Propertymark urges removal of local landlord licensing schemes

Propertymark is urging the UK Government to abolish discretionary local landlord licensing schemes in England and Wales once the national Private Rented Sector (PRS) database is fully operational.

A new position paper by the organization argues that current selective and additional licensing schemes impose heavy administrative burdens and high costs on landlords and letting agents. In some areas, selective licensing fees exceed £1,000 per property. Propertymark suggests that the upcoming national registration service, which is scheduled to launch in the West Midlands on December 15, 2026, before rolling out across England, should serve as the primary source of property information to reduce duplication.

The organization also raised concerns regarding the effectiveness of local enforcement. It noted that approximately two-thirds of local authorities in England had not prosecuted a landlord in the previous three years, despite receiving roughly 300,000 complaints regarding property conditions annually. Furthermore, over 84% of councils reported challenges in recruiting environmental health professionals. Propertymark has proposed a national cap on initial administration costs, limiting them to 20% of licensing fees, and called for greater transparency regarding how licensing income is utilized for inspections and enforcement.