Spring 2013 Newsletter LAw Scheme

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Issue 12

Welcome to the Spring Edition of the Newsletter

Landlord Accreditation Wales is a voluntary training and information scheme run

from Cardiff Council on behalf of all 22 Councils in Wales.

It is in place to compliment Council enforcement and regulatory powers controlling

the private rented sector.

The scheme has over 2500 members which is really encouraging. When looked at together with some of the

complicated local prosecutions detailed below you can see how Councils are trying to tackle all aspects of

the PRS; assisting and informing better landlords and penalising the worst.

If you are already accredited, encourage fellow landlords and agents to join. All accreditation courses are

detailed on our website www.welshlandlords.org.uk/courses and we have them in Cardiff, Caerphilly, Conwy,

Bangor, Denbigh, Haverfordwest, Newport and Aberystwyth in the coming months.

But what is happening in Wales doesn’t stop there. Firstly there’s the Welsh Government focus on Housing in

Wales in the upcoming Housing Bill (containing a proposal for a Welsh Agent and Landlord Licensing Scheme

[WALLS]) and also a further consultative White Paper on a Renting Homes Bill (set to reform tenants

agreements). Secondly local Councils are still assessing their areas and creating additional and selective

licensing areas where necessary; (see information in this newsletter about Vale of Glamorgan’s Additional

Licensing area in Castleland Ward) and also Carmarthenshire’s Selective Licensing Scheme proposals which

the consultation on has just closed.

If you want to know more about Landlord Accreditation Wales and what being an accredited landlord means, visit the website www.welshlandlords.org.uk, or contact our friendly team on 029 2087 1815, or by e-mail [email protected]

www.welshlandlords.org.uk

South Wales Landlord Open Day – Cardiff.

20th May 2013

www.welshlandlords.org.uk/events

www.welshlandlords.org.uk/news

Ruling for more transparency on agents fees

On 06 March 2013 the Advertising Standards Authority (ASA) made a ruling from a complaint against Your-move.co.uk Ltd regarding the potentially misleading omission

of compulsory administration charges when advertising properties in the public domain.

Background: The complaint focused on the information posted by an estate agent on

rightmove.co.uk. The advert provided general information about properties as well as the cost of rent per calendar month. However the complainant challenged whether the advertising was misleading as they did not include a compulsory administration

charge.

The ASA took into consideration that the administration charges are available on Your-move.co.uk Ltd website, that they can be requested from the local branch and that there was a link to their website within each advert. In addition Your-move.co.uk

Ltd stated that the administration charges could not be exact as they are dependent on an individual’s circumstances and vary from region to region.

Adjudication from ASA: The ASA upheld the complaint. In short, the ASA believe

that under the current practice consumers are not given enough clear information about the potential costs of

administration fee(s) nor is the information on how to calculate the fees easily accessible.

Whilst the ASA noted that the exact administration fee could not always be calculated in advance, they upheld the

complaint, as they considered arranging to view a property is “a transactional decision and is likely to be affected by

the existence and cost of an administration fee”.

The ASA have now told Your move.co.uk to ensure their adverts make clear when non optional fees and charges (that could not be calculated in advance) are excluded from quoted

prices. In addition further information needs to be included to make it easy for consumers to readily establish how further charges would be calculated.

Implications for agents: Once the ASA adjudicate on advertising they expect adverts to be withdrawn or amended. It

is now imperative that businesses review their advertisements in the public domain to comply with the adjudication from ASA. You should ensure the adverts make clear when non optional

fees and charges (that could not be calculated in advance) are excluded from quoted prices. In addition further information needs to be included to make it easy for consumers to readily establish how further charges can be calculated.

Failure to comply will lead to further sanctions, which are invoked by the Committees of

Advertising Practice (CAP). There are several CAP sanctions, which can be employed in different circumstances. For example CAP can ask internet search websites to remove marketer’s paid-for search advertisements.

For misleading or unfair advertising, if an advertiser refuses to comply with the ASA, then the

ASA Chief Executive is able to refer the advertiser to the Office of Fair Trading for legal proceedings under the Consumer Protection from Unfair Trading Regulations 2008 or the

Business Protection from Misleading Marketing Regulations 2008. Further guidance and advice:

For further guidance on the ruling, regulations and implications for businesses please contact the

following organisations:

Advertising Standards Authority Limited (ASA): www.asa.org.uk

Committee of Advertising Practice Limited (CAP): www.cap.org.uk

Or your local Trading Standards section

Changes to Energy Performance Certificate Regulations: First Main Change:

The requirement to provide only the first page of the EPC for a residential letting has now been

removed in all circumstances and ‘written particulars’ is no longer defined in legislation.

However, when providing any information in writing

the full EPC must be available.

Second Main Change:

A new regulation 11(2) requires that all adverts in

commercial media need to include the ‘asset rating’. Regulation 2 defines the asset rating as being “a

numerical indicator of the amount of energy estimated to meet the different needs associated with a standardised use of a building, calculated

according to the methodology approved by the Secretary of State pursuant to regulation 24 of the

Building Regulations 2010”.

It is assumed therefore that both the actual score should be supplied (for example 56), as

well as including the band in which this falls (e.g. band D).

Guidance from Communities and Local Government

mentions including the actual graph with the rating in the

advert ‘where there is space’.

The dwellings that need EPCs have basically not changed and bedsit accommodation remains exempt. An EPC is only required where the tenant is renting separate accommodation (i.e.

not truly sharing). However, one small further change means that listed buildings are not required to have EPCs, due to the sort of works that might be suggested being incompatible

with their listed status. Remember all EPC are valid for 10 years and can be found on-line, either search by address

or reference number: https://www.epcregister.com/

The Energy Saving Trust is a non profit, impartial organisation specialising in

helping customers improve the energy efficiency of their homes and rented properties. They are currently offering free external solid wall insulation, cavity

wall insulation and loft insulation for all electric or coal heated properties in Wales.

All offers are subject to survey.

For further information on the offer or to apply for a survey please email James Lilly at [email protected]

Local Authorities have a discretionary power to declare all or part of its area to be subject to additional Houses in Multiple Occupation (HMO)

licensing. The additional licensing scheme operates for five years after which time the local authority must revoke or re-declare the scheme.

The Vale of Glamorgan Council identified that the Castleland Renewal Area in Barry had the highest number and proportion of sub-standard and

poorly managed HMOs in its area. So following the statutory consultation and a report on the responses, the Council approved the designation of an additional licensing scheme at the end of March 2013.

The scheme comes into force on the 1 July 2013 and applies to all HMOs within the Castleland Renewal Area.

Any landlord, person managing or tenant within The Vale of Glamorgan should seek advice from The Vale of Glamorgan Council’s Environmental Health (Housing) team regarding whether a

property is affected by the confirmed designation.

Houses into Homes Collaboration in Practice: Houses into Homes – Empty Home Loans

In the first 9 months of the Houses into Homes Loans

Scheme, the Cwm Taf Region (MTCBC and RCTCBC) have approved and paid out 12 Loans to the value of £270,000.

The initial loans paid out before Christmas 2012 have

already allowed a number of properties to be completely renovated, with some beneficiaries of the loans considering

making further applications for funding.

Some examples of the successes to date include a derelict

public house being converted into three, 3-bedroom homes, a large 4 bed detached property (empty since 2008) being completely refurbished and made available to let to a large

family and one refurbished empty property has already been sold to a first time buyer.

This national scheme, funded by Welsh Government clearly demonstrates how the provision of interest free loans can stimulate the housing market by bringing long term empty

properties back into use as good quality housing options.

It is expected that within the next 6 months the total value

of loans administered by the Cwm Taf region will be almost £1Million, which will eventually see approximately 40 long term empty properties brought back into occupation.

Other Actions to tackle long term empty properties MTCBC and RCTCBC are collaborating on a range of

approaches to tackle empty properties these include advice & guidance for owners and enforcement action where necessary. Both Authorities are also working towards a

common Empty Property Strategy in an effort to pool

resources and experience, whilst sharing good practice.

The national scheme,

funded by Welsh Government clearly

demonstrates how the provision of interest free

loans can stimulate the

housing market by bringing long term empty

properties back into use as good quality housing

options.

For further information

relating to empty properties, please contact

the Environmental Health Department of the respective Council.

Any person wishing to receive further information regarding the

Houses into Homes Scheme in the Cwm Taf region, should

contact:

Julian Pike for Merthyr Tydfil enquiries: (01685) 725357.

Owain Griffiths for Rhondda Cynon Taf enquiries: (01443)

425565.

Additional Licensing

Scheme in Barry brought in by Vale Council

Cardiff YMCA Housing Association’s Private Rented Sector

Scheme requires vacant 1 bedroom flats for waiting tenants.

The YMCA will work in partnership with landlords and will do the following:

• Interview and assess all tenants promptly to minimise voids

• Provide resettlement support for the tenant and a range of support for the landlord • Fund a £250 bond certificate and up to one month’s rent in advance • Liaise directly with the benefits department

• Mediate or arrange an independent arbitrator should a dispute arise

If you are interested in working with them or would like to have an informal chat,

please phone Mandy Smithson on 02920 465250.

Cardiff Tenants Need You! Help create a happy home

The YMCA are looking for

landlords/ladies with properties which fall within

the Local Housing Allowance rental rates and will accept

people on housing benefit in Cardiff.

Think you know emergency homeless accommodation…think again!

What comes to mind when you hear the words “Emergency Homelessness Accommodation”? Do you think it’ll be a doss house, somewhere with a roof and four walls but little else, a house

where the tenants are drug addicts, ex-criminals, alcoholics, trouble-makers, where the landlord is some faraway anonymous person who never takes an interest? Think again.

Mandy Miles owns and manages emergency

homeless accommodation in Argoed, a small village in Blackwood, within the

borough of Caerphilly.

As soon as you step inside, it’s clear that this house is something special. The house perfectly

combines the required safety requirements such as a fire detection system, emergency lighting, a

sophisticated CCTV system in the common parts and fire-retardant furnishings and furniture with chandeliers, an ornate staircase and beautifully

decorated rooms. And in order to make sure it feels like a home there is a wide screen plasma TV,

a chest full of games and a back massager in the shared living area and prints and pictures on the wall. There’s even a house cat and a fish tank. Walking around the house, you get

an idea that this is actually a nice place to live; you’d pay to go on

holiday to a place like this. How many emergency homeless houses

can you say that about?

So why does Mandy do it? “Homelessness comes with a stigma, they’re seen as no-good, down and out, outcasts of society, even heroin addicts, and that’s not fair. I bought this house five years ago and

almost instantly regretted it. It was in very poor condition. It had dry rot, wet rot, woodworm, it needed new windows, a new central heating system, a full re-wire and there

were structural stability problems. At times I felt like just boarding up the windows and doors and handing it back to the bank. The local community even organised a petition to prevent me opening, simply because I was planning to take in homeless people.”

Thankfully Mandy persevered, and spent almost every penny she had into renovation, even

doing a lot of the work herself. “It was a slow process,” she said. “It took almost 3 years for us to turn the place around”.

By ‘us’, she’s referring to her loyal team, Ray, Vicky, Andrew and Wayne, who have been with her from the beginning. “When tenants arrive, they are depressed, isolated, anti-

social, withdrawn, despondent, sometimes arriving with nothing other than the clothes they stand in. Their pride may have been taken away from them; they often have a massive chip on their shoulder. Something bad has happened to them for them to be in that

position. We welcome them in with open arms, a cup of something hot and a chat. For them to know that someone cares about them is a big first step. Renting out a room to a

homeless person should never just be giving the tenant the keys, taking the cash and letting them get on with it. There’s more to it than that - landlords should take an interest

in their interests”. The tenants also get help from their own support workers, but they have that extra support

from Mandy and the team. And there are plans to make the house even better; “We are building a vegetable garden,

some greenhouses and we’ll have benches where they can sit and have barbecues in the nice weather”. The team are also in talks with the local church to do some community work.

It might even be argued that the house is now an asset to the community that at

first feared it. “During that recent heavy snowfall, if the neighbour’s cars were

stuck, the tenants were the first out the door to offer help to dig them out. The village accepts us now; they know we’re

not a threat to them.”

“Whatever we give to them, we get

back. It’s very rewarding.”

Local Environmental Health Officer Tracey Jones wishes to commend landlords like Mandy:

“I’ve seen and inspected a lot of houses used for homeless accommodation, and I’ve met and spoken to the tenants who live in them. There are any numbers of reasons a person becomes

homeless and the underlying problems they have are all the same; they would not be living there unless they had to. I’ve seen houses vandalised and not cared for, creating an anti-social

atmosphere, which in turn causes problems for everyone involved. This house is different in so many ways. Not only is it beautifully decorated and a place where people actually enjoy being, but there is also that emotional support and a sense of community; of family.

The work, love and care that Mandy and her team put in is clear and the house is a real asset

to both the village and the borough of Caerphilly, providing an invaluable service. All that is legally required of Mandy is to provide safe and warm B&B accommodation for people who

have nowhere else to go. Instead she provides a high quality, welcoming and supportive environment.”


News rules concerning concealed gas boiler flues

take affect on the 1st January 2013, so if you

have a flue running in a ceiling space read on… Some properties, mainly flats and apartments, have been built with boiler flues which cannot be inspected because they are hidden

behind walls or ceilings. If you have a property where the flue is connected to a room-sealed fan assisted boilers you must be sure

that your boiler is not ‘at risk’. Gas Safe registered engineers need to be able to see the flue −

which take fumes away from the boiler − as part of essential safety checks whenever the boiler is worked on. A flue in poor condition,

combined with a boiler that is not working properly, could put the occupant in danger from carbon monoxide poisoning, which can cause death or serious injury.

If you do have a boiler where all, or part of, the flue cannot be

seen, then you will need to arrange for inspection hatches to be fitted.

Carbon monoxide alarms are not an

alternative to being able to see the flue

and you will still need to have inspection hatches fitted. It is

recommended that inspection hatches are

fitted as soon as you are able to do so.

From 1 January 2013, any Gas Safe registered engineer will turn the boiler off, with your permission and formally advise you not to use it until inspection hatches have been fitted in

appropriate places. Although most of the affected boiler and flue systems are relatively new (installed since 2000),

the risk of faults leading to the release of carbon monoxide increases as the system gets older, especially if it is not serviced regularly. It is important that you therefore have your gas

appliances serviced annually as well as a gas safety check done. If your boiler is situated on an outside wall, it is unlikely you have this type of flue. Alternatively,

if your engineer can see all of the flue, you will not need to take any further action in relation to this matter.

Further information Read more information, including some ‘frequently asked questions’

(FAQs), on Gas Safe Register’s website: http://www.gassaferegister.co.uk/advice/flues_in_voids.aspx

For any additional enquiries not answered through these routes please send questions to: [email protected] and it

will be dealt with by a member of the group.

March 2013 was appointed Minister for Housing and Regeneration

Caerphilly

Landlords Forum

Penallta House, Tredomen Park, Ystrad Mynach, Hengoed, CF82 7PG

Monday 29/04/2013 at 18:00

Landlord Open Day

City Hall, Cardiff, CF10 3ND

Monday 20/05/2013 at 15:00 until 20:00

Cardiff Landlord

Forum

Cardiff Council County Hall, Atlantic Wharf, Cardiff Bay, CF10 4UW Committee Room 1

Wednesday 22/05/2013 at 18:00

Rhondda

Cynon Taff

Landlord Forum

Gartholwg Lifelong Learning Centre, Church Village, Pontypridd, CF38 1RQ

Wednesday 17/07/2013 at 18:00


Landlord Continued Professional Development (CPD) Events

Further to the consultation on the Proposals for a Better Private Rented Sector in Wales which ran from July until August 2012, the

consultation responses have now been published in a document on the Welsh Government website.

The Welsh Government is committed to modernising the private rented sector in Wales and is proposing to introduce legislation that

will require the mandatory registration and licensing of private landlords, as well as letting and managing agents in the private

rented housing sector. The new Housing Bill in Wales (which will contain these proposals as

well as others that affect Housing in Wales) will start its passage through the Welsh Government later in 2013 but will unlikely

receive Royal Assent until 2014.

In March 2013 during a government reshuffle,

Carl Sergeant was appointed Minister for

Housing & Regeneration

In the Welsh Governments Housing White Paper published in May 2012, they set out their commitment to reform housing law in Wales.

This included a proposal for a Bill on tenancy reform. This Bill, which is expected to be introduced during 2015, will be based closely on the

“Renting Homes” report published by the Law Commission in 2006.

The proposals are based on two model contracts: • A “secure contract” based on current local authority tenancy

agreements. • A “standard periodic contract” based on the “assured shorthold

tenancy” used mainly in the private rented sector. The new contracts will be written in plain language and will cover all relevant law, ensuring equality and flexibility across the rented

housing sector.

What next? There will be a White Paper published setting out detailed proposals in spring 2013 for consultation.

For further information contact [email protected]

Welsh Government News

UUnniivveerrssaall CCrreeddiitt is a new single payment for people

who are looking for work or on a low income.

The British Government believes Universal Credit will help claimants and

their families to become more independent and will simplify the benefits

system by bringing together a range of working-age benefits into a single

payment.

SSoommee ooff tthhee mmaaiinn ddiiffffeerreenncceess ooff iinntteerreesstt ttoo llaannddlloorrddss bbeettwweeeenn UUnniivveerrssaall CCrreeddiitt aanndd tthhee ccuurrrreenntt wweellffaarree ssyysstteemm aarree::

• most people will apply online and manage their claim through an

online account

• claimants will receive just 1 monthly payment, paid into a bank

account in the same way as a monthly salary

• support with housing costs will go direct to the claimant as part of

their monthly payment

Universal Credit will be

introduced in late 2013 and

will replace Housing Benefit

as well as a number of other

allowances and tax credits.

WWhheenn UUnniivveerrssaall CCrreeddiitt ssttaarrttss AApprriill 22001133 –– ssttaarrtt ooff UUnniivveerrssaall CCrreeddiitt ppaatthhffiinnddeerr Starting in April 2013, DWP, with their delivery partners in HMRC and local

authorities, is introducing Universal Credit for claimants within certain areas of the north-west of England.

OOccttoobbeerr 22001133 –– iinnttrroodduuccttiioonn ooff UUnniivveerrssaall CCrreeddiitt The Government will introduce Universal Credit in a managed way, progressively rolling it out nationally

from October 2013. The transition from the current system of benefits and tax credits to Universal Credit

will be gradual and it is expected to be completed by the end of 2017.

Additional support for Universal Credit claimants is being offered by the Government and all the

up to date information on Universal Credit and its implementation can be found on the

Department of Work and Pensions (DWP) website www.gov.uk/dwp and on the Money Advice

Service website: https://www.moneyadviceservice.org.uk

Working together since September 2012, officers from Cardiff Council and

South Wales Police have been doing joint visits to already identified HMOs

on the ‘top 5’ burgled streets in Cathays (Wyeverne Road, Tewkesbury

Street, Dogfield Street, Lisvane Street, Harriet Street). This has proved a

useful way to ensure compliance with licence conditions and required

security standards in a timely fashion.

Now, with the help of Student Police Volunteers, all houses in these 5 streets

not currently identified as licensable HMOs are being door knocked in

order to gather information about tenure. If a property is identified as a

licensable HMO the Council is closely following up the case to ensure

compliance with the law.

In just two evenings

volunteers visited 97

properties where

information was

gathered

Joint Working in Cardiff reduces incidents of burglaries

The additional HMO licensing scheme in Cardiff has always been linked with wider

community issues through joint working on issues such as waste, noise and to-let

boards. But this example shows how it is working in relation to security & burglaries

Joint working has proved a great success and there has only been 1

burglary on the top 5 streets during Sept-March 2013 (versus 16

during the same period last year) Cardiff Council’s security leaflet can be downloaded at

www.cardiff.gov.uk/privaterent

Spring 2013

Documents

Spring 2013 Newsletter LAw Scheme