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To approve the costings used to calculate the
fee charged to landlords for renewing a 5 Year HMO licence.
Amendments to the Mandatory HMO licensing
criteria, effective from October 2019, resulted in more properties
in Fenland became licensable. A costings exercise was completed for
this scheme, with a fee of £750 being charged for a new
5-year licence.
Those properties that were licensed in the
early months of the scheme are due for renewal and therefore an
appropriate Renewal fee needs to be determined.
 
Having reviewed the officers’ activities
related to such applications on a full cost recovery basis, it is
proposed that a cost neutral fee of £660 is chargeable for
such applications. You are not allowed to make a profit. This fee
will be charged as one amount at the application stage and
in the event that an application is
refused, the enforcement portion will be refunded. (see Legal
Implications below)
 
Decision:
To approve the proposed fee for a Renewal HMO
Application
 
 
Legal
Implications:
Licence fees set by
the local authority should be in accordance with the Local
Government Association ‘Open for business – LGA
Guidance on locally set licence fees’. The LGA guidance is heavily based on
the outcome of Hemming v Westminster City Council in which the UK
Supreme Court with reference to the European Court of Justice set
out the principle that licence fees should be charged in two parts.
The first fee, charged at the time of application, for processing
the application up to grant or refusal of the licence. The second
fee charged at the point of granting the licence, for administering
and enforcing the licensing scheme. The outcome of Gaskin v
Richmond-upon-Thames LBC in the High Court directly applies the
Hemming v Westminster judgement to HMO Licensing fee.