The situation in Nottingham regarding the rise in temporary accommodation and the impact of selective licensing has drawn significant attention and controversy. Here’s a detailed overview:

Nottingham’s Temporary Accommodation Crisis

• Increase in Temporary Accommodation: Nottingham Council has seen a dramatic increase in the number of households placed in temporary accommodation. The council’s housing strategy report indicates that the provision for families has increased five-fold since 2017.
• Current Statistics: The rate of temporary accommodation per thousand people in Nottingham is higher than the national average for England and has surged by 71% from 2020 to 2023.

Impact of Selective Licensing

• Introduction and Rent Increases: Nottingham introduced its first selective licensing scheme in August 2018. Since then, average rents in the city have risen sharply, from £664 at the start of the scheme.
• Landlord Perspective: Mick Roberts, a prominent landlord in Nottingham, attributes the increase in rents to the introduction of selective licensing. He argues that the licensing has directly contributed to the rising need for temporary accommodation by increasing rental costs and making housing less affordable for many tenants.

Council’s Position and Response

• Council’s Stance: Nottingham Council acknowledges the rise in rents since the implementation of selective licensing but attributes this primarily to recent interest rate hikes rather than the licensing scheme itself. The council maintains that the scheme is not designed to generate profit.
• Commitment to Reducing Homelessness: The council’s housing strategy report outlines a goal to end the routine use of bed and breakfast accommodations for families with children by 2025. Additionally, the council expresses a desire to collaborate with landlords to increase the availability of suitable housing for people who become homeless.

Controversy and Criticism

• Criticism from Landlords: Landlords like Mick Roberts are critical of the council, accusing it of not recognizing the connection between selective licensing and the rise in temporary accommodations. They argue that the licensing scheme has inadvertently contributed to homelessness by driving up rental costs.
• Council’s Defense: In response to such criticisms, the council insists that other factors, such as interest rate hikes, are the main contributors to increased rents and the subsequent rise in temporary accommodation needs.

Conclusion

The debate in Nottingham highlights the complex interplay between housing policy, market forces, and their social impacts. While the council aims to regulate and improve housing standards through selective licensing, landlords and critics point to unintended consequences, such as increased rents and higher rates of temporary accommodation. Moving forward, the council’s promise to end the use of B&Bs for families and its willingness to work with landlords could be crucial steps in addressing these challenges.