Hackney Moves Toward Borough-Wide PRS Licensing Push | FTSE Insight

June 18, 2025 12:00 PM BST | By Team Kalkine Media
 Hackney Moves Toward Borough-Wide PRS Licensing Push | FTSE Insight
Image source: Shutterstock

Highlights

  • Hackney Council initiates broad licensing consultation targeting private rented homes

  • New selective and additional schemes to span the majority of the borough

  • Council aims to improve standards and enforce compliance across the PRS

Hackney Council, located within Greater London, has outlined proposals to extend regulation across its private rented sector (PRS), a significant move relevant to public housing and regulatory frameworks. While not a listed entity, housing and council activities impact local construction, property management, and urban development businesses that fall under indices like the ftse 100, ftse 350, and ftse.

Hackney is preparing for the launch of two licensing schemes aimed at strengthening oversight of its PRS. The proposed plans include a borough-wide additional licensing regime for houses in multiple occupation (HMOs) and a selective licensing initiative spanning seventeen of the borough’s twenty-one wards. The goal is to address substandard living conditions and ensure regulatory compliance in rental properties.

The new consultation is open to public feedback until late September, with implementation timelines pointing to early 2026. The borough highlights that funding for these schemes will be designed to remain revenue-neutral, covering operational and inspection-related costs without external subsidy.

Previous schemes concluded in 2023, during which Hackney piloted similar programs in selected wards. During that phase, thousands of properties were brought under regulatory oversight, providing valuable insight into the broader condition of rental housing stock. Findings from recent reviews continue to identify serious hazards, with higher concern among HMOs, indicating an elevated rate of structural and safety deficiencies.

The proposed selective licensing targets wards exhibiting a combination of high private rental occupancy and indicators of poor housing conditions. Hackney Council cites these factors as critical in shaping its geographic focus for enforcement. Under the new framework, the council intends to support compliant landlords while taking action against those failing to meet minimum standards.

Council officials have stated that most landlords act responsibly, but many tenants still live in unsafe or inadequate conditions. Through the licensing schemes, Hackney aims to regulate a substantial proportion of private rented homes and build stronger relationships with compliant property owners. The regulatory model also includes providing educational resources and guidance to encourage adherence and long-term improvements in housing quality.

The plans come as Hackney continues to experience a growing reliance on its private rental market. With a significant portion of local housing stock already within the PRS, expectations suggest this trend will continue. The borough’s earlier commitment to offer financial assistance to landlords remaining in the PRS complements these new licensing initiatives, indicating a broader policy shift toward long-term rental stability and reduced short-term letting disruptions.

With the consultation process active, stakeholders across the property and housing sectors are closely observing Hackney’s approach, particularly in light of anticipated legislative changes like the Renters’ Rights Bill. The final implementation of the proposed licensing schemes could reshape the borough’s housing standards while setting a precedent for similar actions across other London boroughs.


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