1. Principal Officer Housing Strategy & Standards
Claire Davies
Principal Officer
Housing Strategy & Standards

2. What is Rent Smart Wales?
Part 1 Housing (Wales) Act 2014
National Registration and Licensing Scheme of Landlords and Agents
Launched 23rd November 2015

3. Background in Wales 2011 Census approx 14% (185,000) properties in PRS
Believed majority of landlords manage 1 property.
Important Housing Option
Poorest standards of management and conditions
National Accreditation Scheme, run from Cardiff Council since 2008 trained around 3,000 landlords

4. Legislative Requirements
Housing (Wales) Act 2014
Majority of Part 1came into force 23rd Nov 2015
Enforcement to commence from 23rd Nov 2016 [

5. Housing (Wales) Act Part 1
Act introduced a legal requirement for all landlords to register themselves and their rental addresses
Landlords and agents who act on their behalf, who let and/or manage rental properties must become licensed
Licensing based on training (no property inspection)
Applicable to Assured, Assured Shorthold and Regulated tenancies within Wales

6. Housing (Wales) Act Part 1 - Cont’d
Exempts Residential Social Landlords from registration; however if RSL does letting and management work on behalf of a PRS landlord they must be licensed
Most other exemptions come about from the fact that certain people cannot grant ASTs (e.g. university owned accommodation, owner occupiers with lodgers, etc.)

7. Overview of Registration
Landlord Must:
Provide correspondence info
Give address of all rental property
Pay a fee
Identify who does letting and management at each property

8. Overview of Registration - Cont’d.
Online process (including fee payment)
Register is not public but tenants can verify landlords
Once Registered
Obligation to keep information on register up to date
Every 5 years a fee for continued registration

9. Why Registration? Identified rented properties
Produces statistics to inform policy
Assists Local Authorities with information dissemination
Collects contact details

10. Overview of Licensing
Persons who ‘let’ or ‘manage’ rental property must apply for a licence.
Applicant must :
Be fit and proper
Undertake approved training
Pay a fee

11. Overview of Licensing - Cont’d.
‘Letting’ and ‘Managing’ defined in the Act
Applicant could be landlord, commercial letting & management agent, family member
All staff of applicant, doing letting and management work, must be trained

12. Once Licensed: Lasts 5 years
Licensee must comply with Licensing Authority imposed conditions.
This will include adhering to WG Code of Practice.
Continue to be fit and proper.
Otherwise licence can be revoked.
Renewal process, including additional fee.

13. Why Licence? People dealing with rentals are fit and proper
Gives knowledge to those persons who need it
Unsuitable persons will not be able to manage homes
Makes people letting and managing properties accountable, including agents

14. Activities a Landlord Must have a Licence for
If a landlord undertakes any of the following, they must obtain a licence.
Landlord Letting Activities:
Arranging or conducting viewings with prospective tenants;
Gathering evidence for the purpose of establishing the suitability of prospective tenants (for example by confirming character references, undertaking credit checks or interviewing a prospective tenant);
Preparing, or arranging the preparation, of a tenancy agreement;
Preparing, or arranging the preparation, of an inventory for the dwelling or schedule of condition for the dwelling.

15. Activities a Landlord Must have a Licence for - Cont’d.
Landlord Property Management Activities:
Collecting rent;
Being the principal point of contact for the tenant in relation to matters arising under the tenancy;
Making arrangements with a person to carry out repairs or maintenance;
Making arrangements with a tenant or occupier of the dwelling to secure access to the dwelling for any purpose;
Checking the contents or condition of the dwelling, or arranging for them to be checked as part of a current tenancy or for one which has ended;
Serving notice to terminate a tenancy.

16. Activities an agent must have a licence for
Agent Letting Work:
One of these can be done by a person who is not the landlord without
requiring an agent licence, as long as they do nothing under the ‘Agent
Property Management Work’ section.
Publishing advertisements or disseminating information;
Arranging and conducting viewings with prospective tenants;
Preparing, or arranging the preparation of, the tenancy agreement;
Preparing, or arranging the preparation of, any inventory or schedule of condition.

17. Activities an agent must have a licence for - Cont’d.
Agent Property Management Work:
Collecting rent
It is acceptable to do one of the following without requiring a licence, as long as you do
not collect rent, or do anything under the ‘Agent Letting Work’ section.
Being the principal point of contact for the tenant in relation to matters arising under the tenancy;
Making arrangements with a person to carry out repairs or maintenance;
Making arrangements with a tenant or occupier of the dwelling to secure access to the dwelling for any purpose;
Checking the contents or condition of the dwelling, or arranging for them to be checked as part of a current tenancy or for one that has ended;
Serving notice to terminate a tenancy.

18. Code of Practice

19. Code of Practice – Cont’d
Made on 3rd November.
Written by Welsh Government with input from tenant, landlord and agent groups and consulted on by:
Contains legal requirements (must comply with) and best practice (should comply with).
Residential Landlord Association (RLA)
National Landlord Association (NLA)
Association of Residential Lettings Agents (ARLA)
Shelter Cymru
Citizens Advice

20. Training
People who need to be trained are termed in the law as ‘connected persons’
Section 2 of the Regulation of Private Rented Housing (Training Requirements)(Wales) Regulations 2015 define ‘connected persons’.
‘doing things under a contract of service or apprenticeship with an applicant for a licence’
This means all staff who meet the criteria need to be trained

23. Marketing WG leading the communications work
Launched by the Minister Leslie Griffiths AM
National campaign to be implemented
Social media based, disseminating information

24. Enforcement
Marketing of requirements should encourage most people to comply without intervention (whole sector buy-in)
Lead in time before enforcement can occur; powers will be enacted 23rd Nov 2016
Enforcement by local authority (or licensing authority)

25. Enforcement – Cont’d. Suite of enforcement tools: Prosecutions
Fixed Penalty Notices
Rent Stopping Orders
Rent Repayment Orders
Restriction on terminating tenancies (no s.21)

26. Fees Application Type New application Renewal Period
Landlord Registration - On Line £ year
Landlord Registration - Paper £ years
Landlord Licensing- On Line £ years
Landlord Licensing- Paper £ years
Agent licensing- On Line £3, years
Agent licensing- Paper £4, years
However the agent fees for licensing are currently under review.

27. Current Statistics Completed user accounts:4,822
Landlords registered:3,014
Course bookings:573

28. Recap
Not all landlords must have a licence; if agent does all letting and property management work then only agent needs to be licensed.
BUT some properties will have a licensed landlord and agent (split of roles, e.g. let only agent then landlord does management)
AND all landlords will still have to register (can be ‘lead’ landlord)
One licence covers the agent/landlord for any property in Wales; it is the landlord that registers each individual address and states the licensee(s)
No Scots Disclosure/DBS check requirement with licence application
If property has an HMO licence, landlord still needs to register and have a licensed person in place to let and manage it under new Act
Enforcement to commence in November 2016.

29. Where can I find more info?
Tel number:
Visit and sign up to updates
Follow
Operational Manager – Bethan Jones

30. Questions?