This report seeks approval to procure and contract with a delivery partner to support the implementation of a proposed Discretionary Licensing Scheme in the Private Rented Sector.

Further to Minute 13 of the meeting of the Housing, Neighbourhoods and Leisure (HNL) Committee held on 13 November 2024, the Committee considered a report seeking approval to procure and contract with a delivery partner to support the implementation of the proposed Discretionary Licensing Scheme in the Private Rented Sector.  Attached to the report at Appendix 1 was a confidential annex showing the financial implications of a worked example (exempt information under Paragraph 3 of Part 1 of Schedule 12A of the Local Government Act 1972 (as amended)) and attached to the report at Appendix 2 was a diagram showing example workload responsibilities of the applicant, delivery partner and local authority.

The report noted that at its meeting on 13 November 2024 the HNL Committee had agreed the implementation of two Discretionary Private Rented Sector Licensing Schemes to raise housing standards within the Borough: an Additional Licensing Scheme for smaller HMOs across the whole borough, and a Selective Licensing Scheme for private rented homes within Battle, Redlands and Park Ward.  The report submitted to HNL Committee had stated that there might be potential to mitigate staffing issues and costs through securing a delivery partner for the implementation of the licence processing and initial check inspection.

The report explained that it had initially been proposed to run the schemes in house, appointing additional staff to carry out the associated work, but that budget pressures and recruitment issues had increased the delivery risk of this approach.  There were significant limitations in the labour market, specifically for qualified Environmental Health staff to undertake the work, and the team currently had vacant posts within the service pending recruitment.  The ability to deliver a successful scheme was dependent on the availability of staff and therefore a proposal to work with a delivery partner had been brought forward.  This could provide a number of other benefits including reducing the risk of lower than anticipated income.  The potential number of properties that met the criteria for being licensed under the scheme was based on a desktop exercise, and whilst the figures used were cautious, until the scheme was implemented it was not certain how many properties would apply.  Using a delivery partner passed this risk on, ensuring the Council did not appoint staff that were not required.  It would also offer the benefit of flexibility on how and when property inspections could occur and the potential for later phases of licensing to be delivered sooner than would be otherwise have been possible.

Resolved –

(1)       That the Assistant Director for Planning, Transport and Public Protection be authorised to procure a delivery partner to support the processing and compliance checks for the Council’s agreed Discretionary Licensing scheme;

(2)       That the Assistant Director for Planning, Transport and Public Protection, in consultation with the Director of Finance, Executive Director for Economic Growth and Neighbourhood Services and Lead Councillor for Housing, be authorised to enter into a 5-year contract plus 2 years to support the delivery of the licence processing and compliance checks element of the Discretionary licensing in the private rented sector scheme.