10th
Apr 2014
In what is being hailed as a "historical" judgement in a Bristol housing case could mean that Newcastle City Council will have to hand back three quarters of a million pounds to private landlords.
A High Court judge passed judgement on a legal issue which had been brought up in the case of Bristol City Council vs. DIGS (Bristol) Ltd over a maisonette in Bristol that was used as an HMO (House in Multiple Occupation) should have a licence.
Having heard the arguments from all parties, the Judge said:
“Parliament had created a scheme which is complex and in part ambiguous.
“The lobby and landing associated with the private staircase from the ground floor to the upper maisonette at 12 John Street do not count as ‘storeys’.”
The judgement that dismissed the appeal meant that the HMO in this case did not require a licence.
Newcastle City Council has approximately 700 maisonettes that they have charged private landlords a licence cost of £1100 for each property. With the decision that was passed by the High Court Judge in Bristol it could mean that the Newcastle landlords are entitled to a full refund of their licence costs.
A landlords association has sent a letter to Newcastle City Council’s Chief Executive Pat Ritchie, asking how they are going to implement a process to pay back the landlords that were forced to pay for a license which they do not need to have? They have also asked them when they intend to start the refund process.
The local representative of the association says:
“We believe a healthy private rented sector working with tenants and the local authority can benefit the people of Newcastle. I look forward to working closely in the future with the Council, but it needs to be open and fair.”
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