Contribution
I recognise the hon. Gentleman’s point. I will come on to say how we are keeping regulation under review, but I note the point he makes.
Once an article 4 direction is in place, any change of use to either a large or small HMO requires an application for planning permission. All such applications are considered by the relevant local planning authority, in line with the development plan for the area and in consultation with the local community. A clear and up-to-date local plan policy for HMOs can support assessment of future applications. I know the struggle of the hon. Member for South West Hertfordshire (Mr Mohindra) with his local authority to get an up-to-date local plan in place.
Whether any given local planning authority chooses to consult on introducing an article 4 direction to remove the national permitted development rights that I have referenced is ultimately a decision for it to take. It is not something that the Government seek to influence in any part of the country. We do not believe that the process is costly or burdensome, and approximately 75 councils have put in place article 4 directions for HMOs in parts of their authority area—although I note that Ashfield district council has no article 4 directions in place for small HMOs. The hon. Member for Ashfield may wish to take that up with his local authority.
In addition, the Government recently consulted on a new national planning policy framework. That consultation includes proposals relating to article 4 direction policy, proposing a more flexible approach so that local planning authorities can remove national permitted development rights where it is necessary to protect the amenity or wellbeing of an area—for instance, where there is an over-concentration of small HMOs. We are currently analysing the feedback received and will publish our response in due course.
Turning to HMO licensing, it is, of course, crucial that HMOs are safe and well managed. That is why all HMOs are subject to management regulations. Those regulations place duties on managers of HMOs—typically, the landlords—to take safety measures, supply and maintain gas and electricity, and maintain common parts, fixtures and fittings.
In addition, all local planning authorities must license HMOs with five or more people from two or more households who share facilities, such as a kitchen or bathroom. Local planning authorities also have the power to require HMOs to be licensed where three or more people from two or more households are sharing facilities. This means that most HMOs can be licensed where necessary.
Local planning authorities can also impose licence conditions to ensure that landlords effectively manage HMOs. For example, a local authority may require a landlord to put in place measures to prevent or reduce antisocial behaviour by occupants or visitors. Local planning authorities have robust powers to tackle landlords who breach HMO regulations, including the ability to issue civil penalties of up to £40,000 for offences committed from 1 May, rent repayment orders and, for the worst offenders, banning orders.
The Government want to ensure that councils have the capacity to take action where needed. That is why we have provided £18.2 million in 2025-26, and £41.1 million in 2026-27, to support the new enforcement responsibilities that local authorities are taking on under the Renters’ Rights Act 2025. We plan to establish a sustainable funding system for enforcement in the private rented sector over the long term, based on future database fee revenues.
It is obviously not the responsibility of my Department, but the hon. Member for Ashfield raised the issue of asylum accommodation, so let me briefly set out the Government’s position. Under the previous Conservative Government, asylum decision making ground to a halt and hotel use spiralled to around 400 sites, costing £9 million a day at its peak. This Labour Government are determined to end the use of hotels for asylum seekers as quickly as possible in this Parliament, but we intend to do so in an orderly fashion.