Croydon Council’s housing scheme, which requires landlords to apply for a licence in order to let out properties in the London borough, is facing a legal challenge.
The scheme, which was approved by councillors after a three-month consultation with members of the public, means that licences will become a requirement from October.
The council said that the licences, which will require every private landlord in the borough to prove they are “fit and proper”, and can fulfil the duties expected of them, will cut down on crime and anti-social behaviour.
They will cost up to £750 and last for five years, and any landlord found to have breached their licence could be served with a fine of up to £20,000, or face prosecution.
However, in June, a group of landlords – collectively known as Croydon Property Forum (CPF) – applied for a judicial review of the council’s decision.
CPF has argued that the consultation process regarding the scheme was inadequate.
Gavin Dick, local authority policy officer at the National Landlords Association, who has been providing guidance to CPF, said: “I don’t think Croydon has an endemic anti-social behaviour problem across the entire borough and I don’t think the council has demonstrated that being linked to the private rented sector.
“They have not answered that fundamental question.”
By mid-July, a Judge is expected to decide whether or not CPF’s request for a review is warranted.
A spokesman for Croydon Council said: “We are confident that our landlord licensing scheme is robust, lawful and will raise housing standards across the borough, and we’ll continue preparing to launch this scheme from 1st October.”
The High Court took the decision, in December last year, to end plans for a similar licensing scheme in Enfield after a landlord’s challenge saw the council subjected to a judicial review.