Houses in Multiple Occupation (HMO): New Planning Controls QUESTIONS and ANSWERS

Transcription

1 Houses in Multiple Occupation (HMO): New Planning Controls QUESTIONS and ANSWERS QUESTIONS COVERED IN THIS BRIEFING NOTE: 1. Background to Use Classes Order What is the current position with regards to HMOs? What is the history of events leading to these latest changes? I let out a property. Is it an HMO? What do you mean by unrelated? What do you mean by basic amenities? After 1 October 2010, when do I require planning permission for an HMO? What if I only let to students and this is not their only residence? I have live-in domestic staff that do not pay rent. Is this an HMO? What if I share my property with a lodger? What if I provide care to residents? What if I want to change an HMO back into a single dwellinghouse? If I own a HMO now, what should I do? What happens if I have a small-scale HMO that I have not applied for planning permission for between 6 April and 1 October 2010? What are the changes to planning legislation in terms of HMOs? Do existing planning policies cover these changes to legislation? Will new policies be introduced to take account of the change in the planning legislation? Will the Council use Article 4 Directions anywhere in the Borough to remove permitted development rights to convert from C3 to C4 Use Class? What is the cost of a planning application? What is the length of time to get a decision on an application for planning permission for an HMO use? What if I am unsure whether my property is authorised in planning terms or not as an HMO? Will a property in which a landlord lives with other occupants be classified as an HMO? What other legislation is there? Can I extend or alter my property? What area does the Article 4 Direction cover? What effect will the Direction have? When was the Direction made? When will the Direction come into force? I have an existing HMO. Do I need planning permission to continue using my property as an HMO?

2 30. What happens if I let my property to a family one year and the following year I would like to let it to students again? Do I need to let the Planning Department know that my property is already an HMO? How do I demonstrate that my property was an HMO before the article 4 direction came into force (prior to 16 May 2013)? I have a licence for my property. Does this demonstrate my property is an HMO? How long will my planning permission last for? What do I do if I have a concern about an HMO in my neighbourhood or wish to contact the Council? Other sources of information include the following: For information, previous versions of this document were published during:

3 BACKGROUND 1. Background to Use Classes Order For planning purposes, various uses of land are classified into groups set out in the Use Classes Order 1987, although some uses are outside any Use Class and are referred to as sui generis (a use of its own). Dwellinghouses fall into Use Class C3. On 6 th April 2010, the Government brought in legislation introducing a new Use Class, C4, for small houses in multiple occupation (HMOs) occupied as their main residence by between 3 and 6 unrelated persons. Where a property is occupied by a single person or a family, and in certain other circumstances, it will generally still fall within Use Class C3. 2. What is the current position with regards to HMOs? On the 17 June 2010, Housing Minister Grant Shapps announced that he would be handing over more power to councils so they can manage high concentrations of shared housing in their area, without putting off landlords from renting the homes people need. On 7 September 2010, Grant Shapps clarified how this would be achieved stating that, 2. The definition of a small HMO (the C4 use class) will remain and permitted development rights will be extended to allow all changes between the C4 and C3 classes without the need for planning applications. In areas where there is a need to control HMO development, local authorities will be able to use an Article 4 direction to remove these permitted development rights and require planning applications for such changes of use. 3. These proposals will mean that any change of use between dwelling houses and small HMOs will be able to happen without planning permission unless the local council believes there is problem with such development in a particular area. In these areas they will be able to use article 4 powers to require planning permission. More information on the Minister s announcement can be found at These changes came into effect on 1 October An Article 4 Direction has now been confirmed for an area within Reading Borough covering parts of Park, Redlands and Katesgrove wards. Further information about the Direction is included in answers 25 to 34 below. 3. What is the history of events leading to these latest changes? 6 th April 2010 New legislation on Houses in Multiple Occupation brought into force, introducing new Use Class C4. 1st October 2010 legislation amended so that changes between Use Classes C3 and C4 would be permitted development. 16 th May 2012 Non-immediate article 4 direction made for area covering parts of Katesgrove, Park and Redlands wards. 16 th May 2013 Above article 4 direction to come into force. 3

4 GENERAL QUESTIONS AND ANSWERS FOR LANDLORDS 4. I let out a property. Is it an HMO? If you let a property, which is occupied as their main residence by 3-6 unrelated individuals, who share one or more basic amenities, then it is an HMO under the new Use Class C4: Houses in Multiple Occupation. If there are more than 6, it is likely to be classed as a large HMO (sui generis) which will be outside Use Class C4. Planning permission will normally be required for large HMOs. 5. What do you mean by unrelated? Unrelated means that the occupants do not have a relationship by blood, marriage or cohabitation. 6. What do you mean by basic amenities? Basic amenities means a toilet, personal washing facilities, or cooking facilities. 7. After 1 October 2010, when do I require planning permission for an HMO? If you are converting a dwellinghouse or a small HMO falling under a C4 Use Class to a Sui Generis HMO (a large HMO). If you are converting a non-residential building (or part of a building) to a small HMO falling under Use Class C4 or to a Sui Generis HMO. If permitted development rights to change between a C3 and a C4 Use Class have been removed by the making of an article 4 direction which has come into force for the area in which the property is located or through a condition on a planning permission. See information below about the Article 4 Direction that has now been confirmed for an area within Reading Borough covering parts of Park, Redlands and Katesgrove wards. 8. What if I only let to students and this is not their only residence? Students, as well as migrants or asylum seekers, who do not occupy the property all year will be considered as occupying it as their main residence. Therefore, this will fall within Use Class C4 (if there are no more than 6 occupants) or Sui Generis HMO (usually if there are more than 6 occupants). 9. I have live-in domestic staff that do not pay rent. Is this an HMO? The law states that to be an HMO, rent or other consideration is payable by at least one tenant. Therefore, if a person is provided with accommodation as part of their employment, it is considered to be an HMO. Certain live-in domestic employees will be considered to be living as part of a single household where they are living with their employer; in this situation the use is likely to fall within Use Class C3(a) (see below for further definition of Use Class C3, under Question 12)). 10. What if I share my property with a lodger? If you are a resident owner living with no more than 2 lodgers, the property will not be considered to be an HMO but will be a dwellinghouse within Use Class C3. 4

5 11. What if I provide care to residents? If no more than six residents are living together as a single household and receiving care, then the use is likely to be C3 rather than C4. However you may wish to seek further advice from the Planning Department. 12. What if I want to change an HMO back into a single dwellinghouse? To change the use of a C4 HMO into a single dwellinghouse does not require planning permission, unless the permitted development rights to do so have been removed. Permission will be required to change a sui generis HMO that is authorised in planning terms into a single dwellinghouse. 13. If I own a HMO now, what should I do? The legislation is not retrospective. If your property was being used without planning permission as an HMO (either small or large) before 6 April 2010, and is still in the same use, it may be in your interests to apply for either planning permission or a Lawful Development Certificate, in order to regularise the situation. As above in Q1, after 1 October 2010, permitted development rights were extended to allow all changes between the C4 and C3 classes to occur without the need for planning applications, unless an Article 4 direction is used to remove these permitted development rights and require planning applications for such changes of use. 14. What happens if I have a small-scale HMO that I have not applied for planning permission for between 6 April and 1 October 2010? As stated previously, the requirement for planning permission for Use Class C4 is not retrospective; however if you do not have evidence that you did not require planning permission for the change of use, planning enforcement action could be taken. In order to ensure that the use of your property is not in breach of planning controls, you may wish to submit an application for a Lawful Development Certificate for an existing use. These dates are relevant as the C4 Use Class was introduced on 6 April 2010 and after 1 October 2010 conversion from C3 to C4 (and vice versa) does not require an application for planning permission unless permitted development rights have been removed. N.B. these dates are only relevant where the development involves changes of use between dwelling houses and small HMOs. MORE TECHNICAL PLANNING QUESTIONS AND ANSWERS 15. What are the changes to planning legislation in terms of HMOs? CLASS C4 A new planning use class has been introduced Use Class C4: Houses in Multiple Occupation which includes small shared dwellinghouses occupied as their main residence by between 3 and 6 unrelated individuals who share basic amenities. 5

6 To be classed as an HMO, a property does not need to be physically converted or adapted in any way. CLASS C3 The definition of Use Class C3: Dwellinghouses has also been amended as follows: Use as a dwellinghouse (whether or not as a sole or main residence) by: a) A single person or by people to be regarded as forming a single household (e.g. formed by a family, defined as a couple whether married or not, persons related to one other with members of the family of one of the couple to be treated as members of the family of the other); b) Not more than six residents living together as a single household where care is provided for residents; or c) Not more than six residents living together as a single household where no care is provided to residents (other than a use within Use Class C4). PLEASE NOTE Most family houses and self contained flats fall within Use Class C3. Where a residential use does not fall into either the C3 or C4 Use classes, planning permission may be required. As from 1 October 2010, planning permission is not required to change the use of a C4 HMO to use as a single dwellinghouse in Use Class C3 or vice versa unless permitted development rights have been removed by an Article 4 Direction. See information below about the article 4 direction that has now been confirmed for an area within Reading Borough covering parts of Park, Redlands and Katesgrove wards. Large HMOs (those with more than 6 people sharing) fall outside the definition of Use Class C4. In planning terms they are classed as a sui generis use and planning permission is therefore normally required for the change of use of either a dwellinghouse (C3) or a small-scale HMO (C4) to a sui generis HMO. Please seek advice if you are looking to increase the number of occupants in an HMO as planning permission may be required. 16. Do existing planning policies cover these changes to legislation? Adopted Local Development Framework Core Strategy Policy CS18: Residential Conversions addresses planning policy on self contained flats or multiple occupation. This will still be relevant in the context of the new legislation. Saved policy HSG6 (Residential Conversions) of the Reading Borough Local Plan will continue to have weight until it is superseded by the adoption of the Sites and Detailed Policies Document (SDPD), which is likely to be on 23 rd October 2012 when the recommendation to adopt the SDPD will be considered at a full Council meeting. Similarly, the existing Supplementary Planning Guidance entitled House Conversions and Houses in Multiple Occupation also continues to have weight until the adoption of the Sites and Detailed Policies Document. See the website, for up to date information on the policy position. 17. Will new policies be introduced to take account of the change in the planning legislation? Policy DM8: Residential Conversions of the emerging Sites and Detailed Policies Document (likely to be adopted by Reading Borough Council on 23 rd October 2012) takes into account the new legislation. The Planning Department is looking to update the existing Supplementary Planning Guidance entitled House Conversions and Houses in Multiple Occupation over the 6

7 next few months to help provide some clarity and guidance for applicants, developers, owners and those living in HMOs. 18. Will the Council use Article 4 Directions anywhere in the Borough to remove permitted development rights to convert from C3 to C4 Use Class? As outlined in the answer to Q1, Reading Borough Council made a non-immediate article 4 direction on 16 May This was confirmed by Cabinet on 1 st October and will come into force on 16 May It covers an area including parts of Katesgrove, Park and Redlands wards. Further details are provided in answers to questions 25 to 34 below. 19. What is the cost of a planning application? The cost of a planning application to change the use of a building to a HMO (C4) or an HMO (sui generis) use would be 335. Where a planning application is required as a result of the removal of permitted development rights through the article 4 direction no fee is payable. 20. What is the length of time to get a decision on an application for planning permission for an HMO use? The majority of applications for planning permission should be processed in 8 weeks as they will mostly be considered to be minor development. As with any application for planning permission, the Local Planning Authority may, after considering all current relevant planning policies and all other material considerations, grant or refuse the application. There are rights of appeal to the Secretary of State against a decision to refuse planning permission. 21. What if I am unsure whether my property is authorised in planning terms or not as an HMO? In order to provide a definitive legal answer as to whether an existing use as an HMO is authorised or not, an application for a Certificate of Lawful Existing Use would need to be submitted. The fee for this would be the same as if it were a planning application being submitted. 22. Will a property in which a landlord lives with other occupants be classified as an HMO? If a landlord lives in his property with up to 2 lodgers, i.e. living as a single household, the property will not be classified as an HMO. If the situation differs from that referred to above, advice should be sought from the Planning Department via the contact details below. 23. What other legislation is there? Besides planning legislation, HMOs are also subject to the Housing Act. Mandatory licensing under the Housing Act will currently only apply if the property is three or more storeys and occupied by four or more persons in addition to the resident landlord and members of his household. This is because the landlord and his family will be counted as one person and will bring the number of occupants in the property to 5. However, it needs to be borne in mind that the requirements for planning permission on the one hand, and for licensing under the Housing Act on the other, are entirely separate. A property may require planning permission but no licence, or it may need a licence but not planning 7

8 permission, or it may need both. The fact that an HMO licence has been issued for a property does not mean that planning permission for the use as an HMO will be granted. Building Control should also be contacted about any requirements for Building Regulations approval. 24. Can I extend or alter my property? Properties which are dwellinghouses may be extended or altered, within certain limits, in accordance with Part 1 of Schedule 2 to the Town and Country Planning (General Permitted Development) Order 1995 (as amended) these are generally referred to as permitted development rights. Dwellinghouse is defined in the Order so as to exclude a building containing one or more flats. Up until now, houses in multiple occupation have also been considered not to be dwellinghouses for the purposes of the Order. The current situation is now that: Large HMOs (Sui Generis) cannot be lawfully altered or extended without obtaining planning permission. Houses with a self-contained flat, e.g. a basement flat, cannot be altered or extended without planning permission (even if the house is occupied by a family and is not in multiple occupation). For HMOs falling under the new Use Class C4 the situation is unclear at the moment and an interpretation from the courts is awaited. Any alterations or extensions carried out are therefore currently at your own risk. The Council is unable to provide any informal opinions on this. The only way to be certain about whether development is permitted is through the submission of a Certificate of Lawfulness of Proposed Development. Please note that: If you have a C4 HMO and you extend or alter your property so that the number of occupants increases, it may take the property outside the C4 Use Class and is likely to constitute a material change of use requiring planning permission. If the property is a listed building or is in a Conservation Area, the rules relating to permitted development are different; you should seek advice from the Planning Department if you are not sure whether your property is affected by this. The Council may take enforcement action where development (i.e. extensions or alterations to buildings) is carried out without planning permission. THE ARTICLE 4 DIRECTION IN READING 25. What area does the Article 4 Direction cover? The Article 4 Direction covers parts of Park, Redlands and Katesgrove wards. It extends up to Elgar Road on the west, Wykeham Road on the east and London Road on the north. The full details can be viewed via What effect will the Direction have? The Article 4 Direction will mean that once it comes into force (on 16 th May 2013) planning permission will be required to convert a dwelling (C3) to a small HMO (C4). It would not mean that this particular type of development cannot be carried out, but simply that it is no longer automatically permitted. Applications would be assessed in the usual way against national planning policy and policies in the Local Development Framework. An article 4 direction would not necessarily mean that the local planning authority would 8

9 refuse planning permission for works but it would enable the authority to retain some control over the detail of the proposed development and to grant permission subject to appropriate conditions and to consider whether there was specific harm resulting from the proposed development. 27. When was the Direction made? The Direction was made on 16 May It is a non-immediate Direction and in this case will not come into force until 16 May 2013, i.e. one year from the date the Direction was made. 28. When will the Direction come into force? As above, the Direction will come into force on 16 May I have an existing HMO. Do I need planning permission to continue using my property as an HMO? The direction does not apply retrospectively and in any case will only affect small HMOs falling within the C4 use class (a property occupied by 3-6 unrelated individuals who share one or more basic amenities). If a planning application is not currently required to convert from C3 to C4 use, then this will continue to be the case until 16 May 2013 (unless a planning application is required for any other reason). If there is any doubt about whether planning permission is required, then the local planning authority should be contacted on What happens if I let my property to a family one year and the following year I would like to let it to students again? When the Direction comes into force on 16 May 2013, permitted development rights will remain to convert properties from a C4 use to a C3 use. So letting a property to a family within the area covered by the article 4 direction will not require planning permission (assuming the property fell within either a C3 or C4 use class and there was no other reason that planning permission was required). However, if a landlord then wanted to let the property to 3-6 unrelated individuals, including students, who share one or more basic amenities,after the property had been let to a family, planning permission would be required from the local planning authority. 31. Do I need to let the Planning Department know that my property is already an HMO? There is no need to inform the local planning authority about the use of an HMO, unless a specific query arises, in which case, the local planning authority will contact you and explain what is required. 32. How do I demonstrate that my property was an HMO before the article 4 direction came into force (prior to 16 May 2013)? It would be prudent for landlords to retain tenancy agreements, Council Tax records, utility bills plus any other record relating to the use of the property so that in the event of a query arising, it can be easily addressed. 9

10 33. I have a licence for my property. Does this demonstrate my property is an HMO? HMO licensing is under separate legislation (Housing Act) from planning. A licence would not confirm definitively that a house was an HMO, however, in some circumstances it could contribute to evidence to demonstrate what the use of a particular property is. 34. How long will my planning permission last for? Unless it is specifically stated on a planning decision notice that a planning permission is for a temporary period only, planning permission (once implemented) does not expire, and a new planning permission does not need to be applied for provided the use as an HMO continues and is not abandoned or superseded by a different use. CONTACTING THE COUNCIL 35. What do I do if I have a concern about an HMO in my neighbourhood or wish to contact the Council? Contact the duty planning officer via the main switch board on Contact the Houses in Multiple Occupation (HMO) Team via the main switch board on Visit the HMO team at where you can find information about HMOs, check whether a property is licensed, or report issues with an HMO. the Local Development Framework team at ldf@reading.gov.uk Contact Building Control on or buildingcontrol@reading.gov.uk 36. Other sources of information include the following: Houses in Multiple Occupation Team: Licensing Information Building Control Team: Building Regulations Requirements. Circular 08/2010: Changes to Planning Regulations for Dwelling Houses and Houses in Multiple Occupation Town and Country Planning (General Permitted Development) Order 1995 (as amended) 37. For information, previous versions of this document were published during: May 2010 following the introduction of the new legislation on Houses in Multiple Occupation on 6 th April June 2010 following the announcement on 17 June 2010 by the Housing Minister Grant Shapps that more power to councils to manage high concentrations of shared housing would be handed over. October 2010 following the Minister s announcement in September regarding HMOs This information is intended only as a general statement and has no legal force. No action should be taken in reliance on it without obtaining specific legal advice. Issued by the Planning Service, Reading Borough Council Oct