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Do you know your rights?
30/07/2007

Hi,

Its been such a long time since I have written a blog – March in fact and since then a numerous amount of things have happened but I will save that for a future blog. I promise to update you on what I’ve been up to.

Right……..

Many of you may have paid your deposit on accommodation be it university halls or private rented accommodation, ready to move in to in September. But how many of you know your rights in your accommodation which are part of the amended Housing Act which came into force in April of this year?

In 2004, we lobbied for more housing rights for students through the Housing Act. This act covers things (and a healthy number of acronyms!) including HMO (Houses in Multiple Occupation) licensing, HHSRS (Housing Health and Safety Rating System), TDP (Tenancy Deposit Protection) schemes and Codes of Standards for halls.

1. HMO licensing

HMO’s are:

  • An entire house or flat which is let to 3 or more tenants who are from 2 or more households and who share a kitchen, bathroom or toilet.
  • A house which has been converted entirely into bedsits or other non-self-contained accommodation and which is let to 3 or more tenants who form two or more households and who share kitchen, bathroom or toilet facilities.
  • A converted house which contains one or more flats which are not wholly self contained (ie the flat does not contain within it a kitchen, bathroom and toilet) and which is occupied by 3 or more tenants who form two or more households.
  • A building which is converted entirely into self-contained flats if the conversion did not meet the standards of the 1991 Building Regulations and more than one-third of the flats are let on short-term tenancies.
  • In order to be an HMO the property must be used as the tenants’ only or main residence and it should be used solely or mainly to house tenants. Properties let to students and migrant workers will be treated as their only or main residence and the same will apply to properties which are used as domestic refuges.

This addition to the Housing Act was made because houses in multiple occupation (HMOs) are often poorly managed and in poor physical condition. The licensing of HMO’s will raise the standards of such accommodation and will also ensure that landlords are managing their HMOs to the required standards.

A local housing authority will grant a licence for a property if it is satisfied that it is reasonably suitable for occupation by a certain number of persons. The property will need to meet minimum standards in terms of the number of bathrooms, toilets, etc . The landlord must also be deemed to be a fit and proper person.

HMO Licensing is very important for students because when a student lives in private rented accommodation it is likely that they will be living in HMO accommodation.

According to our Housing and Health survey in 2001 48.5% of students lived in groups of five or more.

HMO licensing applies to private landlords including if you are renting a private house from your university or college. Halls of residence on the other hand are not covered under HMO Licensing but ONLY IF they are signed up to a code of standard (see code of standards section below).

Operating a HMO without a licence is a criminal offence, subject to a maximum fine of £20,000, although there will be a defence if reasonable steps are being taken to license the property.

If the landlord breaches or fails to comply with a condition of the licence he will also commit an offence and may be fined up to a maximum of £5,000.

To check if your house is a HMO and FAQ on HNO’s, visit Shelter's website.

2. Codes of standards

Codes of standards are new management guidelines for halls of residence-type accommodation (universities and colleges, private developers).

The code of standards is a voluntary standard that institutions sign up to. There are two codes of standards that institutions have the option to sign their halls of residence up to, the UUK / GuildHE Code, or the ANUK/Unipol Code. Most institutions are signed up to the UUK Code.

The aim of the codes of standards is to standardise accommodation provisions across England and Wales.

For example, under the ANUK Code: timescales for repairs, target time for return of deposit, etc.

3. Tenancy Deposit Protection

NUS, Shelter and CAB lobbied for the inclusion tenancy deposit protection. Students have for years been robbed of their deposits at the end of a tenancy by landlords who see it as an easy income.

The Scheme means that all private landlords in England and Wales must protect their tenants’ deposit in some way, either by taking out a special insurance premium or by handing out the deposit to a third party. Landlords must also give you the contact details of where your deposit is being held within 14 days.

How do they work?

When you are signing a new tenancy agreement with your landlord, ask how your deposit will be protected. Your landlord should provide you with the contact details of the scheme protecting your deposit.

There are two schemes that your landlord has the option to sign up to:

  • Custodial scheme
  • Insurance based schemes
  • The ‘Custodial Scheme’

    This basically means that that a third party holds the deposit money.

    The tenant pays the deposit to the landlord.

    The landlord then pays the deposit into the scheme.

    The landlord then gives the information to the tenant about the scheme being used for the tenancy (this should be within 14 days).

    At the end of the tenancy the landlord and tenant agree how the deposit should be divided.

    At the end of the tenancy, if the landlord and tenant agree how the deposit should be divided, the landlord returns all or some of the deposit.

    If there is a dispute, the landlord must hand over the disputed amount to the scheme for safekeeping until the dipute is resolved.

    If for any reason the landlord fails to comply, the holder of the deposit will ensure the return of the deposit to the tenant if they are entitled to it.

    In each scheme, the deposit must be returned within ten days of the landlord and tenant agreeing how the deposit should be divided, or within ten days following notification of an ADR/court decision.

    Insurance based schemes

    This basically means that the landlord holds onto the deposit, but pays a premium to an insurer.

    Within 14 days of receiving a deposit, the landlord must give the tenant prescribed information (to be set out in secondary legislation) about the scheme being used and the tenancy.

    The tenant pays the deposit to the landlord.

    The landlord retains the deposit and pays a premium to the insurer (the key difference to the custodial scheme).

    Within 14 days of receiving a deposit, the landlord must give the tenant prescribed information (to be set out in secondary legislation) about the scheme being used and the tenancy.

    At the end of the tenancy, if the landlord and tenant agree how the deposit should be divided, the landlord returns all or some of the deposit.

    If there is a dispute, the landlord must hand over the disputed amount to the scheme for safekeeping until the dispute is resolved.

    If for any reason the landord fails to comply, the insurance arrangements will ensure the return of the deposit to the tenant if they are entitled to it.

    In each scheme, the deposit must be returned within ten days of the landlord and tenant agreeing how the deposit should be divided, or within ten days following notification of an ADR/court decision.

    NB: It is important to note that if your landlord refuses to sign up to a tenancy deposit scheme you are entitled to three times your deposit back. Also if everyone that is a tenant in the house has separate deposits you shouldn’t be forced to nominate a lead tenant, who will get all deposits back.

    If you have any experience of landlords trying to get round this, then please let us know at NUS. If your landlord does not protect your deposit, you are entitled to THREE TIMES the value of the deposit back!

    For information on housing rights, tenancy deposits and licensing go to www.shelter.org.uk/knowyourrights.

    4. New Housing Health and Safety Rating System

    The Housing Health and Safety Rating System is an assessment method to identify defects and deficiencies in housing which have a potentially harmful effect on the health and safety of the occupants.

    It will affect 60% of students, either in halls of residence or in the private rented sector.

    “This reform will enable local authorities to address more effectively the hazards to health and safety present in the home.” Source: ODPM website.

    It includes issues such as: damp, mould, noise, fire, hygiene, crowding, carbon monoxide, intruders, falls, electrical and structural.

    Local authorities have been empowered to take action on breaches on these regulations, including:

    • Serve an improvement notice requiring remedial works;
    • Make a prohibition order, which closes the whole or part of a dwelling or restricts the number of permitted occupants.
    • A duty for local authority to act if severe risk to health. The authority can choose to make a demolition order; or declare a clearance area.


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