learning curves and break
down the barriers of mistrust between local authorities
and private landlords that had built up over many years.
Landlords were suspicious of the motives of local authorities
that they perceived as having anti PRS cultures at both
political and officer level and had traditionally enforced
standards but now wished to encourage and acknowledge
good standards and work with, not against private landlords.
Some of the early pioneering schemes failed through a
variety of reasons but many flourished. The successes
encouraged more local authorities to set up schemes.
Local Government officers and private landlords alike,
weary with the old antagonistic attitudes that traditional
enforcement of standards created, were all too willing
to try news ways of working.
By the late 1990s expansion of accreditation had come
to the attention of the Government which commissioned
Professor Philip Leather of the Centre for Urban Renewal
Studies, Birmingham University, to undertake research
into the increasing popularity of accreditation. The
outcome was that the Government liked what was reported
and accordingly threw its own weight behind supporting
accreditation by publishing extensive guidance to local
authorities on how to develop and successfully operate
accreditation schemes.
This strong message to local authorities that Government
actively supported accreditation turned the stream of
interest in accreditation into a torrent. The operators
of successful accreditation schemes became inundated
with enquiries about the practicalities of setting up
and operating schemes from organisations interested in
doing so. This encouraged Leeds City Council and UNIPOL
Student Homes to run the first National Accreditation
Fair in 2001. Two hundred and fifty delegates from around
the UK attended the event and the feedback indicated
that there was enormous interest in establishing accreditation
as a mainstream feature of the PRS.
This inspired key national PRS players, including the
Government and the Residential Landlords Association,
to create ANUK to publicise, promote and share good practice
in accreditation. This multi-agency organisation is one
of the key drivers for accreditation. It is run by a
management group that includes landlord representatives
such as those from the National Federation of Residential
Landlords and the British Property Federation.
Accreditation is now sweeping the country and new schemes
are continuously being launched or developed. By way
of examples, in July 2004, thirty-two London Boroughs
launched the London wide London landlords accreditation
scheme while last month, with Government support, ANUK
launched the first National Code of Standards for Larger
Student developments.
Estimates are that half the local authorities in England
already operate or are developing accreditation schemes.
Accreditation scheme practitioners estimate that within
three years it will be unusual for any part of the UK
containing any sizeable PRS to not have an accreditation
scheme. The acorn is growing.
The
times they are a changing and it is worthwhile considering
some of the contexts in which accreditation is flourishing.
Council housing, seen years ago as a ‘must have’ by
many people, can now be a last rather than a first choice
of housing. There has been an under investment in council
stock with the result that once popular estates are now
run down and are an unattractive choice for renting.
People are choosing to enter into owner occupation at
a later stage in life and are renting privately in the
interim. The private rented sector is thus becoming a
more attractive choice for accommodation.
The Government’s national strategic housing policy
states that it wishes to see an expanded and better quality
PRS. The PRS is working hard to improve its professionalism
and its image.
In addition to changes in the housing markets, individuals’ and
organisational attitudes are also changing. Modern methods
of getting things done effectively and efficiently are
based on partnership working. Accreditation provides
a mechanism for partnership working, but to be effective
it is necessary for historical prejudices and barriers
to be broken down.
A landlord’s perspective of a local authority has
commonly been that of an organisation having an anti
private landlord culture. Conversely a local authority
perspective of the PRS has often been that of an unprofessional
service sector where conditions are poor.
Outdated negative perceptions and attitudes need to change
in order to create effective partnerships. Accreditation
schemes provide the mechanisms for local authorities
and landlords to engage in constructive dialogue to understand
respective positions and build those partnerships.
Government is encouraging local authorities to separate
their landlord functions from their strategic housing
functions. Many local authorities have created ‘arms
length management organisations’ (ALMOs) to achieve
this, whilst many more have transferred their housing
stock to registered social landlords.
This move towards local authorities being the facilitators
of housing services rather direct providers is bringing
about a change in attitude towards the PRS. The PRS is
no longer seen as a ‘problem’ but instead
the PRS is seen for what it is, the provider of essential
accommodation services.
The emphasis now is on local authorities working with
the PRS to help private landlords to provide the type
and quality of letting services that are needed within
local authorities’ municipal areas.
A first step towards better partnership working is facing
up to realities. The links between poor housing and poor
health are well known. Consequently the rented housing
market is a regulated area and is likely to remain so
for the foreseeable future.
The way that conditions in the PRS are regulated however,
is the key area where change is needed and that accreditation
will bring about.
Improvement and maintenance of standards through enforcement
can be inefficient and can result in poor relationships
between the local authority and the landlord. However
there are some irresponsible landlords operating who
need to be forced to improve or get out of the market
and tough enforcement powers are needed to achieve this.
However for the vast majority of landlords voluntary
compliance with reasonable standards through the accreditation
process is the appropriate way to achieve good quality
accommodation. The accreditation process acknowledges
and encourages landlords and provides the information
and education mechanisms to assist them.
Local authority officers are well aware that the vast
majority of private landlords are responsible, well intentioned
and provide good services and are consequently embracing
accreditation as a new way of working with them. They
also see landlord education/training as a key to professionalising
the PRS.
The model that is emerging around the country as the
most appropriate for the regulation of standards in the
PRS is the complementary use of accreditation to support
the vast majority of good landlords and the targeted
tactical use of enforcement against that minority of
landlords who do not have the will or the competence
to provide decent accommodation services and who tarnish
the image of the rest.
This model includes enforcement powers being used in
accordance with the Government’s Enforcement concordat
that provides a framework for good practice including
transparency of enforcement policies and enforcement
action being proportionate to risk. The emphasis of the
model is on supporting landlords through the accreditation
process and using enforcement as a last rather than first
measure.
This model has Government support.
Indeed at the time of writing, the Government’s
paper on the implementation of HMO licensing is out for
consultation. The paper contains recommendations for
accredited landlords to be given favourable treatment
in their applications for HMO licences.
Accreditation through partnerships with local authorities
is the way forward for improving and maintaining good
standards within the PRS, improving its image and reputation
and increasing its prosperity.
The challenges of the new Housing Act makes it even more
imperative that local authorities and private landlords
work together to make the implementations of the Act
as painless as possible.
Accreditation is by its nature, voluntary and therefore
needs to be made to work. Local authorities are taking
the initiative to develop and operate accreditation schemes
and landlords need to support them in order to make them
work. In that way we can all look forward to a brighter
and more prosperous future for the PRS and turn our backs
on the old antagonistic ways of working.
If
you feel inspired to chat about any of the points
raised above please call Neil Marsden on 0113 247 6242
- or alternatively email him at n.marsden@fsmail.net.
The ANUK website can be found at www.anuk.org.uk.
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