The joint head of the dispute resolution team at JST Lawyers on the Philip Olivier landlord case
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OPINION
Chris Harmer on multiple occupancy housing
FORMER Brookside actor Philip Olivier recently became the first person in Liverpool to be prosecuted under strict property laws introduced in 2006 and was hit with a £20,000 penalty for being a landlord of a multiple occupancy house without a licence.
Although Olivier had his penalty reduced to £15,000, he must repay the fine by the end of July or risks a six month jail sentence. His case may have been the first of its kind in the city, but could become commonplace as landlords and property managers fail to get to grips with complex housing legislation.
Under the Housing Act 2004, which came into affect in April 2006, certain types of buildings let to tenants are classed as Houses in Multiple Occupation. Landlords and property managers letting HMOs must obtain a specialist licence from their local authority. The licences replaced HMO registration for everything except self-contained flats that do not comply with Building Regulations 1991.
However, not every type of HMO requires a license, which causes confusion among property professionals. Local authorities can grant licences for up to five years and landlords must apply for a licence for each HMO they are letting out.
It is imperative that Liverpool’s landlords and property managers take heed of Olivier’s case and seek expert advice if they are in any doubt about the status of their properties. Those that do not comply with the legislation face fines of up to £20,000 as well as repayment of tenant rents. Furthermore, not all judges are likely to be as lenient as in Olivier’s case when it comes to repaying penalties.